# Assessment of creditworthiness models privacy-preserving training with synthetic data

arXiv: https://arxiv.org/abs/2301.01212 · HTML: https://mlsanity.com/paper/2301.01212/

## Key facts

- No citing papers in the map yet (data through 14 Oct 2026).
- Builds on 5 of its 28 references that are in the map.
- First posted on arXiv 31 Dec 2022.

## Builds on (most cited first, 5 of 5)

- [Auto-Encoding Variational Bayes](https://mlsanity.com/paper/1312.6114/) (2013)
- [Modeling Tabular data using Conditional GAN](https://mlsanity.com/paper/1907.00503/) (2019)
- [The Value of Big Data for Credit Scoring: Enhancing Financial Inclusion using Mobile Phone Data and Social Network Analytics](https://mlsanity.com/paper/2002.09931/) (2020)
- [On the combination of graph data for assessing thin-file borrowers' creditworthiness](https://mlsanity.com/paper/2111.13666/) (2021)
- [On the dynamics of credit history and social interaction features, and their impact on creditworthiness assessment performance](https://mlsanity.com/paper/2204.06122/) (2022)

## Abstract (arXiv)

Credit scoring models are the primary instrument used by financial institutions to manage credit risk. The scarcity of research on behavioral scoring is due to the difficult data access. Financial institutions have to maintain the privacy and security of borrowers' information refrain them from collaborating in research initiatives. In this work, we present a methodology that allows us to evaluate the performance of models trained with synthetic data when they are applied to real-world data. Our results show that synthetic data quality is increasingly poor when the number of attributes increases. However, creditworthiness assessment models trained with synthetic data show a reduction of 3% of AUC and 6% of KS when compared with models trained with real data. These results have a significant impact since they encourage credit risk investigation from synthetic data, making it possible to maintain borrowers' privacy and to address problems that until now have been hampered by the availability of information.