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Decision tree modelling, as one of data mining techniques, is used for credit scoring of bank customers.
The main problem is the construction of decision trees that could classify customers optimally. This study
presents a new hybrid mining approach in the design of an effective and appropriate credit scoring model.
It is based on genetic algorithm for credit scoring of bank customers in order to offer credit facilities to
each class of customers. Genetic algorithm can help banks in credit scoring of customers by selecting
appropriate features and building optimum decision trees. The new proposed hybrid classification model is
established based on a combination of clustering, feature selection, decision trees, and genetic algorithm
techniques. We used clustering and feature selection techniques to pre-process the input samples to
construct the decision trees in the credit scoring model. The proposed hybrid model choices and combines
the best decision trees based on the optimality criteria. It constructs the final decision tree for credit
scoring of customers. Using one credit dataset, results confirm that the classification accuracy of the
proposed hybrid classification model is more than almost the entire classification models that have been
compared in this paper. Furthermore, the number of leaves and the size of the constructed decision tree
(i.e. complexity) are less, compared with other decision tree models. In this work, one financial dataset was
chosen for experiments, including Bank Mellat credit dataset.