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Personal loans business / Routing analysis

Routing loan applications by approval odds and payout.

I analyzed roughly 100,000 applications to compare three lenders, then modeled how different routing choices would change expected revenue.

21.9%

Projected revenue lift from revised routing

The problem

Borrowers could apply for a loan without knowing which lender was most likely to approve them. For the business, a poor match also meant a missed opportunity to earn revenue from an application.

What I analyzed

I examined approval patterns across three lenders. Alongside credit scores, I tested indicators such as disposable income, loan-to-income ratios, and prior credit events. Credit score was the strongest approval signal in the analysis; the lenders differed in how selective they were.

The decision

I grouped borrowers by credit score and compared expected revenue per application: approval probability multiplied by lender payout. The model favored the more selective lender for high- and mid-score groups and the more permissive lender for lower-score applicants.

The recommendation

Routing each segment to its highest-value lender produced a projected 21.9% revenue lift without adding traffic. I recommended a real-time matching approach that could be updated as approval patterns and payouts changed.

The limit of the result

This was a modeled opportunity. The result depends on the approval and payout assumptions in the supplied data; it does not establish what a live rollout would achieve.