Visvesvaraya Technological University

BELAGAVI, KARNATAKA - 590 014.

INTERNSHIP REPORT
ON
“LOAN ELIGIBILITY PREDICTION”

Submitted By

Deepthi S Shetty [4PM20IS013]

Submitted In partial fulfillment of the requirement for the award of degree of

BACHELOR OF ENGINEERING
IN
INFORMATION SCIENCE AND ENGINEERING

Under the Guidance

of
Dr. Prasanna Kumar H.R.
Professor & Head, Dept. of IS&E.
PESITM, Shivamogga.

PES Institute of Technology and Management

Department of Information Science & Engineering
March-2024
 PES Institute of Technology & Management
NH-206, Sagar Road, Shimoga-577 204
(Affiliated to Visvesvaraya Technological University, Belagavi)

Department of Information Science and Engineering

CERTIFICATE

Certified that internship work entitled “LOAN ELIGIBILITY PREDICTION”

carried out by Miss. DEEPTHI S SHETTY USN 4PM20IS013 a Bonafide student of PES

INSTITUTE OF TECHNOLOGY & MANAGEMENT in partial fulfillment for the award

of Bachelor of Engineering in INFORMATION SCIENCE & ENGINEERING of the

Visvesvaraya Technological University, Belagavi during the year 2024. It is certified that

all corrections/suggestions indicated for Internal Assessment have been incorporated in the

report deposited in the department library. The report has been approved as it satisfies the

academic requirements for the said Degree.

Project Guide Internship Coordinator

Dr. Prasanna Kumar H.R. Mr. Viany S K

Professor & Head, Dept. of IS&E. Assistant Professor, Dept. of IS&E.
PESITM, Shivamogga. PESITM, Shivamogga.

Head of the Department

Dr. Prasanna Kumar H.R.

Professor & Head, Dept. of IS&E.
PESITM, Shivamogga.
OFFER LETTER/APPROVAL LETTER FROM THE
COMPANY

i
INTERNSHIP COMPLETION CERTIFICATE

ii
 Loan Eligibility Prediction

CHAPTER 1

INTRODUCTION ABOUT INTERNSHIP

1.1 Introduction

Internships serve as practical learning experiences for students and individuals, allowing
them to apply theoretical knowledge in real-world settings. Participants engage in hands-on work,
gaining valuable insights and skills relevant to their field of study or career aspirations. I got an
opportunity to work in Vivarttana Technologies Pvt Ltd where I got experience in working about
machine learning technologies. These opportunities often include mentorship from experienced
professionals, fostering personal and professional development. Interns collaborate on actual
projects, enhancing their problem-solving, communication, and teamwork skill.

1.2 Objective of the Internship

As partial fulfilment of the requirements of the Bachelor of Engineering program of

Visvesvaraya Technological University, I was assigned to Vivarttana Technologies Pvt. Ltd., for
four-week internship program. The Primary objective of the internship id to generate a thorough
understanding of the workplace relationship, performing of the activities and engaging oneself
in the working environment. In a way, it was more to get practical implication of all the studies,
theories that I had acquired so far. This would help me to pave way towards growth in my
academic as well as personal development. Apart from general objectives, the specific
objectives are highlighted below:

• To acquire exposure in the working environment resulting in the development of

practical knowledge, confidence and diplomacy.

• To learn and apply theoretical knowledge practically in the workplace.

• To develop interpersonal, managerial and communication skills.

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• To come up with the possible strategies to gain competitive advantage.

• To be a valuable asset for the organization by contributing positive aspects.

• To fulfil the partial requirement for the Bachelor of Engineering program of

Visvesvaraya Technological University.

1.3 Title of Internship

The title of the Internship project is “Loan Eligibility Prediction”. The project aims at
predicting whether a person will get his/her loan approved or not by using some of the
background information of the applicant like the applicant’s gender, marital status, income, etc.

1.4 Statement of the Problem

A Company wants to automate the loan eligibility process (real-time) based on customer
detail provided while filling online application form. These details are Gender, Marital Status,
Applicant Income, Loan Amount, Loan status, Credit History and others.

1.5 Aim of the project

The project aims to develop a Machine Learning (ML) model which is capable of predicting
whether the person is eligible for a health loan or not by analyzing some basic values entered by the
user.

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CHAPTER 2

COMPANY PROFILE

2.1 Industry Profile

Vivarttana Technologies Pvt Ltd is an IT Services and IT Consulting company. They

provide quality service at affordable prices and offer a wide range of services in Web development,
Data Science, Machine Learning and cloud computing. They are constantly on the learning agenda
and this helps to grow continually by developing and sharing skills, knowledge and ideas from our
innovative and enthusiastic environment.

Fig 2.1 Vivarttana logo

Their services to IT companies have reduced the hiring cycle time and lead to cost effective
measures to source the best talent from on and off campus. They have transformed many lives by
imparting 360 degree learning – domain, process and technology, keeping focuses on customer
experience and operational excellence objectives

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2.2 Products and Services

Fig 2.2: Product and Services

Consulting:
Today, business and technology innovation are inextricably linked and the demand for
technology-enabled business transformation services is rapidly growing. Vivarttana
Technology professionals help clients resolve their most critical information and
technology challenges.

Software Product Development:

Vivarttana product division is to build products to address business problems in the
market and business solutions to their customers. We have expertise in handling a wide
range of technology platforms that are needed across the spectrum to capture, store,
process and analysis big data. We have a team of brilliant young minds with an average
experience of a decade, who have delivered compelling applications to our customers.
Our team of subject matter experts provide well rounded advice encompassing issues of
cost, product, quality, performance, reliability and serviceability.

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Internship:
Internship program is conducted for a period ranging from 1 month (for students) to 6
months (for graduates). On completion of internship program, certification of completion
will be awarded to the candidate. You would be ready for industry requirements to
perform the job.

2.3 Vision

• Dependability: We aim to keep all our products performance to be able to

accomplish itsassigned mission.
• Consistency: We work to keep all the technologies consistently in reach for
customer use and satisfaction.
• Ownership: We are accountable for all the actions we take and keep customer
feelings indue regard.
• Integrity: We provide good value and satisfy customers expectation, being
ethical, fair and transparent.

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CHAPTER 3
TECHNOLOGY

3.1 Machine Learning

• Machine learning is a field of artificial intelligence where computers learn from data
to make predictions or decisions.
• It involves three main types: supervised learning (using labeled data), unsupervised
learning (finding patterns in unlabeled data), and reinforcement learning (making
decisions based on feedback).
• Common algorithms include linear regression, decision trees, and neural networks.
Applications range from image recognition to predictive analytics.
• Challenges include ensuring data quality and addressing interpretability issues in
complex models.
• Overall, machine learning transforms how computers analyze data, automate tasks,
and make informed decisions.

3.2 Python
• Python is a versatile, high-level programming language known for its simplicity and
readability.
• It supports a wide range of applications, from web development and data analysis to
artificial intelligence.
• Python's extensive libraries, such as NumPy and TensorFlow, make it a popular
choice for scientific computing and machine learning.
• Its syntax emphasizes code readability, reducing the cost of program maintenance and
development.
• Python is platform-independent, allowing code to run seamlessly across different
systems.

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3.3 Anaconda Navigator:

Anaconda Navigator is a user-friendly graphical interface for managing and launching

applications within the Anaconda distribution. It simplifies the use of Python and its associated
libraries for data science, machine learning, and scientific computing. With Navigator, users can
easily manage environments, install packages, and launch popular applications such as Jupyter
Notebooks or Spyder IDE. It streamlines the process of setting up and navigating through different
Python environments and tools, making it particularly convenient for data scientists and developers.

3.4 Google Colab:

Google Colab is an excellent platform for developing and running Python code without any
installations. Google Colab also provides some advanced features like GPU and TPU support, which turns
out to be very useful while running machine learning and deep learning models. You can also use Google
Colab to collaborate with others on your code in real-time by directly pushing to GitHub or sharing it with
others directly via a link, making it an excellent platform for team projects. Google Colab is a powerful
and free development environment that provides many features for developing and running Python code.
It's an excellent platform for beginners and advanced enthusiasts.

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CHAPTER. 4

SYSTEM REQUIREMENTS SPECIFICATION

4.1 Software Requirements:

• Windows Operating System

• Platform: Anaconda Navigator (Jupyter Notebook),Google Colab

• Languages Used: Python

• Domain: Machine Learning

4.2 Hardware Requirements:

• Processor: Intel Core Processor

• RAM Size: 4 GB

• Hard Disk: 500 GB

• Display: 800 x 600 or higher-resolution display with 256 colors.

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CHAPTER 5:
IMPLEMENTATION

5.1 Pseudocode:
Pseudocode is sometimes used as a detailed step in the process of developing a program.
It allows designers or lead programmers to express the design in great detail and provides
programmers a detailed template for the next step of writing code in a specific programming
language.

5.2 Importing Libraries:

Importing libraries like NumPy, Pandas, Matplotlib, etc.

import numpy as np
import pandas as pd
import matplotlib.pyplot as plt
import seaborn as sb
from sklearn.model_selection import train_test_split
from sklearn.preprocessing import LabelEncoder, StandardScaler
from sklearn import metrics
from sklearn.svm import SVC
from imblearn.over_sampling import RandomOverSampler

import warnings
warnings.filterwarnings('ignore')

5.3 Loading and Preparing the Data Set:

Dataset can be derived from KAGGLE.

df = pd.read_csv('loan_data.csv')
df.head()

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Fig: 5.1
This figure describes the dataset.

5.4 Describing the Dataset:

df.describe()

Fig: 5.2
This describes the Applicant Income and Loan Amount in the dataset

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CHAPTER 6
SNAPSHOTS AND RESULTS

6.1 Piechart over Loan Status:

Fig:6.1

6.2 Counter plot over Gender and Martial Status:

Fig:6.2

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6.3 Displot over Applicant Income and Loan Amount:

Fig:6.3

6.4 Boxplot over Applicant Income and Loan Amount:

Fig:6.4

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6.5 Heatmap:

Fig:6.5
6.6 Confusion matrix:

Fig:6.6

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CHAPTER 7
CONCLUSION

Loan Prediction using machine learning tools and techniques can help
financial institutions quickly process applications by rejecting high-risk customers
entirely, accepting worthy customers, or assigning them to a manual review. Such
processes with loan prediction using machine learning intact can reduce loan processing
times by nearly 40%. It might lead to financial disaster for banks and obstruct genuine
applicants from getting the needed loans.

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REFERENCES

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