Gains Chart

Figure 1. Gains chart for bad credit rating target category
Gains chart for bad credit rating target category

This gains chart indicates that the model is a fairly good one.

Cumulative gains charts always start at 0% and end at 100% as you go from one end to the other. For a good model, the gains chart will rise steeply toward 100% and then level off. A model that provides no information will follow the diagonal reference line.

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