The UCF Department of Statistics and Data Science in partnership with Addition Financial is excited to announce the 2024-2025 Analytics Competition! Participants will analyze real-world data to gain actionable insights into the factors influencing consumer decisions when choosing financial institutions for mortgage loans. The goal is to enhance Addition Financial’s understanding of these factors to inform strategic planning and better meet customer needs. By developing a rigorous and reproducible statistical analysis and presenting their findings in a way that is accessible to non-experts, students will gain valuable experience for their future careers. And to top it off, there’s a $3,000 grand prize!
COMPETITION INFORMATION
UCF students will engage in a real-world project with Addition Financial, analyzing key factors that influence consumer decisions in the mortgage loan market, such as interest rates, fees, reputation, trust, loan terms, and customer service. Utilizing publicly available HMDA data, consumer reviews, financial ratings, and industry reports, they will uncover patterns and trends in consumer behavior. This experiential learning initiative fosters creative and critical thinking, challenging students to envision Addition Financial’s future growth and its impact on the communities it serves. By collaborating with industry experts and receiving guidance from professors and Graduate Assistants, students will present their findings to key stakeholders, developing practical skills in data analysis and decision-making while gaining a deeper understanding of the interplay between finance, demographics, and community development. Ultimately, this partnership empowers the next generation of professionals with the knowledge and expertise to navigate the complexities of modern financial institutions and contribute to the sustainable growth of Florida’s diverse communities.
Problem
Addition Financial, with its mission to empower the financial well-being of its members, seeks to understand the critical factors influencing consumer decisions when choosing a financial institution for mortgage loans. By analyzing a variety of factors such as interest rates, fees, reputation, trust, loan terms, customer service, approval speed, product offerings, convenience, recommendations, financial stability, and special offers, Addition Financial aims to gain valuable insights into consumer behavior.
The challenge lies in identifying why consumers choose one financial institution over another, enabling Addition Financial to tailor its offerings to better meet the needs of future potential borrowers. This multifaceted approach will inform Addition Financial’s strategic planning, enhancing its competitive edge in the mortgage market and ensuring sustainable growth and profitability. Through this analysis, Addition Financial aims to broaden its reach and impact, fostering financial growth and well-being within the communities it serves.
Dataset
Contest participants will have access to a variety of publicly available datasets to aid in their analysis. The primary sources of data are:
- **Consumer Financial Protection Bureau (CFPB)**: The CFPB provides a comprehensive overview and access to HMDA data, including raw data, reports, and analysis of mortgage trends. This data is crucial for understanding lending patterns and consumer behavior.
- **Federal Financial Institutions Examination Council (FFIEC)**: The FFIEC’s HMDA platform offers access to loan-level data, including the Modified Loan Application Register (LAR) data. This platform is essential for detailed analysis of loan applications and mortgage market activity.
Participants will also need to use publicly available data dictionaries pertaining to the dataset that describes each of the data points, ensuring a clear understanding of the data being used. It is imperative for participants to familiarize themselves with the data dictionary, as much of the data is industry specific.
Using these datasets, participants are expected to perform in-depth analysis to uncover patterns and trends in mortgage lending. Participants will need to explain their findings in a clear and concise manner, emphasizing the accuracy of their results. This comprehensive approach will help participants understand the critical factors influencing consumer choices and provide actionable insights for Addition Financial’s strategic planning.
Contest Structure
The primary objective of this endeavor is to accurately predict and make well-informed decisions about the critical factors influencing consumer choices when selecting a financial institution for mortgage loans. This analysis aims to leverage publicly available HMDA data, consumer reviews, financial ratings, and industry reports to uncover patterns and trends in consumer behavior.
All entries will be judged based on the following criteria:
- Content in the Project Report
- Modeling Approach
- Results and Conclusions
- Presentation of results
Project codes must be written in R, Python, or Microsoft SQL.
Code file types should be compatible with the software used: (example:
R file should be in “*.r” (.rmd preferred), Python in “*.py” (.ipynb preferred), Microsoft SQL file should be in “*.sql”).
**Teams will be required to formally present their findings to the AFCU competition judges at the AFCU Headquarters located at 1000 Primera Blvd. Lake Mary, FL 32746.**
Judges will need to replicate the analysis using the team’s code/model on a test dataset. Teams must provide formal instructions on how to run their model. Judging will be based on the application of the data, the method(s) used to reach conclusions, the number of significant relationships or correlations discovered, and the presentation of their findings.
It is crucial that contest participants communicate their findings in layman’s terms. Treat this assignment as if you were presenting to a group of decision makers that may not have a strong background in rigorous statistical analysis.
Competition Documents
See the documents below for the official competition description, rules, and ongoing Q&A regarding the competition.
Prizes
AFCU is offering a worthy prize structure to incentivize participation:
1st Place Team: $3,000
2nd Place Team: $1,500
3rd Place Team: $500
Important Dates
Contest start date: September 27, 2024
Final submissions due: January 13, 2025 (early submissions are encouraged)
Group presentations will be conducted between February 10, 2025 and February 21, 2025
UCF notification of top three winners: March 1, 2025
Eligibility and Team Format
The contest is open to current full-time and part-time UCF students. Students will submit as a team with at least 1 member and up to 5 members. To register please use the link below:
Registration FormContestants are strongly advised to consult with a faculty member for guidance in this competition.
Kick-off Event
The competition kick-off will be hosted in-person by the UCF Department of Statistics and Data Science on September 27, 2024.
Time: 11:00am – 12:00pm
Location: BA1 Rm119
Questions & Contact
AFCU encourages students to contact us at any time with questions concerning the competition. Please direct any questions you may have to Dept-BusinessIntelligence@additionfi.com
All questions and answers will be shared with other competitors via the FAQ page.
Submission
The submission link is here:
Submission Link