Borrower requests more $ for Credit Card Payoff loan than their RCB

[JimGasperini]

Pardon me if this has been asked before, but I could not find any mention.

I'm looking at a borrower with a Revolving Credit Balance of about $8K. They request a loan of $15K for Credit Card Payoff.
How does this make sense? It would seem they are obviously requesting a loan for $7K worth of something else. Or am I misunderstanding what these terms mean?
Thanks

[Fred93]

https://forum.lendacademy.com/index.php?topic=21605.msg61539#msg88888888Quote"> from: JimGasperini on January 15, 2020, 09:32:08 PM

[rawraw]

How do you determine feature importance Fred?

[TravelingPennies]

Thanks, Fred93. I had suspected that borrowers with such a discrepancy might be less trustworthy than others; it's interesting to know that stats back that up.

[lctz]

It depends on interest rates.  If LC rating model considers the effect; it might charge higher interest rates to compensate the risk.  You can look at historical data to see if this population has higher interest rates comparing to similar rated loans.