Purpose – Personal bankruptcy is on the rise in Malaysia. The Insolvency Department of Malaysia reported that personal bankruptcy has increased since 2007 and the total accumulated personal bankruptcy cases stood at 131282 in 2014. This is indeed an alarming Issue because the increasing number of personal bankruptcy cases will have a negative impact on the Malaysian economy as well as on the society. From the aspect of individual’s personal economy bankruptcy minimizes their chances of securing a job. Apart from that their account will be frozen lost control on their assets and properties andnot allowed to start any business nor be a part of any company’s management. Bankrupts also will be denied from any loan application restricted from travelling overseas and cannot act as a guarantor. This paper aims to investigate this problem by developing the personal bankruptcy prediction mo...

Purpose.  Personal bankruptcy is on the rise in Malaysia. The Insolvency Department of Malaysia reported that personal bankruptcy has increased since 2007, and the total accumulated personal bankruptcy cases stood at 131,282 in 2014. This is indeed an alarming issue because the increasing number of personal bankruptcy cases will have a negative impact on the Malaysian economy, as well as on the society. From the aspect of individual’s personal economy, bankruptcy minimizes their chances of securing a job. Apart from that, their account will be frozen, lost control on their assets and properties and not allowed to start any business nor be a part of any company’s management. Bankrupts also will be denied from any loan application, restricted from travelling overseas and cannot act as a guarantor. This paper aims to investigate this problem by developing the personal bankruptcy predic...