Enhancing Credit Literacy and Loan Eligibility Accuracy in Emerging Markets through Large Language Model Integration: The Credit Smart Framework

CreditSmart demonstrates that financial literacy platforms must evolve beyond static calculators. By unifying DTI computation, CIBIL-inspired credit health modeling, and LLM-powered personalized advisory under an Active Financial Context architecture, the platform transforms passive financial tools into intelligent, transparent consultants. Empirical evaluation confirms improvements in perceived performance, recommendation relevance, and user financial comprehension—particularly important in emerging economies where the gap between credit availability and credit literacy remains structurally wide. The platform offers a scalable, privacy-preserving model for next- generation inclusive banking systems and AI-powered FinTech infrastructure.

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