# What does “20/ln(2)” mean in logistic regression?

I am trying to understand Logistic Regression in relation to credit scoring model. I wish to understand the significance of "20/ln(2)" in logistic regression. Why and how is it used?

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Could you please give a www link how 20/ln(2) is applied? Thanks! – GaBorgulya Apr 28 '11 at 12:04
Looks like a simple transformation (on a linear scale) bit.ly/klhGCr – chl Apr 28 '11 at 12:49

A widely used convention in credit scoring is the concept of "Points to Double the Odds" (often abbreviated PDO), and this is the source of the $\ln (2)$ in the question. For example, how many points does the score change if the odds increase from 100:1 to 200:1.
So, the interpretation of the $20/\ln(2)$ is that for a 20-point increase in score, the odds double.