What is OOB error and how does it occur?

For each bootstrap sample, there is one-third of data that was not used in the creation of the tree, i.e., it was out of the sample. This data is referred to as out of bag data. In order to get an unbiased measure of the accuracy of the model over test data, out of bag error is used. The out of bag data is passed for each tree is passed through that tree and the outputs are aggregated to give out of bag error. This percentage error is quite effective in estimating the error in the testing set and does not require further cross-validation.