ECJ ruling on Schufa: Schufa scoring is only permitted under certain conditions
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Customers will not receive a loan if they do not submit a Schufa credit check. This will also apply in the future, says the ECJ. But only if other criteria also apply.
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The European Court of Justice (ECJ) has the scoring of the
Schufa classified as inadmissible if customers of the credit agency – for example banks – decide about loans primarily based on the Schufa value. In this case it is a prohibited automated decision, according to the judges in Luxembourg.
A woman who was denied financing by the bank had sued – the Wiesbaden Administrative Court asked her ECJ whether a decision about a contract can be made purely on the basis of a value such as the Schufa score.
The ECJ has now referred the case back to the Wiesbaden Administrative Court. This should now check whether the German Federal Data Protection Act contains a valid exception to this ban.
The European Court of Justice (ECJ) has the scoring of the
Schufa classified as inadmissible if customers of the credit agency – for example banks – decide about loans primarily based on the Schufa value. In this case it is a prohibited automated decision, according to the judges in Luxembourg.
A woman who was denied financing by the bank had sued – the Wiesbaden Administrative Court asked her ECJ whether a decision about a contract can be made purely on the basis of a value such as the Schufa score.
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