Credit and personal

Credit and personal data protection

By legal or technical necessity, banks and credit agencies have a certain amount of information on the personal and financial situation of their clients.

THE PROTECTION OF PERSONAL DATA COLLECTED BY BANKS
By legal or technical necessity, the banks and credit agencies have a number of information on the personal and financial situation of their customers :
They collect identifying information about them, they collect the incidents of loan repayments in over and memorize all the information on demand and the allocation of credit : personal and family situation of the borrower , his repayment capacity , its guarantees , the risk score assigned based on the potential (segment score …) eLoanPersonal. Given the risks to privacy resulting from the ownership of personal information, the law ” Informatique et Libertes “of January 6, 1978, as amended by the Act of August 6, 2004, and his body control and protection, CNIL over its recommendations to the credit industry , constantly seeking a balance between the imperatives of banking security and respect for individual freedoms , require credit agencies to certain guarantees: 1. The treatment of personal and financial information should in principle be subject to a prior declaration to the CNIL established on a special (simplified standard No. 13) available to the CNIL (www.CNIL.fr), with the reference to a specific purpose and legitimate , other than just professional interest of the credit institution Personal loans with no credit check. However, treatment whose purpose is to assign a note to a customer in order to assess the risk associated with this contract and customer to refuse if the granting of credit (scoring system), are submitted in accordance with Article 25-4 of the Act of 6 January 1978, the licensing scheme of the CNIL , which will also responsible for checking the variables used in calculating the score and control procedures for the use of scoring systems. 2. Treatment can involve only non-sensitive data say , accurate and relevant to credit management. Apart from some exceptions provided by law, the treatment will involve information relating to racial, ethnic, political opinions, philosophical or religious, trade union membership, health or sexual orientation of the borrower . In particular, the CNIL refused to credit institutions use Social Security numbers (NIR) whose use is limited to the sphere of health and social sphere. (CNIL Recommendation of 26 February 2006) The data collection must be fair and lawful , non-judgmental or subjective comment and conservation should not exceed the time required for the purpose for which it is made. 3. The controller must inform the person whose data is collected for the existence of his right of access, rectification and opposition ; (Law 78-17 of January 6, 1978, s. 7 and 39) , the CNIL considers that people whose personal and financial data are collected should be able to obtain not only the personal data on their person, but the references to their possible segmentation and get the meaning of this segmentation , “without there being any to examine whether decisions or their results were opposed on the basis of this information. ” (Decision No. 93-032 of 06 April 1993) 4. The personal and financial information recorded by the credit agency covered by the secrecy and the controller is required to take “all feasible precautions” to prevent this information “from being disclosed to unauthorized third parties” (Law 78-17 of January 6, 1978, s. 34) Personal loan for poor credit. The program to monitor international financial transactions through the network of the company organizing the transfer of SWIFT data to U.S. authorities revealed in June 2006 was therefore considered contrary to the French rules and European data protection by the Coordinating Group of the European authorities for data protection (G29). On March 8, 2007, the CNIL has renewed its refusal to allow the creation of a centralized database of loans to individuals files (called “positive power”) whose purpose, regular agenda, is to allow credit institutions interested in sharing any information they have on their clients and on loans they have granted . CNIL, however, approved the establishment of information exchange between subsidiaries to fight against attempts to improperly obtained credit, and prevent unpaid subject to the following : – legitimacy of the purpose of preventing fraud and unpaid – ad hoc and limited exchange of information between beneficiaries of the exchange that takes place only between companies specializing in consumer credit and subject to bank secrecy – there is a community of financial risk , – customer’s explicit permission to share information covered by banking secrecy through a special clause in the supply of credit included in the signature area, stating the purpose and beneficiaries of trade. (Recommendation November 16, 2006 and CETELEM COFINOGA)