According to CNN, social media data is being used to determine whether or not you are eligible for a loan. For example, financial lending company Lenddo checks to see who you're friends with on Facebook to determine "who is trustworthy and reliable." If you are friends with someone that "was late paying back a loan to Lenddo" or if this is someone you frequently interact with, "that's bad news for you."
A German company called Kreditech says that it uses up to 8,000 data points when assessing an application for a loan.
In addition to data from Facebook, eBay or Amazon accounts. Kreditech also gathers information from the manner in which a customer fills out the online application. For example, your chances of getting a loan improve if you spend time reading information about the loan on Kreditech's website. If you fill out the application typing in all-caps (or with no caps), you're knocked down a couple pegs in Kreditech's eyes.
Kreditech can determines your location and considers creditworthiness based upon whether your computer is located where you said you live or work.
The individual data points may not have meaning themselves, but can paint an good picture of the applicant when brought together, said Sebastian Diemer, a co-founder of Kreditech.
|Victim of These Economic Times: the Decline of Street Lights in American Cities|
|"The rich are going to continue to gobble up a greater share of income, and our current system will do nothing to reverse that trend."|
|Canada's Fading Penny|
|"Wealth doesn't trickle down, it just floods offshore." $21 Trillions Lost to Global Tax Havens|
|18 Brilliant Inventions Suppressed in the Name of Corporate Profiteering|
|“This incredible inconsistency can make English really hard to master for non-native speakers.”|
|How to Avoid Jury Duty|
|“That’s why Colorado School of Mines decided it was time for students to learn how to tap celestial bodies for all they’re worth.”|
|“What if there was a thermostat that allowed you to turn down the temperature of the Earth whenever you wanted.”|
|Japanese Robot Serves Ice Cream From Inside a Vending Machine|
|Review of BenQ's treVolo S Portable Electrostatic Bluetooth Speaker|
|“Lifting the electric motors out of Teslas and putting them in the chassis of other, formerly gas guzzling cars.”|
|On Instagram, Everyone Takes the Exact Same Photos|
|“Rejuvenation is Finally an Industry.”|
|“What can we do to make responsible use of plastic a reality? First: reject the lie.”|
|The (Very Scary) People of Public Transit|
|Why, Typewriters Are Alive and Well, Thank you|