Schufa faces data deletion demand from Noyb

Privacy group Noyb demanded Wednesday that Schufa delete historical consumer data it says is being stored illegally and threatened court action if Germany's main credit-scoring agency refuses.

Noyb accused Schufa of keeping information on millions of consumers beyond certain retention periods, including data on old loans and personal bankruptcies that German media reports in July described as a “shadow database”. The Vienna-based group said the data continues to be processed and used by third parties to check credit scores.

Schufa provides creditworthiness assessments used by landlords, banks and other businesses. It said its processing of historical data complies with legal and regulatory requirements and that erasing the data would harm consumers and the economy. It said it would defend its storage practices in court.

Noyb's formal notice demands that Schufa stop storing data beyond certain periods and provide historical data to people who request it. The group says refusing to hand over historical data violates the EU's General Data Protection Regulation. Noyb said it would seek an injunction if Schufa refuses and is considering a class-action lawsuit seeking compensation for affected people.