AI in the Banking Sector: Lessons from the Schufa Case
Abstrakt
The advent of Artificial Intelligence (AI) has opened many opportunities and, equally, has brought many challenges. Th is is also true for the banking sector, as the Schufa case attests. Th e purpose of this paper is to examine the CJEU’s decision in the Schufa case regarding AI use within the banking sector and its legal implications. Th is case questions recent practices concerning credit scoring and demands more robust protection of individual rights and a more accountable use of AI in the fi nancial sector. Th e ongoing dependence of banks on automated decision-making to assess the creditworthiness of their clients raises important questions about transparency and fairness regarding the outcomes of such assessments. Th e paper offers an analysis of the GDPR, namely Article 22(1), and the criteria for automated decision-making clarified in the Schufa case, particularly in situations that fall outside the scope of the GDPR.Bibliografia
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