Research
“A New Era for Credit Scoring: Financial Inclusion, Data Security, and Privacy Protection in the Age of Digital Lending”
The Center for Long-Term Cybersecurity (CLTC) has published a new report, A New Era for Credit Scoring: Financial Inclusion, Data Security, and Privacy Protection in the Age of Digital Lending, that examines the trade-offs associated with digital lending platforms in India. By providing small loans to consumers through their mobile phones, lending apps have broadened access to credit for low-income borrowers. But they have also introduced new threats to fairness, privacy, and digital security, as lenders use an array of personal data — including age, location, and even personal contacts — to gauge an individual’s willingness and ability to pay.
