Regulatory considerations for the use of mobile records for retail credit scoring

First Access featured in GSMA’s Mobile Money for the Unbanked blog. We particularly appreciate their outline for mobile data use below.

Sharing MNOs data analytics for credit scoring could only take place:

  • with the express consent of individuals (obtaining this retrospectively would be a major challenge as would communicating information about what data will be used and why among a population with varying degrees of literacy);
  • under clearly defined rules to limit abuse of data, in compliance with all relevant legislation for privacy and data protection;
  • with clearly defined rules on accountability mechanisms, including audits, regulatory oversight and enforcement;
  • if there is a strong business case for MNOs and they have the right incentives to participate in a sharing system.