The Schufa Fraudpool is a database against attempted fraud. The Schufa tries with the fraud pool to take action against identity theft and attempted fraud . The number of false identities or also forged forms is increasing. Criminals gain access to credit or economic advantages. The resulting damage is assigned to the general public. But how can a consumer report an identity abuse?
What is the Schufa fraud pool?
The Schufa Fraudpool has long been established with over 106.8 million inquiries, more than 31,000 reported cases of suspected fraud and with almost 109,000 reports. This has created a platform that helps to avoid identity fraud in the credit sector. Banks can thus post registered abnormalities in the fraud pool. This allows banks to warn each other about people who have been rejected at Bank A and who try other credit institutions. 1
How does the Schufa fraud pool work?
The Schufa Fraudpool enables banks to exchange information in order to prevent fraudulent attempts within their contractual partner network. This avoids damage to credit institutions, consumers and the economy as a whole. In short, it's about fraud prevention. It is a network in which suspected fraud can be reported. It is intended to prevent criminal acts and their repetition. Because the banking industry is dealing with fraudsters who, for example, want to get a loan with forged ID cards and pay slips.
What are the fraud prevention challenges?
Especially in the course of digitization in the credit system, the existing anonymity for borrowers is often a relief. They no longer have to go to a branch, but can handle the entire credit process digitally. However, this can increase the number of cases of fraud.
What information does the Schufa Fraudpool store?
The use of forged identity documents. Submitting fake forms, such as pay slips, are the most common fraud scenarios. If you yourself have been the victim of identity theft, this can also be entered in the fraud pool. This protects banks and companies.
What problems can arise?
The relatively new Schufa Fraudpool, works parallel to the classic creditworthiness portfolio of Schufa
- Credit institutions,
- Credit card companies,
- Leasing companies and
- Financial institutions.
However, there are always entries in the pool without any justification. Because solvency alone does not necessarily approve a loan. The pool registers unconfirmed cases of fraud or poor credit ratings.
Anyone who has ever applied for a loan knows that without collateral it will not be approved. Collateral is often salary slips or other loan collateral such as real estate. There is no manual check, only automatic verification. If the system detects anomalies, the loan application is usually rejected.
Entries in the fraud pool can also be made without authorization. The entry reduces the consumer's credit rating and a loan is declined . This happens if there are already suspicious facts that are ultimately not confirmed.
Are there really incorrect entries?
In fact, every now and then it happens that entries are not authorized. Due to the automatic checking system that is used for online loans, a loan request can be rejected as a precaution. Consumers should then not submit another loan application, because the entry is then visible to the registered credit institutions. But even an entry in the Schufa will prevent the credit approval. Such an entry can arise if, for example, there is a loan default. Borrowers then usually no longer receive a loan because of these incorrect entries. However, the credit chances could possibly increase if loan collateral is presented. Think of the pledging of valuable objects. But also the submission or assignment of life insurance policies with a corresponding surrender value. If you apply for a loan, you should first obtain a self-assessment from the Schufa. If there are unauthorized Schufa entries in this information, they can be deleted. By the way, consumers receive a free self-assessment once a year.
What are the goals of the Schufa?
The goal of Schufa is to protect the contractual partners. In addition, consumers are protected against over-indebtedness. The data that Schufa works with come, for example, from public authorities such as the debtor register, which is available at the local courts. Borrowers must give their consent so that the lender can see the Schufa. In addition to the name, date of birth and address, the Schufa score is determined . This value shows the lender the probability of a loan default. Claims that have already been dunned are also entered. Likewise, the abuse of credit cards . The submission of the affidavit is visible from public registers. That is only part of the data that are in the Schufa.
Protection from data abuse
An entry in the Schufa fraud pool that the consumer has been the victim of identity theft cannot have any influence on the creditworthiness or Schufa score calculation. By checking the bank, a victim of identity fraud is registered in the Schufa fraud pool and is thus protected from data misuse. Conspicuous facts are integrated on a platform and thus offer greater protection against fraud. The Schufa Fraudpool meets the data protection requirements.
1 More information can be found on the official SCHUFA website