I used to always prefer to pay later (with no interest), cuz i heard it would prove schufa score but I just received an email from klarna, how in the future they will need to view all my purchases history to make sure it fits my budget and income.
What the heck? I thought EU was better for privacy. If we don’t buy things on credit, we get a bad credit score, and if we do, then we have to sell our data ?
This move is very good, and fucking about time! Some things should NOT be privacy based, because these services like Klarna might work for you, but they are destroying lifes for some who cant manage these kind of things.
They need to be accountable, and they cant if the dont get any information at all.
If you want the most privacy - which doesnt exists anyway, because VISA/Mastercard, Apple or Google Pay and your bank already has it - pay with cash.
This move by the EU is great. Dont act like you had privacy before the 20th of november anyway.
Play stupid games, win stupid prizes.
I think we can’t demonize one part of the system without talking about the other. Credit history has to be maintained incase we want to buy basic things like housing or cars cuz otherwise they are too expensive.
And cash isn’t a viable option due to initiatives like digital euro. Iirc, from next year we can’t buy anything above 3k with cash (there will be some kyc involved) and above 20k is just not allowed.
This law in particular creates reasonable grounds for these companies to collect data about our income and expenditure for eventually implementing dynamic pricing. And I wonder, was there no other way to implement this without sharing our financial data?
Credit scores didn’t exist in the 1950s and people bought houses just fine.
A credit score is already tracking data about you and your history of payments and how much.
Yeah, housing was much more affordable back then.
And based on what I have heard, when you pay out of pocket, it does not show that you are someone responsible vs if you buy on credit and then pay before the deadline. The latter is more stronger proof of financial responsiblity than the former. Not that I agree with that logic
If we don’t buy things on credit, we get a bad credit score
Huh? Isn’t “credit score” just a US thing? I’ve never once heard of it in a European context or encountered it myself. when I’ve had to borrow money they just requested my last 3 pay slips (only borrowed for my house, and a new car once), and in the case of buying my house I had to show a budget.
Maybe it’s meant as a disincentive to keep people from using services like klarna because too many people aren’t financially responsible enough to handle it.
Sorry you got some benefit out of it, but I would just stop using it after this. It doesn’t help much and if you delete the account it’s one less account you have to worry about getting sold or exposed in a data breach. The EU is better than the US for a lot of consumer protections, potentially including this law, but not necessarily privacy.
Im not sure if this will disincentivize enough people or not. But for sure, this will create reasonable ground to collect our monthly expenditure and income data to eventually use in dynamic pricing
True. If there’s no law against it I’m sure it will happen sadly.
Klarna is already a privacy nightmare anyway.
Yeah, true. I mostly used it for 2 things, some form of buyer’s protection and this pay later with no interest.
