Schufa faces potential lawsuit from NOYB over historical data storage

The European data protection organization NOYB has announced plans to file an injunction against the German credit agency Schufa. The legal dispute centers on whether Schufa is maintaining a “shadow database” by storing historical data—such as old loans, seizures, or private insolvencies—beyond legally required deletion periods.

NOYB alleges that these historical entries continue to influence credit scoring decisions even after they should have been erased. In response, Schufa has rejected these accusations, stating that it maintains a legitimate data archive to meet regulatory requirements and to develop scientifically reliable credit scores. Schufa CEO Tanja Birkholz emphasized that the company does not operate a shadow database but rather follows storage periods agreed upon with data protection authorities.

Max Schrems, chairman of NOYB, criticized Schufa’s position, suggesting the company acts as if it is above European law. While Schufa has refused to provide cease-and-desist declarations, NOYB is preparing legal action and is also considering collective legal steps or class-action lawsuits.