The ruling by the Traunstein District Court (LG) of 28 October 2024 (Az. 3 O 801/24) has heralded a significant turning point in the case law on SCHUFA entries. It obliges SCHUFA to delete a negative entry about a settled claim after the legally prescribed six-month storage period has expired. In addition, the SCHUFA was ordered to correct the plaintiff’s score because it was based on inadmissibly stored data. The decision not only strengthens the rights of the plaintiff, but also paves the way for data protection and protection against unjustified economic disadvantages.
Legal basis Schufa: General Data Protection Regulation (GDPR) and Art. 21 GDPR
The General Data Protection Regulation (GDPR) forms the central legal basis for the protection of personal data in the European Union. Two central articles are of importance here:
1. Article 5 of the GDPR: This article stipulates that personal data may only be processed for no longer than necessary for the purpose of the processing. For SCHUFA, this means that data on settled claims may no longer be stored if they are no longer necessary for the credit assessment.
2.Art. 21 GDPR: This article grants consumers the right to object to the processing of their data if it is not based on a legal basis or a compelling balance of interests. In the case of SCHUFA, this means that data subjects can object to the storage of their data if the disadvantages for them outweigh the benefits.
The Schufa ruling of the Traunstein District Court: A clear line
In its decision, the court found that SCHUFA had exceeded the six-month storage period after the claim had been settled. This violates the principles of the GDPR, in particular Art. 5, which prescribes data minimisation. Furthermore, the court emphasised that the economic disadvantages for the plaintiff – such as the rejection of a loan – outweigh SCHUFA’s interest in longer storage.
Key points of the Schufa ruling:
1.Right of cancellation: Data on settled claims must be deleted no later than six months after settlement.
2.Duty of rectification: A SCHUFA score based on inadmissibly stored data is incorrect and must be adjusted.
3.Balancing of interests: The judgement shows that the rights and freedoms of the data subjects under the GDPR take precedence over the interests of SCHUFA.
Further landmark judgements on SCHUFA entries
The Traunstein District Court is one of a series of judgements that strengthen consumer rights:
1. Regional Court of Karlsruhe, ruling of 26 September 2024 (Ref. 7 O 118/24):
The court ruled that storage beyond twelve months is not justified. Debtors who have paid their debts must not be placed in a worse position than persons who have been discharged of their debts through a residual debt discharge.
2. Mönchengladbach District Court, judgment of 2 September 2024 (Ref. 10 O 158/23):
In this case, SCHUFA was ordered to delete an entry because the three-year storage period was disproportionate.
3. Duisburg District Court, judgment of 24 July 2024 (Case No. 4 O 423/23):
The court ordered the deletion and score correction because the entry led to economic disadvantages for the plaintiff.
4. Naumburg Higher Regional Court, judgment of 2 March 2023 (Case No. 4 U 81/22):
The OLG ruled that SCHUFA is liable for incorrect entries. The plaintiff received €4,000 in damages after being denied a real estate loan.
5. ECJ, judgment of 7 December 2023 (C-26/22, C-64/22):
The ECJ ruled that insolvency data may no longer be stored as publicly accessible. This judgement strengthens the rights of consumers after successful debt relief.
Tips and tricks: how to effectively use your rights
It is crucial for consumers to actively exercise their rights vis-à-vis SCHUFA. Here are some practical tips:
1.Regularly review your SCHUFA data: Request a free self-disclosure once a year. This provides you with an insight into the data stored and enables you to identify incorrect or inadmissible entries.
2.Use Art. 21 GDPR: Object to the processing of your data if you believe that the storage is unlawful or that your interests outweigh those of others. Justify your objection clearly, for example by providing evidence that the debt has been settled.
3.Maintain a written dialogue: Make sure that your inquiries and objections to SCHUFA are made in writing. Demand written confirmation or a comprehensible explanation for the data processing.
4. Keep records of economic disadvantages: If a SCHUFA entry leads to credit rejections or other disadvantages, keep records of these. This evidence can be crucial in court.
5. Seek legal counsel: If SCHUFA refuses to delete or correct data, consult a specialised lawyer. Dr. Thomas Schulte, a lawyer, offers comprehensive support in enforcing your rights.
Dr. Schulte: Your partner for SCHUFA proceedings
Dr Thomas Schulte is an expert in data protection and consumer law and has successfully represented numerous clients against the SCHUFA. His team will check your SCHUFA data, enforce your rights and advise you on all legal options.
Services provided by the law firm of Dr Schulte:
•Checking SCHUFA data for legal violations
•Advice on objections in accordance with Art. 21 GDPR
• Representation in and out of court
Conclusion: Your rights secure your future
The ruling of the Traunstein District Court and the most recent decisions of other courts show that consumer rights in the area of data protection are being taken seriously. With a clear strategy and legal support, you can delete inadmissible SCHUFA entries and have your score corrected.
Contact Dr Schulte for a free initial consultation:
email: dr.schulte@dr-schulte.de
phone: +49 30 – 22 19 220 20
Use your rights and ensure that your economic future is not compromised by unauthorised data. Dr Schulte and his team are at your side with expert advice. You can find more information at dr.schulte.de.
Auf der Webseite von Dr. Schulte finden sich mehrere relevante Artikel und Informationen zu SCHUFA-Themen, die sich mit den rechtlichen Aspekten und den Herausforderungen für Verbraucher befassen. Hier sind einige der wichtigsten Links:
links:
1.Creditworthiness and SCHUFA Entries: This article explains how unjustified SCHUFA entries can threaten consumers’ creditworthiness. Dr. Schulte provides advice on how affected individuals can address negative entries. Read the article here.
2.The Power of SCHUFA: Dr. Schulte discusses the extensive impact of SCHUFA entries on creditworthiness and business life, offering tips for reviewing SCHUFA data and defending against incorrect entries. Read the article here.
3.SCHUFA Universe: This article examines SCHUFA’s role in economic life and consumer rights concerning their data, including the right to free information and correction of incorrect data. Read the article here.
4.Removing Rest Debt Discharge Entries: This article addresses the challenges in deleting entries after a debt discharge and the legal basis for doing so. Read the article here.
5.Compensation Claims for Data Transmission: Dr. Schulte explains under what circumstances consumers can claim compensation against SCHUFA, particularly in cases of unlawful data processing. Read the article here.
6.Reviewing SCHUFA Reports: This article highlights the importance of regularly checking your SCHUFA report and initiating legal steps to remove incorrect entries. Read the article here.
7.Everyday Problems with SCHUFA: This article sheds light on the daily challenges faced by individuals dealing with negative SCHUFA entries. Read the article here.
These resources provide valuable insights into the legal aspects surrounding SCHUFA and support consumers in understanding and asserting their rights.
Learn more on Dr. Schulte’s website about tackling SCHUFA issues effectively!