Abstract
Credit scoring software has become firmly established in the banking sector as a means to mitigate defaults and non-performing loans. These software systems pose significant challenges related to their non-transparent nature as well as biases inherent in the data nurturing the machine learning. Despite the Artificial Intelligence Act Proposal not being enacted yet, legal precedents have begun to emerge, starting with the ruling of the Court of Justice of the European Union (Case C-634/21). This ruling acknowledges that individuals seeking bank loans have the right, under Article 22 of the GDPR, to demand an explanation regarding the decision-making process of such programs. This article aims to analyze the evolution of credit scoring software since the SCHUFA ruling and the entering into force of the Artificial Intelligence Act.