Issue 5 Autumn 2008
Snippets
facebook bankInG GooGle To duMP user daTa earlIer
New York-based credit union SEFCU is the latest Google is to halve the amount of time it stores users’
financial institution looking to tap the Facebook personal search data in response to continued pressure
generation by launching a banking application on the from the EU over its privacy policy.
social networking site.
The search giant has said it will anonymise identifiable IP
The tool, developed by mobile banking specialist MShift, addresses on its server logs after nine months.
provides SEFCU members with secure, one-click access
to online account information. All data is encrypted and Google said respecting users’ privacy is “fundamental to
no user data is stored on the Facebook servers. earning and keeping their trust”.
The system also provides users with information from In April, an EU advisory body recommended search
and about SEFCU and includes a social forum for engines should delete personal data within six months.
members. The application has been developed using
MShift’s mobile banking technology and the Facebook Google currently collects and stores information from
API, which enables companies to integrate applications each search query, holding information about the search
and gain access to the social networking site’s millions query itself, the unique PC address (known as an IP
of users. number), and details about how a user makes their
searches, such as the web browser that is being used.
Michael Castellana, president and CEO, SEFCU, says:
“This is another way that we’re bringing banking services The company says it needs this information to improve
to our members to meet their lifestyle needs and its various services and to help fight threats such as
demands… leveraging the best in banking technology fraud, spam and malicious attacks, and to aid “valid legal
while at the same time using their social networking site.” orders” from law enforcement agencies.
MShift has already worked with Silicon Valley-based It keeps this information for a set period before
KeyPoint Credit Union on a similar application. “anonymising” it - disconnecting the data from an
individual.
In a recent poll of 1000 Facebook users aged between
18 and 34, WorkLight found that 48% of respondents In June last year, Google announced it was cutting the
would take advantage of online banking with Web 2.0 amount of time such data was stored from 24 to 18
gadgets if offered the service, while one in four would months.
even consider leaving their bank in order to obtain Web
banking through networking widgets.
26 | Perspectives on the future
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