I also love how they call those people “consumers” despite the fact that you’ve got no choice in the matter. I can’t wait for this “credit history” bullshit to go away, it’s just too much risk for a single company to hold that much personal data about everyone without having the choice of opting out.
I think challenger banks should lead the way in providing a safer credit history system - if you apply for credit how about the lender using your bank’s API (through a normal authentication prompt) to get the info they need? This would limit the risks of a breach and also give the user a way to choose which company (the bank in this case) they trust with their credit data. Maybe some collaboration with Starling and other competitors is in order to get this sorted ASAP.
Update from Brian Krebs (a respected figure in the security community):
So our credit history could potentially be out there as well. Shit.