Thursday, August 9, 2018

Facebook Wants your Bank Data

Facebook wants you, and not just you.  The Wall Street Journal reported earlier this week:

Facebook Inc. wants your financial data.

The social-media giant has asked large U.S. banks to share detailed financial information about their customers, including card transactions and checking-account balances, as part of an effort to offer new services to users.

Facebook increasingly wants to be a platform where people buy and sell goods and services, besides connecting with friends. The company over the past year asked JPMorgan Chase JPM -0.37% & Co., Wells Fargo & Co., Citigroup Inc. C -0.43% and U.S. Bancorp USB +0.17% to discuss potential offerings it could host for bank customers on Facebook Messenger, people familiar with the matter said.

Facebook has talked about a feature that would show its users their checking-account balances, the people said. It has also pitched fraud alerts, some of the people said....

As part of the proposed deals, Facebook asked banks for information about where their users are shopping with their debit and credit cards outside of purchases they make using Facebook Messenger, the people said. Messenger has some 1.3 billion monthly active users, Chief Operating Officer Sheryl Sandberg said on the company’s second-quarter earnings call last month.

Alphabet Inc.’s Google and Amazon.com Inc. also have asked banks to share data if they join with them, in order to provide basic banking services on applications such as Google Assistant and Alexa, according to people familiar with the conversations.

“Like many online companies, we routinely talk to financial institutions about how we can improve people’s commerce experiences, like enabling better customer service,” Facebook’s Ms. Diana said. “An essential part of these efforts is keeping people’s information safe and secure.”.... Rest of article.





Karl Denninger commented on this story in a rather colorful fashion at The Market-Ticker:

When did you consent to your bank "sharing" data on your account with Facebook?
Would you consent?  Under what terms?

Are you out of your ****ing mind?

Facebook's stock is up some 3.5% today on the "news" that it is working on "partnerships" with major banks, which will include access to your account data -- including balances.

May I remind you that the major credit-card processing networks -- same banks, ultimately folks -- have over the last few years, prompted by the "chip" thing in cards, quietly been changing from "Level 1" (that is, amount-of-transaction only) data from merchants to Level 3, which captures the quantity, price and exact items or services purchased?

The merchants are being coerced into this with a lower discount rate if they consent, with the argument being "better fraud detection" and thus lower losses.  In other words where the discount rate might be 2% if they just do transaction total the banks will give them a 1.5% rate if they consent to Level 3.

When were you consulted on any of this and given fair disclosure?

When was a sign posted at the checkout that every single line item in your cart was being sent, in detail, to both Visa and your bank and that they may do with that data as they please, including selling it to your health insurance firm, car insurance company and, quite-possibly, your employer?

Never.

So now you go into a restaurant and instead of the bank knowing you charged $45.02 on your card they now know you bought a $20 steak and $18 worth of beer -- and the rest was tip.

They also now know if those beers were $6 each -- you drank three -- or if you got them on happy hour for $2 and you drank nine of them!

This is extremely valuable information; among other things if you ever buy alcohol far enough away from your home that you could not have reasonably walked you are instantly assumed to drive drunk by your car insurance company and pay another $200 a year -- or more -- for your car insurance.

Think I'm kidding?

Nope.

This is happening right now, today.

Now Facebook wants the same thing, indirectly, so they can exploit it and they're going to get it.
When did you consent to any of this from either end?

Never.... Rest of post.

14 comments:

Anonymous said...

Don't have a Facebook account. Have never had one. Thank our lucky stars that Facebook didn't arrive at the same time as the initial ascendancy of the Clinton crime family.

Anonymous said...

I don't have Facebook, will never have Facebook, and strongly recommend no one else use a FB account. Same thing with online banking. I will stop paying my bills with a check sent in an envelope via USPS only when banks no longer provide checks for customers. I will switch to money orders and cash only at that point.

Fools' names and fools' faces are often seen in public places. Like Facebook.

Anonymous said...

Diamond Dogs is a truly underappreciated Bowie effort.

Anonymous said...

Everyone should read Orwell’s 1984 book. It’s here. Facebook is one great spying machine.

Anonymous said...

The only way I'd agree to become a Facebook user is if Jesus Christ himself told me to do so. Anything less than that, no way!!!

Anonymous said...

I, too, don't have a facebook account. I don't have any grandchildren and I'm not a small business owner peddling junk, so that excludes me from 99% of the demographic of Facebook users.

Anonymous said...

10:19...How is it you know so much (misinformation) about Facebook? How many kids you run off your sidewalk in the past three days?

PS: You lied too.

Anonymous said...

This is why I prefer cash and/or checks for bill payment. I don’t have a FB account. Thing is though, I have a google account for e-mail. I trust these companies as much as I trust Communist regimes.

They have more or less forced us onto the internet for everything and the internet was never intended to handle every detail of our lives, much less banking. It’s simply not that secure and never will be.

As per your phone, lock it down and lock it down tight. Location services, cookies, and especially ‘the cloud’ should all be switched off for personal affairs.. Siri and/or Alexa too. The day Amazon delivers a package to my house by drone is the day they lose my business.

Anonymous said...

These comments are very telling about the demographic and mindset of this audience.

Anonymous said...

Amen 12:56, some days you wonder, they don't have FB, but they surf the web, how else did they find JJ. Google and every other search engine tracks you 10x as much as Facebook.

Anonymous said...

only un-informed low information voters defend facebook...sorry its true!!!

Anonymous said...

It is not believable to me that all of the trolls on here actually don't have facebook accounts? Unbelievable.

Anonymous said...

How do you defend the use of a word you spell as "un-informed". There is no such word. "Defend Facebook" against what, for what reason, why? What defense? Make yourself clear (if you can), if you're not UN-ABLE.

Anonymous said...

Congress could make sharing personal data by any financial institution illegal tomorrow.

Our politicians had rather we not pay attention to those sorts of things but continue arguing partisan nonsense.

How are you enjoying paying for television and radio these days ? You weren't paying attention to the details then either.


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If you get tired come relax at the Fox News Tent. To gain admittance to the VIP section, bring either your Republican Party ID card or a Rebel Flag. Bringing both will entitle you to free drinks.Get your tickets now. Since this is an event for trolls, no ID is required, just bring the hate. Bring the family, Trollfest '07 is for EVERYONE!!!

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