Disappointed at Apple. They seem to at least try to not be evil, but this is just sad. Don’t think I saw any apology from either them or GS. probably that’ll result in a lawsuit. however what I wonder, lets say for arguments sake, the model was accurate and the results are discriminatory. there is no step in a typical software development life cycle to check for moral/ethical implications. i’ll be laughed out of the room for bringing this up as an SWE during project planning. this is happening all too fast - and lot of it is not questionable. what would you do if you spotted something like this?
^ what BMO said. Existing utilization/ balances and payment behavior are important criteria in decisions. Issuers follow strict rules around what variables cannot be used which includes things like gender, race, age etc.
Yeah. Honestly I would be really surprised if Goldman screwed this up.
It's all BS. GS nor any bank will give access to gender or demographic information for credit models. Furthermore there are significant internal controls to ensure that there is no bias and on top of that the fed inspects the models themselves. Also, to top it off, historically females are better credit risks so dumb fucking idea to screw them over.
This is why banks have compliance departments. There's no way this was overlooked.
Moral/ethical considerations, how about start with legal considerations? Unlawful models are still unlawful regardless of accuracy.
So in all of the reporting so far, nobody has mentioned spouses’ relative incomes. They went into detail about filing taxes jointly (not relevant when applying for credit cards), credit scores (relevant but far from dominant factor), but nothing about the incomes, which to me seemed like trying to bury the lede. I don’t know DHH’s or Wozniak’s situations, and I have no idea whether this is what happened or not, but wouldn’t specifying vastly different incomes on the applications result in vastly different credit limits too? And if it did, would that be at all surprising?
Not to mention length of credit history, on time payments, existing debt, or just about anything that could be different between spouses...
Credit cards ask for household income, not individual income.