Self-Disclosure of Social Media Accounts And Borrowers Creditworthiness in Islamic Bank

There is a standard method to use credit scoring to estimate borrowers' creditworthiness in a bank's consumer loan. Recently, banks consider adding information regarding borrowers' activities on social media to calculate credit scores. This study aims to examine the relationship between social media accounts' self-disclosure with borrowers' creditworthiness in Islamic Bank. We measure self-disclosure of social media accounts variables as to whether the borrower fills their loan application form with their phone number connected to their social media account, specifically Facebook and WhatsApp. The analysis was carried out on 490 existing customer data at Islamic Bank in Indonesia. The creditworthiness probability model is estimated using a binary logistic regression model. We found that self-disclosure of phone numbers connected to borrowers' social media Facebook has a significant and positive effect on creditworthiness, but this is not the case for the phone number connected to WhatsApp. We recommend that bank management consider this finding to improve their credit scoring calculation