Category: Economics and Banking

Next time you shop, and pay by credit card, consider this. According to a recent report “Unique in the shopping mall: On the reidentifiability of credit card metadata”, it is possible to take anonymous transaction data and by applying analytics to the data, uncover considerable information about the card holder, especially, when cross-matched with other data sources. More broadly, anyone who thinks retaining meta-data has no consequences, should read this report.

Metadata contain sensitive information. Understanding the privacy of these data sets is key to their broad use and, ultimately, their impact. We study 3 months of credit card records for 1.1 million people and show that four spatiotemporal points are enough to uniquely reidentify 90% of individuals. We show that knowing the price of a transaction increases the risk of reidentification by 22%, on average. Finally, we show that even data sets that provide coarse information at any or all of the dimensions provide little anonymity and that women are more reidentifiable than men in credit card metadata.

Large-scale data sets of human behavior have the potential to fundamentally transform the way we fight diseases, design cities, or perform research. Ubiquitous technologies create personal metadata on a very large scale. Our smartphones, browsers, cars, or credit cards generate information about where we are, whom we call, or how much we spend. Scientists have compared this recent availability of large-scale behavioral data sets to the invention of the microscope. New fields such as computational social science rely on metadata to address crucial questions such as fighting malaria, studying the spread of information, or monitoring poverty. The same metadata data sets are also used by organizations and governments. For example, Netflix uses viewing patterns to recommend movies, whereas Google uses location data to provide real-time traffic information, allowing drivers to reduce fuel consumption and time spent traveling.

The transformational potential of metadata data sets is, however, conditional on their wide availability. In science, it is essential for the data to be available and shareable. Sharing data allows scientists to build on previous work, replicate results, or propose alternative hypotheses and models. Several publishers and funding agencies now require experimental data to be publicly available. Governments and businesses are similarly realizing the benefits of open data. For example, Boston’s transportation authority makes the real-time position of all public rail vehicles available through a public interface, whereas Orange Group and its subsidiaries make large samples of mobile phone data from Côte d’Ivoire and Senegal available to selected researchers through their Data for Development challenges.

These metadata are generated by our use of technology and, hence, may reveal a lot about an individual. Making these data sets broadly available, therefore, requires solid quantitative guarantees on the risk of reidentification. A data set’s lack of names, home addresses, phone numbers, or other obvious identifiers [such as required, for instance, under the U.S. personally identifiable information (PII) “specific-types” approach, does not make it anonymous nor safe to release to the public and to third parties. The privacy of such simply anonymized data sets has been compromised before.

Unicity quantifies the intrinsic reidentification risk of a data set. It was recently used to show that individuals in a simply anonymized mobile phone data set are reidentifiable from only four pieces of outside information. Outside information could be a tweet that positions a user at an approximate time for a mobility data set or a publicly available movie review for the Netflix data set. Unicity quantifies how much outside information one would need, on average, to reidentify a specific and known user in a simply anonymized data set. The higher a data set’s unicity is, the more reidentifiable it is. It consequently also quantifies the ease with which a simply anonymized data set could be merged with another.

Financial data that include noncash and digital payments contain rich metadata on individuals’ behavior. About 60% of payments in the United States are made using credit cards, and mobile payments are estimated to soon top $1 billion in the United States. A recent survey shows that financial and credit card data sets are considered the most sensitive personal data worldwide. Among Americans, 87% consider credit card data as moderately or extremely private, whereas only 68% consider health and genetic information private, and 62% consider location data private. At the same time, financial data sets have been used extensively for credit scoring, fraud detection, and understanding the predictability of shopping patterns. Financial metadata have great potential, but they are also personal and highly sensitive. There are obvious benefits to having metadata data sets broadly available, but this first requires a solid understanding of their privacy.

To provide a quantitative assessment of the likelihood of identification from financial data, we used a data set D of 3 months of credit card transactions for 1.1 million users in 10,000 shops in an Organisation for Economic Co-operation and Development country. The data set was simply anonymized, which means that it did not contain any names, account numbers, or obvious identifiers. Each transaction was time-stamped with a resolution of 1 day and associated with one shop. Shops are distributed throughout the country, and the number of shops in a district scales with population density.

For example, let’s say that we are searching for Scott in a simply anonymized credit card data set. We know two points about Scott: he went to the bakery on 23 September and to the restaurant on 24 September. Searching through the data set reveals that there is one and only one person in the entire data set who went to these two places on these two days. Scott is reidentified, and we now know all of his other transactions, such as the fact that he went shopping for shoes and groceries on 23 September, and how much he spent.

Furthermore, financial traces contain one additional column that can be used to reidentify an individual: the price of a transaction. A piece of outside information, a spatiotemporal tuple can become a triple: space, time, and the approximate price of the transaction. The data set contains the exact price of each transaction, but we assume that we only observe an approximation of this price with a precision a we call price resolution. Prices are approximated by bins whose size is increasing; that is, the size of a bin containing low prices is smaller than the size of a bin containing high prices.

Despite technological and behavioral differences, we showed credit card records to be as reidentifiable as mobile phone data and their unicity to be robust to coarsening or noise. Like credit card and mobile phone metadata, Web browsing or transportation data sets are generated as side effects of human interaction with technology, are subjected to the same idiosyncrasies of human behavior, and are also sparse and high-dimensional (for example, in the number of Web sites one can visit or the number of possible entry-exit combinations of metro stations). This means that these data can probably be relatively easily reidentified if released in a simply anonymized form and that they can probably not be anonymized by simply coarsening of the data.

Our results render the concept of PII, on which the applicability of U.S. and European Union (EU) privacy laws depend, inadequate for metadata data sets. On the one hand, the U.S. specific-types approach—for which the lack of names, home addresses, phone numbers, or other listed PII is enough to not be subject to privacy laws—is obviously not sufficient to protect the privacy of individuals in high-unicity metadata data sets. On the other hand, open-ended definitions expanding privacy laws to “any information concerning an identified or identifiable person”  in the EU proposed data regulation or “[when the] re-identification to a particular person is not possible”  for Deutsche Telekom are probably impossible to prove and could very strongly limit any sharing of the data.

From a technical perspective, our results emphasize the need to move, when possible, to more advanced and probably interactive individual or group privacy-conscientious technologies, as well as the need for more research in computational privacy. From a policy perspective, our findings highlight the need to reform our data protection mechanisms beyond PII and anonymity and toward a more quantitative assessment of the likelihood of reidentification. Finding the right balance between privacy and utility is absolutely crucial to realizing the great potential of metadata.