[zeidrich]

I think there's a big difference between these two things.

When you use a phone to track exercise and reduce insurance premiums, that's a good thing, it encourages (or at least rewards) people who exercise and become healthier and might need less medical care.

When you use social networks to track and monitor who your friends are in order to approve you for credit, that causes a different set of rewards and incentives. It rewards you for choosing who you are willing to be friends with based on their creditworthiness. It punishes people who have associations with people with poor credit.

It essentially keeps good people down too. If you are a role model in your group of peers. If you're the guy out of your group of friends who got an education and got a steady job. If you pay your bills and don't carry debt, and you want to buy a house and have the money and responsibility to do so, you should be allowed to. When you do that, it shows those friends what you can do, and it allows you to move forward.

On the other hand, if you get an education, get a job, pay your bills, and don't carry debt, but when you go to buy a house your mortgage application is denied simply because you have some friends who are struggling on facebook, what is the impact of that? It just causes you to stop moving up. Maybe it discourages you. Maybe it makes you realize that the world doesn't really want you to be better than what your friends have become.

What the problem is has less to do with being judged by your actions, but rather being judged by the actions of those you associate with.