Bank and credit union executives know they need to integrate AI into their institutions’ daily operations. The potential use cases are almost limitless. Some, like chatbots, are well known, but not yet widely implemented. Here are five of the most promising applications of artificial intelligence in banking.
Artificial Intelligence in financial services is still largely filled with untapped potential. While many bankers may think of things like chatbots and fraud monitoring when it comes to AI, in reality the technology can be used in just about any conceivable part of a bank or credit union.
For the most part the industry has not even scratched the surface of how AI can transform banking. Here are some of the top ways financial institutions can deploy artificial intelligence in 2022 and beyond.
Smarter Chatbots and Digital Assistants
Let’s start with the most obvious application first. Some banks and credit unions already deploy chatbots, but as of now most perform only basic functions, with some exceptions. The ones that use more advanced artificial intelligence to offer predictive insights are more typically referred to as digital or virtual assistants. But as AI and natural language processing become more advanced, expect more of these intelligent digital assistants to play a bigger role in consumer’s financial lives.
Several surveys and market research studies have found that people actually prefer interacting with bots instead of humans. Although some of these surveys are conducted by conversational AI vendors, skeptics should consider the fact that there are 24 million users of Bank of America’s digital assistant Erica and they completed 123 million interactions in the fourth quarter of 2021, up 247% year over year.