To improve their overall service quality and cater to customers’ needs, banks are always at the forefront of technological advancement, testing various discoveries. A couple of big buzzwords used in our industry are “machine learning” and “artificial intelligence (AI),” and banks already use these around the world to improve their operations. As a leading electronic money institution (EMI), Wallter has been paying a lot of attention to AI and other technological innovations that could benefit our customers.

This article will explore various ways that AI can help banks improve and, consequently, change.

Chatbots

You’ve probably already come across a chatbot if you browse the web often. They are AI-driven pieces of software that replace real customer support and provide answers to common questions. Banks use chatbots as well to assist their customers (and potential customers). However, as AI improves, so does the possibility of chatbots to solve more complex problems that users have and provide assistance without humans intervening in the process.

This can save banks a lot of money. It primarily affects the big players with tens of thousands of customers around the world.

Risk Management

Banks are very cautious about who they loan money to. They try to mitigate the risk by evaluating each person’s credit score based on their financial history, income, and more. However detailed, these assessments are far from perfect. That’s where machine learning comes in to save the day as it can take many more factors into account and use sophisticated algorithms to provide detailed analysis of each customer applying for a loan, helping banks decide whether to approve it.

Security

Even though banks use state-of-the-art technology to maximise security, they still have to think one step ahead and foresee possible weak points in their defences. To do that, they often have to violate pre-set protocols and discover parts that aren’t well protected. Machine learning has the power to monitor and analyse all security-related data, detecting potential threats even before they take place.

To err is human, and leaving bank security to error-prone creatures may not be the best idea if there’s a better alternative. That’s why AI is now being incorporated into many bank’s security protocols.

Customer Assistance

Customers will have all kinds of financial obstacles when using banks. Many people don’t know how to handle their money properly, and that’s where banks can offer assistance with the help of AI.

Imagine a piece of software that analyses your spending patterns and suggests where to make cuts to improve your overall financial status. It can also suggest ways to spend your money better or even how to invest appropriately. Simply put, banks will offer you a higher level of financial security by providing proper assistance to their users.

Final Thoughts

AI is already part of many banking systems, but it’s still a very young technology with huge potential. It means we’re yet to see how it will reshape our industry in the future and help banks offer better services to their customers around the globe.

Still, banks should not lose their personal touch in the process. Showing customers that we care is very important for maintaining long-lasting and fruitful relations. That’s actually what we at Wallter strongly believe and follow, so feel free to get in touch to learn more about our private banking services.