How artificial intelligence in banking has changed digital banking?
The world of banking has seen major changes since the advent of digital banking. This has made banking more efficient, fast, and convenient for customers. Artificial intelligence in banking offers the prospects of revolutionary change in digital banking.
This has already been introduced in some banks and is changing the way banking is done. Digital banking is seen as an impersonal form of banking. The use of Artificial Intelligence has ensured that personalized services can be offered to customers online.
What is Artificial intelligence in banking?
Artificial intelligence or machine intelligence is a technology that allows machines/ BOTS to work and react just as if humans would do. This would ensure that they could interact with a customer and provide services just as a human executive would do.
One of the popular ways it is done is through the use of chat bots. This is where customers chat with a representative of the bank. But the customer does not know that there is no one at the other end responding to him. It is an AI program.
Chat bots are useful in engaging with customers and providing solutions for standard problems. Apart from chat bots, AI technologies like voice recognition and predictive analytics is helping banks in many ways. Not only can it help to improve the quality of services, but it can help in a big way to fight fraud and make digital banking more secure.
The benefits of Artificial Intelligence in banking
AI in banking is beneficial and has helped to improve the way digital banking is done. The following are some of the benefits of AI in banking:
It can provide a better experience to customers. AI can provide personalized service and can remember customer preferences and provide services accordingly. This helps to engage well with the customer and create a strong relationship.
Predictive analytics helps to predict trends and scenarios based on past and current data. The biggest benefit of this is in preventing fraud. AI programs can detect money laundering and other such fraudulent transactions by analyzing data. This is something a human cannot do, considering the volumes of data generated.
AI can also be helpful in sales as it would tell banks what services the customer would expect from the bank.
The use of chat bots helps to reduce manpower and also helps to decrease costs for companies.
Artificial intelligence in banking allows banks to address challenges related to security and fraud. AI can help in providing personalized and intuitive services to customers that would help them have a good experience. This can improve the relationship with customers and create customer loyalty.