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How is AI useful in the banking sector?


AI (Artificial Intelligence) is the intelligence shown by a machine. Yes. As a part of computer science, that enables computers/machines to think and work, like a human being. It has different names like heuristic programming, machine intelligence, or the simulation of cognitive behavior.

It is taking every industry by storm as it provides relief from repetitive tasks and reduces workload. The main objective of AI is to make computers perform tasks intellectually. It enables communication with humans, decision making, problem-solving, and clear perception.

Startup and new businesses, or the old/existing enterprises, all of them have started including AI projects into their operations to stay abreast with the competition.

Its popularity has given rise to the advent of service providers like Clinc to help companies in creating and executing their own AI projects. It helps integrate AI with your existing systems while expanding automated communication options to customers. Interestingly, many banking companies seem to have realized the power of AI and are moving towards technological advancements. As a result, the way banking works will never be the same anymore.


Let us see how AI has transformed the banking sector:

  • Quick processing: AI technology has taken over all aspects of the banking business – the front, middle, and back. This advanced technology helps in speedy and safer money transfers. The usually slow and monotonous back end operations in a bank are becoming faster and more efficient.
  • Increased efficiency: AI’s decision making helps expedite workflow. It improves customer service by reducing the volume of customer calls. AI helps cut down on the time taken to perform a task. It reduces the workload and promotes multitasking. AI helps in cost-cutting and makes the execution of complex tasks significantly easy.
  • Language proficiency: AI uses assistants like chatbots to provide personalized financial advice in the language of our choice. It understands and processes slang and contextual clues in all languages and ensures instant self-help customer service. It makes customers comfortable because they feel that they are talking to a human being and not a bot.
  • User-friendly apps: Many mobile banking apps using AI are offering a unified banking experience to the customers. AI makes these apps secure, personal, and user-friendly. It retains history and recognizes the customer instantly.
  • Security: Implementation of AI in the front and middle office processes ensure cost-saving opportunities. In the middle- office functions, AI prevents fraudulent payments, detects money laundering, and regulates KYC checks.
  • Increases trust: AI helps detect anomalies in financial data steaming. It also promotes easier compliance with anti-fraud regulations, which makes the bank more accountable and trustworthy.