In every sector in all sectors, artificial intelligence (AI) is getting into everyday operations to reduce the amount of work by consolidating information and data, and spot anomalous activity. But AI is especially effective in the finance industry, where it’s changing everything from financial planning to loan underwriting, fraud prevention and more.
AI is most commonly used in finance to automate ensuring uptime with robust IT management repetitive, high-frequency tasks. This reduces human errors and allows resources to be allocated to other strategic tasks. Robotic process automation can, for instance, reduce the cost of manual data entry by up to 50%-70 percent. AI can also aid in speeding market research, forecasting investment growth and evaluating risk, by identifying suspicious data and alerting users to potential issues with real-time notifications.
AI can also be used to stop financial crimes and cyberattacks. Fraudulent transactions can cause billions of dollars in losses each year, and AI is a game-changer because it can analyse large amounts of data quickly to spot suspicious patterns. AI can identify fraudulent transactions through deep learning as well as other sophisticated algorithm. For instance, when the request for a loan for cars is found to be not in compliance with the company’s rules.
AI is also an essential component in providing 24/7 support to customers, helping them navigate financial services through chatbots and voices. AI-powered virtual assistants let customers to access account information, look up the history of transactions, and gain personalized insights by asking questions in a natural language. The assistants also offer personalized and proactive recommendations on additional savings investment, insurance, and much more.