Artificial intelligence is ruling the world and becoming an essential part of our lives. From business analytics to neural networks and machine learning, nothing is untouched from AI, and the financial sector is no exception. Whether we use an app or shop on a website, or simply search for something on Google, our banks and financial services track our online activities to know what we want and offer a product or service to satisfy our needs.
But, should we trust AI, especially when it comes to personal finances? Many people are simply not aware the AI is working to track their data, personal information, and online activities, but some people know that it works. However, most users don’t trust the reliability of artificial intelligence when it comes to financial data and information.
Artificial intelligence refers to software that is able to perform tasks that required human intelligence and involvement in the past. Some examples of artificial intelligence in financial services are mobile check deposits that read checks, personalized notifications that signal high payments, and reminders for specific transfers.
AI is already in the game.
There are many examples where artificial intelligence technology has improved money management. Bank of America and Wells Fargo have made use of AI to take their financial services to the next level. In addition, there are FinTech startups that have dedicated themselves to the use of new technologies. FinTech stands for Financial Technology and describes a new industry that uses innovations to improve traditional financial services.
These products generally offer a more sophisticated interface than robotic advisors, who offer portfolio and investment management. They mimic human qualities by making them more communicative and easier to interact with since you can talk or write to them as you would with a person.
Stocks and Forex
The stocks and Forex industry has also improved a lot by making use of AI in their software and systems. However, they believe that the AI models are reliable only when there are no or little variations and everything is stable. One major benefit offered by AI in the finance sector is
- AI helps banks and financial companies offer 24/7 support and reduces human effort and error.
- Save time and money on every task since the algorithm can do the work itself.
- It is predicted that considering the current improvement, the AI industry can be valued at $297 billion.
AI for facial recognition in banks
Artificial intelligence is used for facial recognition, and by creatively modifying and altering the algorithm by adding a heat detector to it, we can easily list the people who are causing an error or trying to play with identities. Facial and retinal recognition are used in cabinets today, making them safe to use and manipulate in any industry. The use of such tools is making banking for users more safe and secure with time. This will reduce fraud and make users confident that their finances are safe with banks and financial service companies.
The trust factor of AI in financial services
In sectors like retail, manufacturing, and healthcare, people are happy to let artificial intelligence work to create better products and services. This is because the application of AI in these sectors makes use of past data or observations to tell us more than we already know.
We want a computer system or chatbot to say, “oh there was a guy who had exactly the same problem as you and this is what we did to fix it,” It’s like augmenting a human professional, and the AI makes us more efficient is not scary as long as we make decisions, and AI is simply doing the things that we don’t have time to do ourselves.
Should we trust AI for our Finances?
Financial advisors and bank officials say new technological advances are not to be feared. In fact, most believe that it will help them do their jobs more effectively. Bank employees and executives believe that AI will change the future of their work. According to Accenture’s Future Workforce Survey, which surveyed 100 CEOs and CEOs and 1,300 bank employees, nearly two-thirds of bank managers believe that smart technology will completely transform the industry.
“It already helps to negotiate, rebalance and recalculate risks. Consultants say new technologies like artificial intelligence have enabled them to spend more time with customers and build trust, which a robot cannot. Instead of wasting a lot of investments on energy research, they can focus on what really matters in their customers’ lives.
AI is the future of Finance.
AI is the new future of Finance across the board. Therefore, people are expected to be more responsive and secure when using this technology as, when combined with data science, it can change a lot and also leave users in a pathetic state. That is why AI makes us look for an improvement, but certainly, because it is about the facilities of the human brain for a machine to work and advance.
These capabilities leverage large data sets to uncover patterns and anomalies so finance teams can make faster and better decisions and focus on business analytics and data processing guidance, resulting in more rewarding work. That is why high risk payment processing companies like Pay Pound are already using AI to serve their customers and improve their services.
Money can be a critical subject, and perception in the banking industry has definitely deteriorated over the past decade, but AI’s ability to generate new efficiency gains can make a big difference for people struggling to survive. Much has been said about the wonders AI will do in the business world, but like many new technologies, the long-term success of AI will be decided by ordinary people and the health of their wallets.
In the coming years, the increase in financial people using AI will increasingly transform professional roles. You will be able to move beyond repetitive, everyday tasks to more fulfilling and satisfying careers. So there is nothing to fear about AI dominating the finance sector as it will only make it easy for banks, financial services, and users of these services.