Artificial Intelligence, otherwise known as AI, is the intelligence exhibited by machines or software to perform tasks that usually require human interaction. The technology was founded on the principle that human intelligence “can be so precisely described that a machine can be made to simulate it.” It has become an important part of the modern technology industry, and is used in many industries, including medical diagnosis, law, and banking.
Big global banks are increasingly turning to artificial intelligence technology to stay competitive in the digital era. This technology has huge benefits, both for the banks and their customers. Here’s an overview of the main technology used in the industry.
Voice Assisted Banking
Voice-assisted banking enables customers to use banking services with voice commands rather than a touch screen. The natural language technology can process queries to answer questions, find information, and connect the users with various banking services.
Barclays are currently creating technology that will allow users to make money transfers by talking to a robot computer system. The artificial intelligence system will be similar to Apple’s iPhone personal assistant, Siri. Another company, Kasisto, develop virtual assistant solutions for mobile and tablet, and plan to release two commercial products this year for voice-assisted banking.
This will open up a whole new world of banking, which will be particularly useful for customers who are visually impaired or unable to type.
Credit Card Fraud Prevention
Banks and credit card companies are now using artificial intelligence software to prevent credit card fraud. The software monitors the user’s spending habits and patterns, and flags any transactions that are out of character. If there is over a certain amount of flagged transactions, the card is blocked and the user is notified of the changes so they can either confirm the purchases or take action to remove the charges. For example, if a thief accesses the user’s credit card information and goes on a spending spree, this will be picked up by the artificial intelligence software.
This software can benefit both the customer and the lender. The customer can benefit from increased peace of mind and protection from the negative effects on their credit rating caused by identity fraud. The lender can be protected from the losses caused identity fraud, as the customer is rarely held accountable for fraudulent charges and the thief is rarely able to return the money.
Artificial intelligence can also be used in stock trading. The software can process vast amounts of financial data from news sources and social media to assist in trading.
The first benefit of this is speed. Artificial intelligence technology can speed up the process of trading to allow computer systems to make five trades in the time it would take a trader to press a single button on a computer.