AI is being widely adopted by various industries; banking is also one of them. Nowadays, customers want personalized, easy, and safe banking experiences. Customers move to the next bank when banks fail to provide a good customer experience. At the same time, financial institutions need to handle millions of calls, manage repetitive activities and provide excellent customer experience. So, it’s not possible for FinTech companies to do this all manually.
But the advancement in AI has helped banking and other financial companies to manage mundane activities. So, the staff can now focus on providing a better customer experience. So, in this blog post, we’ll focus on how AI can play its role in enhancing customer experience in FinTech and banking.
Role of Artificial Intelligence in Banking
AI has gained massive popularity in the last few years, and brands are using this technology to provide exceptional and personalized customer experiences. Previously, this technology wasn’t accessible to everyone because of high costs and other issues, but now different AI-powered software and tools are available for FinTech and banking sectors to exceed customer satisfaction. AI is playing its part in the banking sector in the following ways:
- AI Helps Customers Make Precise Predictions
We live in a digital era where people make digital transactions. Therefore, banks have already started to implement AI-based solutions in their processes to provide excellent customer experience. These solutions can accurately assess customers’ credit histories to reduce future payment defaults.
Moreover, banks can make precise predictions about threats of fraud and risks associated with loan insurance. AI can also help banks to predict customer behavior by analyzing data. As a result, banks can use this data to deliver high-quality content and services to improve customer experience.
- AI Chatbots Can Help Provide Personalized Experience
In recent years, the availability of data and the pace at which it is processed changed significantly. Therefore, FinTech companies need to transform this data into an asset. AI chatbots are helping banks to modernize banking services. These chatbots not only provide quick and fast responses, but they also help customers with day-to-day queries. AI bots don’t only help optimize service quality, but they’re crucial for customer retention as well.
- AI Helps Banks Increase Brand Loyalty
When customers get personalized banking services, it increases customers’ trust in a brand. As mentioned earlier, banks can use AI to collect customer data, and they can offer customized financial advice to customers. As a result, it boosts customer satisfaction and increases the brand’s profitability.
- AI Helps Banks Detect Frauds
FinTech companies are using AI for fraud detection. Now banks can use face recognition and Liveness detection to ensure that person is legitimate. AI and machine learning algorithms can work together to analyze large amounts of data in real-time. Moreover, it helps identify fraudulent activities and suspicious behavior.
The best thing about AI-powered fraud detection systems is they learn from past mistakes and improve over time. Therefore, banks can provide exceptional customer experience to their clients.
- OCR Technology Enables Faster Customer Recognition
Artificial intelligence is powered by Optical Character Recognition technologies that enable banking sectors to provide seamless customer experience. Auto-filling of forms makes customers onboarding fast because it extracts details from already uploaded identity documents. As a result, it saves customers time, and they enjoy a delightful experience.
Final Words
As we can see, AI has already impacted the banking and FinTech sector. Experts predict that it will further revolutionize them. Banks can use tools like IDefy to automate tasks that are currently done by humans. It will not only speed up the verification process, enhance compliance, and improve performance, but it will also enhance customer experience.
If FinTech and banking industries want to reduce costs, improve their organizational efficiency, and serve customer needs in a better way, they should make the best use of AI.