70% of FinTechs are taking advantage of artificial intelligence and machine learning these days, and in the following years, it may impact the industry in a big way.
AI and ML have made a revolutionary change in financial services and are ready to bring a whole new change in the entire arena of payment soon.
Organizations, for the quick analysis of huge amounts of data, are leveraging artificial intelligence to bring about recognizable and efficient designs that help in improving decision-making.
As per Forbes’s report, “AI will save the banking industry more than $1 trillion by 2030”.
By taking advantage of artificial intelligence (AI), you can actually reshape the number of activities or tasks that take place inside the financial industry.
Several financial activities are made possible with the help of powerful yet easy-to-use applications, and new technologies are offering plenty of great opportunities for individuals.
Five Artificial Intelligence and Machine Learning ways to benefit FinTech companies
Power of data science
Harnessing the robust tools of data science and data visualization, FinTech apps are creating fascinating yet new methods leveraging which users can quickly process data.
These apps aid to turn complex details into ordinary process insights that help users to use complicated data for the improvement of their financial decision-making.
Helping the financial industry fight fraud
A rapid surge in digital transformation gives rise to financial cyber crimes but virtue of artificial intelligence and machine learning, both organizations and users can keep themselves and their account data safe from malicious information poachers.
Algorithms cannot only keep track of and detect doubtful movement but also keep users informed of any pernicious activities in a better way. They can keep track of everything taking place behind their backs while being sure that their resources are safe.
Using Chatbots for customer support
In recent times, FinTech companies were seen leveraging a large number of chatbots as a key tool to solve these issues and effectively be in constant touch with customers.
Chatbots help companies in reducing expenses and improving customer satisfaction.
One of the most common ML solutions relates to robo advisors and automatic customer support that helped firms follow social distancing guidelines and improve customer experience en route.
Reshaping insurance policies
Artificial intelligence is also helpful enough when it comes to reshaping insurance policies.
Since financial tools vigorously determine, FinTech apps help ascertain the level of risk involved there.
Harnessing the power of technology, companies today try to play smart when it comes to calculating someone’s level of risk, based on their initiatives and activities.
The automobile industry makes best use of this with progress. With a perfect combination of FinTech apps and IoT advancements, the industry is now able to scale an individual’s risk level by evaluating his/her driving skills with a mobile app.
While artificial intelligence (AI) is doing great these days, in terms of payments, it is at a very starting stage and progressing with each passing day.
If the financial industry fully adopts AI in digital payments, it is surely going to give an entirely rigmarole-free, fuss-free checkout-free experience for users not only at retail stores but also others where you may hardly be encountering a point-of-sale (POS) system.
So, by consolidating of AI with various innovations such as geo-fencing technology, digital wallets, digital cash that helps retailers in monitoring all your store activities such as when you enter and leave it, you are sure to have an option to save your payment card data on record with any retail store for a checkout-free shopping experience.
Finally, with each passing day artificial intelligence is getting much more crucial for FinTech firms. As banks and other financial institutions try to enlarge security, smoothen processes, and work on analytics, AI is becoming the technology of choice.
After reading the article about how AI and Machine Learning Impacts the FinTech industry and benefits it, we hope that you would like to know more about the AI consultants who can advise you on how AI and ML can benefit your business.
If you have any questions about how the use of artificial intelligence and machine learning are going to benefit your financial company, feel free to ask us anytime, we would be happy to answer them in the comment section below.