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The use of AI-driven automation can give banks a competitive edge

By Puja Sharma

August 29, 2022

  • AI Chatbots
  • Automated Chatbots
  • Automation
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Chatbots, FinTech, Banks, Digital employee, AI

The evolution of the FinTech and banking sector has created an enormous need to provide better customer service, paving a way for chatbots. Chatbots/virtual assistants are essentially AI-driven programs designed to stimulate conversation and aid, human users,  over any platform.

Banks can gain a competitive advantage by utilising artificial intelligence and intelligent process automation. AI-driven automation enhances operations, scales, and cuts cost for banks by leveraging machine capabilities.

As financial services are expanding rapidly, and people looking to work for a better and more efficient workforce the roles of human resources have transitioned to that of digital HR.

Virtual assistance in BFSI

Assisting loan officers with documentation and providing customer service by handling the account, loan, and card inquiries, and organizing bank statements, property documents, salary slips, and financial papers, digital employees can automate parts of customer service. A digital employee can automate a wide range of tasks, work in almost any system, and be customized to suit your specific requirements. Inquiries, document sorting, and system updates can be handled by them to reduce time spent on routine tasks in the front office and back office. Loan applications can be automated using these systems.

Evolution of chatBots or digital worker

The evolution of the FinTech and banking sector has created an enormous need to provide better customer service, paving a way for chatbots. Chatbots are essentially AI-driven programs designed to stimulate conversation and aid, human users,  over any platform. They are designed to interpret user requests and provide a prompt solutions.

With the advancement of technology and the growth of the customer base in FinTech, AI-driven programs are developed on deep learning to cater to a mass number of customers without reducing the quality of service. From mobile banking and clearing invoices to money transfers, net banking, paying bills, and tax returns, there are plenty of use cases for the help of chatbots.

In the FinTech or banking world, chatbots are designed to satiate customers’ experience on the such designated platform. Additionally, they also help staff in preventing a stressful situations that could arise while directly dealing with the clients.

Machine learning and AI can offer many such options to customers today. The automatization of repetitive tasks is the most common use for chatbots in bank customer services, tasks such as these require self-learning to provide a fast and simple solution but do not imply creativity. Chatbots’ main  activities could include simple tasks such as:

  • Greeting customers
  • Provide information/solutions to the customer
  • Obtaining information regarding the users’ experience
  • Payment acceptance from the client

Several bank processes have not been updated or renovated into their most efficient models. Although many processes must be conducted under legal guidelines, even in these cases numerous steps are required to copy, check, or generate data for reports. Routine tasks require accuracy, according to a report by Digital workforce.

Digital employees work round the clock and provide a 24/7 hour service without fail. Credit histories can be checked, basic customer information can be entered into an application system, due deposits can be read, reports can be made that can be used as sales tools, and many other things can be done digitally by employees.  The customer service staff is responsible for making sales and decisions that require human judgment.

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