We live in an age where instant gratification is now the rule, not the exception. With the emergence of artificial intelligence (AI) like Siri and Alexa, we have answers and information at our fingertips instantaneously. Ankush Singla, senior product manager at DefenseStorm, explores six undeniable ways in which AI is creating transformational change in the finance sector.
Newer generations thrive on instant responses and the ability to complete tasks with the press of a button. As technology makes even the simplest of tasks easier, we want more. Unsurprisingly, the banking sector has followed this trend by providing its customers with the latest technology for easy access and flexible banking. As financial institutions (FI) revolutionize the industry with the newest technology, cybercriminals are poised to exploit new vulnerabilities due to increased use.
So, how can banks and credit unions remain competitive while also providing superior security to their clients? Utilizing AI for cybersecurity provides FIs a way to scale more effectively to find insights in data that would otherwise be impossible. By applying this technology, your financial institution can react quickly to breaches but, more importantly, get ahead of cyberattacks. The use of AI also significantly helps FIs prepare for changes in risk and compliance.
Six Benefits of AI/ML for Financial Institutions
Consider the six ways AI/ML can help your financial institution efficiently manage its own risk profile, monitor changes to internal key metrics, improve security posture and maintain compliance.
1. Detect fraud before money leaves the account
In 2021, Javelin Strategy & Research identified identity fraud scam losses of $28 billion, which victimized 27 million U.S. consumers. Financial Institutions must stop fraudsters before they transact because it prevents financial losses and maintains a trusted client relationship. FIs customarily absorb the cost of losses, but in some cases, banks are not liable. Sometimes, customers bear the loss, which weighs on the relationship of trust between FIs and their clients. By implementing AI, especially products built for banking,
FIs can close the gap in identifying and stopping breaches before they occur. Sifting through millions of cyber events for an average client (and much more for larger institutions) is virtually impossible, even for the most substantial and proficient teams, and AI creates a baseline of transaction patterns and can identify anomalies as a proactive approach.
Continue reading: https://www.spiceworks.com/tech/artificial-intelligence/guest-article/ways-artificial-intelligence-is-transforming-the-financial-industry/
Newer generations thrive on instant responses and the ability to complete tasks with the press of a button. As technology makes even the simplest of tasks easier, we want more. Unsurprisingly, the banking sector has followed this trend by providing its customers with the latest technology for easy access and flexible banking. As financial institutions (FI) revolutionize the industry with the newest technology, cybercriminals are poised to exploit new vulnerabilities due to increased use.
So, how can banks and credit unions remain competitive while also providing superior security to their clients? Utilizing AI for cybersecurity provides FIs a way to scale more effectively to find insights in data that would otherwise be impossible. By applying this technology, your financial institution can react quickly to breaches but, more importantly, get ahead of cyberattacks. The use of AI also significantly helps FIs prepare for changes in risk and compliance.
Six Benefits of AI/ML for Financial Institutions
Consider the six ways AI/ML can help your financial institution efficiently manage its own risk profile, monitor changes to internal key metrics, improve security posture and maintain compliance.
1. Detect fraud before money leaves the account
In 2021, Javelin Strategy & Research identified identity fraud scam losses of $28 billion, which victimized 27 million U.S. consumers. Financial Institutions must stop fraudsters before they transact because it prevents financial losses and maintains a trusted client relationship. FIs customarily absorb the cost of losses, but in some cases, banks are not liable. Sometimes, customers bear the loss, which weighs on the relationship of trust between FIs and their clients. By implementing AI, especially products built for banking,
FIs can close the gap in identifying and stopping breaches before they occur. Sifting through millions of cyber events for an average client (and much more for larger institutions) is virtually impossible, even for the most substantial and proficient teams, and AI creates a baseline of transaction patterns and can identify anomalies as a proactive approach.
Continue reading: https://www.spiceworks.com/tech/artificial-intelligence/guest-article/ways-artificial-intelligence-is-transforming-the-financial-industry/
