Using AI to effectively manage credit risk during turbulent times
The challenges and limitations of using static models to assess credit risk have been highlighted by the pandemic, and the need for fast, effective and accurate decisioning is more prevalent than ever. The findings of this report show how financial institutions (FI’s) have recognized the advances in artificial intelligence (AI) and how it’s being used to manage risk across the customer lifecycle.
One hundred executives were surveyed on their attitudes, use and the effectiveness of AI to form this report. From deploying dynamic AI tools, improving operational efficiencies and increasing customer satisfaction, to reducing false positives and payment fraud.
Inside the playbook, a PYMNTS.com and Brighterion collaboration:
- 200 percent: Increase in the portion of FIs using AI since 2018
- 79 percent: Share of large banks that are using AI to manage credit risk
- 88 percent: Portion of FIs that say the pandemic has made lending and credit more challenging