Sponsored

Harnessing Generative AI: Transformative Practices in Credit Unions and Community Banks

0
3K

The rise of Generative AI (GenAI) has enormous potential for the banking and finance industries. By utilizing GenAI, banks and credit unions speed applications from submission to approval, save time and effort, and deliver a desirable customer experience.

A recent report from the Society for Human Resource Management (SHRM) and The Burning Glass Institute details how GenAI will have an outsized role on the banking and finance industries. The report lists Morgan Stanley, Bank of America and Northwest Mutual as some of the organizations that are most likely to capitalize on the implementation of GenAI. Their study also measures GenAI exposure among several different professional industries; “investment banking and securities dealing and brokerage” measured third highest while “mortgage and nonmortgage loan brokers” ranked highest overall. If SHRM and The Burning Glass Institute are so convinced that GenAI will profoundly alter how financial institutions operate, what will that change look like and why does it matter?

GenAI is distinct from other forms of automation by its ability to automate what is typically considered knowledge work. This represents a sea change in how professional industries, including financial services, will implement automation technology in their workplaces. In fact, financial services are especially dependent on repetitive manual processes requiring specialized knowledge. Processes like loan underwriting and credit card applications require knowledge workers to manually input data and individually connect with customers or members, which takes up the majority of workers’ time and tasks.  GenAI excels in automating repetitive, manual tasks—such as data processing and pattern identification—streamlining operations and freeing up valuable time for knowledge workers.

The applications of GenAI within financial services manifest in both evident and nuanced ways, each offering distinct advantages to forward-thinking institutions. Many industries have begun employing GenAI solutions as chatbots for customer service, and financial services are no exception. GenAI-powered chatbots, operational around the clock, offer an immediate response to customer inquiries, significantly reducing the need for direct intervention by skilled professionals and enhancing service efficiency.  However, these solutions become even more compelling for financial institutions when embedded in the bank or credit union’s broader systems. For example, a loan applicant can interact with a GenAI-enabled chatbot and get a real-time status update on their loan status by providing a few identifying details. In this way, GenAI increases efficiency while also directly improving the customer or member experience.

GenAI technology is novel, and its implementations are sure to evolve further in the coming months and years. However, its potential for financial services is undeniable. In order for banks and credit unions to take full advantage of this nascent technology, financial institutions need to create AI policies, complete digital transitions and start exploring and investing in GenAI use cases now.

To Know More, Read Full Article @ https://ai-techpark.com/how-generative-ai-enhances-credit-unions-and-community-banks/ 

Related Articles -

Data Privacy With CPOs

Spatial Computing Future of Tech

Trending Category - IOT Wearables & Devices

Sponsored
Sponsored
Search
Sponsored
Categories
Read More
Games
The Most Profitable Skills to Train in OSRS gold
Old School RuneScape (OSRS) has been a beloved classic in the genre for over two decades. With...
By BennieJeansg 2025-03-18 00:12:04 0 809
Other
License Management Market: Trends, Growth, and Forecast Analysis for 2024-2030
License Management Market Set for Significant Growth, Projected to Reach USD 2.125 Billion by...
By riya22 2024-12-18 09:25:29 0 2K
Other
Recruitment Process Outsourcing (RPO) Market size is expected to grow to USD 42,736.1 million by 2033
According to the Market Statsville Group (MSG), the global recruitment process outsourcing...
By marketstatsvillegroup 2023-05-19 11:41:10 0 6K
Shopping
拋棄式電子菸風靡臺北:便捷與嘗試的完美結合
隨著科技的進步與人們健康意識的增強,傳統煙草產品的地位正逐漸受到新興電子煙產品的挑戰。其中,拋棄 式 電子...
By pertend 2025-01-02 03:55:12 0 1K
Other
Pioneering 2025: AI's Role in Digital Transformation
Artificial Intelligence (AI) has evolved from a mere buzzword to the driving force behind a...
By martechcubejohn 2024-11-25 07:38:31 0 2K
Sponsored
TikTikTalk https://tiktiktalk.com