Regulators Seek Input On FIs' Use Of AI

High tech continues to make inroads in financial services, and now regulators want more insight -- and input -- into how technologies such as artificial intelligence (AI) can and are being used by enterprises. In a joint statement this week from the Federal Deposit Insurance Corporation, the Board of Governors of the Federal Reserve System, the Office of the Comptroller of the Currency, the Consumer Financial Protection Bureau and the National Credit Union Administration, those agencies are seeking information and commentary on how financial institutions (FIs) are being used in activities as far-flung as lending and risk management. As reported by PYMNTS earlier in the year, Mastercard Vice President, Global Head of Product for Artificial Intelligence (AI) Express and Credit Risk Amyn Dhala told Karen Webster in an interview that technology such as AI can make real-time risk management attainable. It can help banks reduce tens of millions of dollars in losses, which will get the attention of every financial services company on the planet. AI can also improve customers' interactions with their FIs, he said.