Acquiring Banks Using AI to Monitor Merchants

Acquiring banks that use artificial intelligence (AI) to monitor merchants on their platforms say the technology has yielded many significant benefits that help boost their businesses' bottom lines. A new report, AI In Focus: Gaining Ground On Merchant Monitoring, a PYMNTS and Brighterion collaboration that surveyed 104 executives from acquiring banks, found that the main benefit is improved operational efficiencies that help drive down costs. Ninety percent of these acquirers cite improved operational efficiencies as one of the benefits of using AI, and 18% say it is the chief benefit. Many acquirers also say that AI has helped them tackle several key barriers holding back their profitability, including fraud, low transaction volumes, short stays by merchants and the need for manual review. The use of AI also helps acquirers differentiate themselves from their competitors.