South Korean banks are embracing artificial intelligence to better understand customers and enable them to take advantage of services more easily, as local financial institutions step up efforts to digitalize their operations. Hana Bank, one of the five major banks here, said Friday that it would use artificial intelligence to look through customer reviews in real-time so as to expand communication between customers and staff. "We see change every day in the banking industry. Getting immediate feedback on our financial services so we know what we need to do when we need to do it is vital to our expansion," a Hana Bank official in charge of the program said. AI is not only faster but also more nuanced in handling the staggering volume of reviews, meaning the machine draws clearer boundaries than humans between good and bad feedback, the official noted. The official added that a panel comprising all-age groups, including people aged from 20s to 50s, will be expanded to account for "human voice" AI could be missing.

Acquiring banks are under intense pressure to process transactions efficiently while detecting and preventing fraud attempts. To manage these trends, many acquirers are using artificial intelligence (AI).

Data science and analytics teams at banks must find the right balance where their AI algorithms can ferret out fraudulent transactions without infringing on anyone's rights. Developers of AI systems make sure to avoid including problematic variables such as gender, race, and ethnicity in their models. But the problem is that other information can stand as proxies for those same elements, and AI scientists must make sure these proxies do not affect the decision-making of their algorithms. For instance, in the case of Amazon's flawed hiring algorithm, while gender was not explicitly considered in hiring decisions, the algorithm had learned to associate negative scores to resumes with female names or terms such as "women's chess club."

Financial firms are working to identify potential fraud by analyzing how customers hold their phones, how fast they type and other information about mobile interactions--and the strategy is yielding results. Using artificial-intelligence tools to crunch behavioral data is often a more secure way to verify customers than traditional means such as passcodes, experts say. The Federal Bureau of Investigation warned companies last month that cybercriminals can circumvent typical multifactor-authentication techniques. One way is by calling a telecommunications company, posing as a customer and getting a service agent to switch that person's phone number to the criminal's device. The fraudster can then have the individual's bank send a one-time passcode to the phone and gain access to the target's bank account.

RBC was the first bank in North America and among a handful globally to launch a mass-scale AI-based digital service that offers insights about a client's financials (NOMI Insights) and a fully automated savings solution (NOMI Find & Save).

Banks are starting to use artificial intelligence (AI) technology to recruit new workers to ensure fairness and reduce costs. According to KB Kookmin Bank, Monday, the lender will hire 615 new workers in the second half of the year. During the recruiting, the bank said it will use the AI system in its online interview to evaluate applicants more objectively, and the AI analysis data will be used as reference material for the face-to-face interview. It is the first time for a commercial bank to use AI technology in the recruiting process. "KB Kookmin Bank is looking for new talent with innovative ideas," said a KB Kookmin Bank official.

Singapore bank DBS is using artificial intelligence (AI) to screen applicants for wealth management jobs, with the aim of saving 40 man-hours a month. Check out the latest findings on how the hype around artificial intelligence could be sowing damaging confusion. Also, read a number of case studies on how enterprises are using AI to help reach business goals around the world. You forgot to provide an Email Address. This email address doesn't appear to be valid.