AI & IA: How They Will Impact the Future of Banking

by James Ramey 0

The way we bank has changed a lot over the years. Over fifty years ago, the first ATM changed the way consumers banked and paved the way for the many technologies that banks use today. This machine made banking more quick and convenient for customers. Now it is not uncommon to use a mobile phone or tablet to check a bank statement of even deposited a check but there are a few new technologies that are going to take consumer’s banking experiences to the next level.

AI and IA Technology
AI is a fairly well-known technology thanks to science fiction movies, but this technology is more than just a good movie plot. AI programming allows machines to imitate intelligent human behavior. In other words, AI enables a computer to interact with a human without the need for human assistance. These programs “learn” each time a person interacts with it by basing its responses off previous user preferences. This technology is already being used in products like Pandora radio, Apple’s Siri and Amazon’s Alexa. These virtual assistants give us information based off what we have told them in the past.

IA, a close relative to AI, has received much less publicity recently. This is likely because this technology is lesser known but may actually be more commonly used. IA is the use of computers and technology to enhance or amplify what humans already know. An example of this technology would be using a computer to look up data that a human’s brain could not recall on its own.

How these technologies vary
Although these two technologies appear to do similar work, there is difference between them that makes all the difference. The level of human involvement in each technology is that really sets them apart. AI technology works autonomously, completing the request without the help of a human while IA works with humans to solve a problem or answer a request.

This is critical in understand consumer preferences. Since the birth of search engines, people have grown to love the concept of seeking out answers to their own questions online. With AI and IA, customer service strategies can adopt the same approach when catering to their customers.

How AI and IA can Improve Banking
Businesses in a variety of industries have already started using AI to improve efficiency within their business. Chatbots or bots, are an easy way to bring AI into a business. These bots can assist customers with simple request and reduce the burden to bank representatives. These bots can help clients with easy problems or direct them to a representative that can further assist them. What’s more, the bot’s responses to customer questions will become “smarter” the more the customer engages with them.

IA is equally as useful in enhancing business and customer service. Through tools like interactive tutorials and adaptive FAQ’s, customers can help themselves with simple product questions rather than having to contact a customer service agent. By augmenting the customer’s knowledge of a particular product or company, IA reduces the burden on customer service representatives and allows customers to more quickly solve their own problems.

Both AI and IA are valuable tools that businesses should consider utilizing to increase productivity and efficiency. Although these technologies are still in their infancy, they show promising outcomes for the future. Businesses that incorporate AI and IA, along with a host of online digital support materials readily available to customers, can stay ahead of the trend and will be able to deliver the best possible service and brand experience to their customers.

Editor’s Note: James Ramey is CEO of DeviceBits, a software company that services clients through a predictive and personalized understanding of interactive tutorials, adaptive FAQs, Interactive Guides, and Videos designed to for self-serving consumers. For more info visit