Year: 2025
Type: article
Abstract: Artificial Intelligence has emerged as a transformative force across the financial services landscape, fundamentally reshaping how institutions operate and deliver value to customers. This article explores the multifaceted impact of AI technologies across banking, insurance, valuation, and payment systems, highlighting the significant advancements in each domain. From enhanced customer service through intelligent chatbots to sophisticated fraud detection systems, from improved underwriting processes to innovative portfolio optimization techniques, AI applications are revolutionizing every aspect of financial operations. The integration of these technologies presents substantial opportunities for efficiency gains, risk reduction, and customer experience enhancement, while simultaneously raising important considerations regarding algorithmic transparency, data privacy, and ethical implementation. As financial institutions continue to navigate this technological evolution, understanding both the practical applications and governance requirements of AI becomes essential for maintaining competitive advantage in an increasingly digital marketplace.
Author: Parul Purwar
Institution: Northwestern University
Language: English
Domain: Social Sciences
Open Access status: diamond
OpenAlex ID: W4410129258