Branch Incorporates AI to Predict Credit Risks, Foster Saving Habits

Digital lender Branch has incorporated artificial intelligence (AI) into its financial system to improve credit services for customers.

The fintech company now accesses and predicts client credit risks using algorithms and machine learning.

The technology will also help borrowers with their savings plans.

“With the data we have, the rates are customized for our customers. We believe that everyone deserves fair financial access,” Branch Chief Executive Officer Matt Flannery said.

For developing countries like Kenya, the widespread use of smartphones offers a significant opportunity to increase financial stability and offer banking services to unbanked communities.

It is also in the final stages of rolling out a health savings plan that will run in tandem with similar health insurers in the country.

One of the cardinal challenges of the use of AI in the banking industry is the risk of data penetration owing to the enormous amounts of data collected.

It is also close to launching a health savings program that will compete with other national health insurers.

The possibility of data leaking because of the massive volume of data that is generated by the usage of AI in the banking industry is one of the major issues.

It is also working with the Office of the Data Protection Commissioner on the limits to which personal data should be collected.