AI for banks and financial service providers

The enormous importance of data and documents and their correct processing open up great opportunities for the financial sector through artificial intelligence. This is because the use of AI supports banks and financial institutions in various activities, ensures the integrity of their data and benefits from the optimization of processes.

AI technologies make banking processes faster, money transfers more secure and back-end operations more efficient.

Data and AI in banks

The use of AI is particularly worthwhile in areas where legislators have imposed a large number of legal requirements on institutions. Document and information verification in the lending business is a prominent example of this. Today's credit customers demand a process that is as smooth and transparent as possible. They also want a quick decision on their application. The complete application often includes

  • many pages of more or less structured data,
  • personal details,
  • Real estate and construction plans and details,
  • Work contracts and modernization documents;

and always in different formats, whether as a letter, e-mail, fax or cell phone photo.

When searching for information in large documents, AI has the potential to make the relevant sections of the document visually easy for a human inspector to find.

The same applies to the use of the often necessary dual control principle. The dual control principle is considered a reliable counter-check in work processes. The intelligent visualization with AI of relevant data in a document helps people to work separately in a document. In addition to the two human reviewers, the AI also ensures a qualified and well-founded content check and prevents a "quick co-signature" by the second person, even in so-called mass transactions.

Use Cases

How AI is helping banks streamline processes for vehicle licenses

Challenge

For the evaluation of credit requests, various documents are often used to check creditworthiness. For the financing of a motor vehicle, a lot of information can already be taken from the vehicle registration document. Frequently, the data from the documents about the deposited securities is manually entered by the customer advisor.

How can Konfuzio help?

Konfuzio checks the documents for completeness, possible manipulation, extracts the required data and makes them available for further processing of the credit application.

Solution

No manual typing is required to collect data from the delivered vehicle documents. Both the credit application and the required securities can be reviewed more quickly. The customer is won over by a fast approval with a cost-effective internal check.

Extract and automate salary statements with AI in banks

Challenge

If the fixed interest rate of the initial loan expires, borrowers need follow-up financing for the remaining debt. It is important to make a new offer or draw attention to a forward loan at an early stage for the borrower to decide on an in-house follow-up financing and not have the debt rescheduled with another lender. When the follow-up financing is concluded, it becomes necessary to update any documents, such as proof of equity and salary statements for the last three months.

How can Konfuzio help?

Konfuzio automatically reads the submitted current documents. For example for salary statements of different structures, fields such as the payment amount, gross salary, tax class, and other employee data are extracted.

Solution

The lender binds customers through fast processing and receives a comprehensive, data-driven picture of the customer.

Understanding external contracts with AI and leveraging existing customers

Challenge

A bank's letter of credit business barely contains automatic processing, since both the credit bank and the correspondent bank must subject a large number of documents to individual checks. For example, the insurance certificate of the accredited goods delivery is required in advance to ensure the execution of payments.

How can Konfuzio help?

Konfuzio automatically reads the required data, such as the shipping date, the specification of the insured goods or the transport route. This enables a quick comparison across other documents.

Solution

For the payment processing after a thorough check of the documents' conformity with the letter of credit, no manual reading of the data is necessary. At the same time, incomplete documents are identified more quickly, queries are sent and processes are improved.

Automatic indexing of ID cards with AI in banks

Challenge

A bank's letter of credit business barely contains automatic processing, since both the credit bank and the correspondent bank must subject a large number of documents to individual checks. For example, the insurance certificate of the accredited goods delivery is required in advance to ensure the execution of payments.

How can Konfuzio help?

Konfuzio automatically reads the required data, such as the shipping date, the specification of the insured goods or the transport route. This enables a quick comparison across other documents.

Solution

For the payment processing after a thorough check of the documents' conformity with the letter of credit, no manual reading of the data is necessary. At the same time, incomplete documents are identified more quickly, queries are sent and processes are improved.

Automate land register excerpts, notary contracts and rental agreements

Challenge

Inventory data must be regularly checked for up-to-dateness due to changes in regulations such as the obligation to file copies of identification cards in accordance with the German Banking Act (GWG). The data in documents already stored or for the creation of a new customer are often revised manually and stored in a corresponding database.

How can Konfuzio help?

Data from existing or new ID documents is automatically recognized from the scanned document. This data can then be imported into an existing system and reused - completely without manual input.

Solution

A quick check of the inventory data due to new regulations is possible without considerable additional effort. Typing is no longer necessary and the search for relevant documents is reduced to a minimum.

Turning data into real value for the banking industry through AI

The potential applications of artificial intelligence in banks are vast and offer incredible potential. Konfuzio supports you in understanding and validating data from your documents.

We go beyond the partial automation of processes and offer end-to-end automation. In this way, we enable our customers to constantly change and adapt in the digital age. Take full advantage of the competitive edge that can be established through the combination of AI, data and human expertise. This allows you to create real added value from your data through data-driven value creation.

The special solution for banks and financial service providers in the EU

The Helm & Nagel GmbH offers a customized AI solution for banks and financial service providers in accordance with KWG Section 1 (1b). By using AI-based text recognition and banking rules, Konfuzio goes beyond simple document scanning. This solution verifies information using expert knowledge defined in guidelines, requirements and calculations.

Konfuzio users benefit from maximum automation and high data quality thanks to continuous AI learning and the implementation of new rules.

Konfuzio is an innovative platform for unstructured text data and documents, specially developed for banks and financial service providers in the European Union, including Switzerland and the United Kingdom. As part of a joint venture, Helm & Nagel GmbH combines Konfuzio's AI-based text recognition with the banking rules of its platform.