The word vision is to see. As humans, our vision is from our eyes. In the context of artificial intelligence, humans can solve problems. We see something, we solve it. The rise of artificial intelligence has made way for computer technologies to mirror the actions of a human. What if we said that artificial intelligence technologies can make computers “see” and understand content as a human does?
Step in Computer Vision, an artificial intelligence subset that makes computers visually enabled to understand an image and video content. Computer vision is something commonly used for industrial robots, but they are completed to perform repetitive tasks. They are not developed to interact with humans or act upon human input. However, Artificial Intelligence has opened the door for this to happen, and the Banking and Finance sectors will most benefit from its impact.
With the expectation of computer vision technology growing by 18.24 billion by 2025, it would be at a disadvantage if banking and finance didn’t make inroads with computer vision technology. It can have a real impact on financial and banking services. We take a look at how computer vision technology can impact banking and finance.
- Reduce Paperwork – When staff goes through paperwork, an institution is using time, resources and money. With administration tasks slowly becoming outdated, computer vision will slow promote a more efficient strategy to automate digital processing. For example, banks filter through paperwork to create new bank accounts. Institutions are slowly becoming paperless due to AI, and a process of Know Your Customer (KYC) has been formed to help banks use biometrics to identify customers through digital verification to open a bank account. The KYC strategy is something already used by Banco Bilbao Vizcaya Argentaria (BBVA) bank. Hence, there is no need for paperwork.
- Digital Transaction Verification – Touching on what’s been discussed, biometric data can also be used to verify banking customers to authorize transactions. It has also proven to reduce fraudulent transactions as only fingerprints and facial features can open banking accounts through digital applications. Customers can feel secure when accessing their bank accounts.
- Automated Extraction Of Information – The process of automated extraction of information helps to reduce time and cost. HyperScience is the first company in 2014 that offers machine vision products under the HyperEXTRACT band to allow financial institutions to integrate automated data collection processes. Through image recognition, HyperScience can integrate image recognition to extract and identify incoming documents to send to the relatable team. Adopting this process in banking and finance not only reduces data entry, resources to manually extract and assign documents but promotes accuracy of ensuring the correct documents are regularly extracted in its process.
- Promote Card-less Payments – Finance is already flirting with the idea of customers paying in without using bank cards. Instead of paying through credit and debit cards, the idea of applying one-time digital codes on customer smartphones has been touted as more protective, efficient and safe. Wells Fargo is already operating without debit cards in ATM’s, where customers are expected to input the code received on their smartphone. Announced in 2017, Wells Fargo believes this is a more convenient and safe way to manage money, particularly because the majority of banking customers use their smartphone for banking activity.
According to Deltec Bank – “Computer Vision hasn’t hit the mainstream in banking and finance just yet, but the steps are being put in place for it to do so. It will introduce a new paradigm in the finance and banking industries and as technology evolves it’ll become more of a necessity in strategy.” It is proving to be a win-win situation of banking and finance institutions in the sense of saving resources and costs that can be used to invest in automation, helping productivity, increased security and reducing fraud.
To sum up, computer vision is a recent phenomenon slowly making its way into the banking and finance industries. Industrial sectors have been using robotic technology for years to perform repetitive tasks but are not capable of communicating with humans. The branch of AI has now introduced the ability for this to happen. BBVA and Fargo are the first banks to introduce computer vision technology into its institutions and has proven to deliver enormous benefit to strategy. Shortly, all banking and finance institutions are expected to incorporate computer vision to make it simpler, efficient and secure for customers to manage their financial activity.
Disclaimer: The author of this text, Robin Trehan, has an undergraduate degree in Economics, Masters in international business and finance and an MBA in electronic business. Trehan is Senior VP at Deltec International www.deltecbank.com. The views, thoughts, and opinions expressed in this text are solely the views of the author, and not necessarily reflecting the views of Deltec International Group, its subsidiaries and/or employees.
About Deltec Bank
Headquartered in The Bahamas, Deltec is an independent financial services group that delivers bespoke solutions to meet clients’ unique needs. The Deltec group of companies includes Deltec Bank & Trust Limited, Deltec Fund Services Limited, and Deltec Investment Advisers Limited, Deltec Securities Ltd. and Long Cay Captive Management.