Israeli First established independent Digital Bank headquartered in Tel Aviv, One Zero, is set to launch a generative AI chatbot into its system, which is capable of providing immediate replies to customer queries.
To achieve this, the digital bank partnered with AI21 Labs to introduce a cutting-edge chat platform powered by Generative AI, which is scheduled to roll out to all One Zero bank customers in the fourth quarter (Q4) of 2023.
This offering will encompass not only informative and personal inquiries but also extend to consultations on matters related to money management. While customers will have the option to request assistance from a human banker at any point, the advanced chatbot will address the majority of customer queries, making more time for the bankers to provide comprehensive financial advice.
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Speaking on the introduction of the cutting-edge chat platform powered by Generative AI, CEO of One Zero Bank Gal Bar Dea said,
“Generative AI technology replaces the traditional ‘bot’ creating an exceptional customer experience that closely resembles one-on-one human interaction, with zero wait time. The integration of this technology into banking is set to redefine service standards. Paired with the bank’s proprietary AI technology, which offers valuable money management insights, it advances our mission to provide inclusive private banking services to all”.
Reports reveal that the pilot program will initially involve 450 customers of One Zero Bank and will progressively expand until its official launch for all customers in the fourth quarter.
During the process of developing and implementing the new technology, the digital Bank has incorporated unique advancements that are anticipated to be registered for patents.
The new technology will offer customers immediate responses without waiting times while enabling the bank to achieve continued growth with a cost-effective framework. This cost efficiency allows for potential savings to be passed on to customers through reduced fees and interest rates, benefiting their overall banking experience.
The new chat system will replace the current conversation menus, which rely on decision trees and predefined answers. Instead, it will enable customers to engage in free-flowing conversations, receiving responses that closely simulate human interaction.
Considering the learning curve associated with the technology, customers will have the option to seamlessly switch to a conversation with a human banker whenever they wish to. The AI-based chat platform will offer responses to both general informational queries and personalized questions, tailored to the unique characteristics of each customer’s account.
Following the development of OpenAI chatbot ChatGPT last year, which is currently the rave of the moment, this has seen several companies integrate generative AI tools into their products. Lately, several fintech and banking institutions are beginning to debut generative AI chatbots into their systems, with early successes coming in call center automation and marketing campaigns.
AI chatbots have reportedly transformed personalized banking and customer service. This has seen rapid processing requirements, unique customer needs, secure data management, and 24/7 availability which have all been met with the advent of conversational AI chatbots.
Several financial institutions are currently utilizing AI chatbots to streamline everyday operations and boost company performance which has brought about benefits such as enhanced customer service, cut down of cost, personalized banking experience, better risk mitigation, improved work efficiency, and reduction of workload, amongst others.
Experts predict that AI would revolutionize the banking industry, with the largest impact expected to be seen in areas of SMB Banking, Retail Banking, Investment, and commercial banking.
With the hype around these AI chatbots and their efficiency, it is not far-fetched to say that chatbots for banking services are here to stay, as banks would be likely unable to function without them in the future.
Financial Institutions integrating AI Chatbots might be making the best decision, as there is no other better time than now to take action, as it can also provide them with a competitive edge among competitors.