May 22, 2018

...AND CHEAPER...:

AI-Powered Bank Accounts Of Tomorrow Are Solving The Biggest Problem With Your Finances -- You  (Oliver Smith, May. 22nd, 2018, Forbes)

Personetics is starting by letting banks build AIs which analyze customer data for unusual spending patterns, identify spare money which could be saved or upcoming subscription payments which might leave someone overdrawn.

While some investment services like Betterment and Nutmeg have used algorithms to make investment decisions, this is the first time we've seen the same principles applied to current accounts.

"You can apply the same principles to a bank account as a driverless car--once we understand your goals, your obligations and your way of living, there's no reason why machines can't make the right decisions, or even better decisions than a person can," says Sosna.

Indeed there's a basic financial error that millions of us make every month, which AI could solve.

"You've got a credit card balance that you should pay off, but you also really want to have some savings--in that situation most people will make the wrong decision to save," Bud CEO and co-founder Edward Maslaveckas tells Forbes.

Indeed the instinct to put money away as a nest egg is usually the wrong one, especially while savings interest rates are at a historic low and any money sitting in your current account is essentially losing value every day.






Posted by at May 22, 2018 4:43 AM

  

« THE POINT IS TO PUNISH THEM FOR BEING MUSLIM: | Main | PANIC AT THE OVAL: »