A strong credit risk management system in combination with AI and ML technologies can not only mitigate financial risks but also level up the effectiveness of decision-making processes, increasing a company’s profit.
According to Statista, the number of only FDIC-insured commercial banks in the U.S. over the last 20 years reduced by half. It suggests that there is strong competition in the market. Banks and lending organizations need to check every loan application in detail to gain the greatest extent of possible profitable borrowers and minimize credit risks. However, not all organizations have access to top-notch AI software.