A recent survey by FICO revealed that over 70% of Asia Pacific banks plan to integrate Artificial Intelligence (AI) into their debt collection and recovery operations within the next two years. They believe that using AI will make the process of collecting outstanding debts smoother and more efficient.
Benefits of Using AI for Debt Collection:
- Automated Collections: AI ensures automatic collection of debts in multiple areas, reducing manual efforts.
- Quicker Bill Payments: Automated collections lead to quicker bill payments as well.
- Reduced Collection Time: Integration of AI for debt collection and recovery results in faster and more efficient collections.
- Improved Customer Satisfaction: AI-based collections also enhance customer satisfaction as they eliminate in-person contact, which can be inconvenient.
- Better Business Decisions: Lenders feel that AI has the potential to significantly improve their business decisions, beyond just enhancing customer satisfaction.
- Early Repayment Intervention: AI also helps to identify and reach out to customers who are behind on their repayments early on, maintaining the lender-customer relationship and benefiting both parties.
The FICO survey was conducted in Tokyo and attended by a majority of financial institutions and banks across Japan and the Asia Pacific region. Companies are now focused on implementing AI into their processes by the end of 2018.
Conclusion: APAC banks are embracing AI for their debt collection and recovery efforts. The benefits of using AI include automated collections, quicker bill payments, reduced collection time, improved customer satisfaction, better business decisions, and early repayment intervention. If you want to learn more about how these banks plan to integrate AI or need help implementing it in your company, click here!