Bank-fintech partnerships give rise to chatbots

Chatbot, AI, robot, software,

With the arrival of open banking and PSD2 potentially marking the start of a new era of data-sharing and collaboration in financial services, it’s possible we are already seeing the first signs of providers embracing these principles.

Two recent examples of partnerships in Europe and North America have demonstrated how businesses working together can give rise to new technologies and services for consumers.

In Germany, Deutsche Kreditbank AG has been working with Berlin-based startup FinReach on the development of ‘Herbie’ – a chatbot designed to guide people through the loan application process.

Using artificial intelligence and a functional understanding of colloquial language, the system is designed to engage with customers and help them find a product that suits their needs.

Mark Hauel, head of retail banking at DKB, said it is becoming more common for people to expect intelligent digital services and increasing interaction from their bank.

“Our new chatbot will initially be used on our personal loans, making it another digital building block in our response to this evolution,” he added.

Meanwhile, in Canada, a market that has been taking its own tentative steps towards open banking, BMO recently announced the rollout of two chatbots for Facebook Messenger and Twitter.

Created in partnership with software developers Finn.ai and Massively, the new services are designed to provide instant responses to common customer questions.

Brett Pitts, chief digital officer at BMO Financial Group, said the bank wants to deliver an “exceptional customer experience” and meet its users “where they are” – namely in the digital space.

He added: “The launch of these chatbots, and the integration of AI into our customer-facing technology, provides an opportunity to build upon the relationships we have with our digitally active customers and create more convenient and personalized experiences through both self-service and assisted-service channels.”

For those consumers who are not yet onboard with the idea of having their questions answered by a chatbot, BMO’s new offerings provide the option for users to switch to a human customer services professional at any time.

 

Image: Zapp2Photo via iStock

Written by Jack Dougal

Jack Dougal

Jack Dougal is Banking.com's resident news reporter. He writes regular blogs covering the latest stories and key developments in the global financial services industry.

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