Employing Artificial Intelligence and Algorithms in the Digital Lending Industry: Measuring and Managing Risky Consumer Behaviour

No Thumbnail Available

Date

2020

Journal Title

Journal ISSN

Volume Title

Publisher

IGI Global

Abstract

Lenders employ AI and algorithms in analyzing the potency for loan advancement. AI and algorithms are seen as efficient, and banks seem to be adopting or exploring the AI applications and algorithms to manage risk and cut bottom line cost, thus replacing costly, laborious, and repetitive activities along the value chain. The chapter offers practical solution to the practitioners and stakeholders on identifying customers associated with consumer risky default behaviors. It then advises on how to deal with these issues and what banks should employ to curb risky borrowing behavior.

Description

Keywords

Citation

Opati, T. Z. (2020). Employing artificial intelligence and algorithms in the digital lending industry: Measuring and managing risky consumer behaviour. In T. Z. Opati & M. K. Gachukia (Eds.), Impact of mobile payment applications and transfers on business (pp. xx–xx). IGI Global. https://doi.org/10.4018/978-1-7998-2398-8.ch003