In recent years, we have witnessed the change of Thai citizens' spending behaviors into more cashless transactions that we have become increasingly reliant on online and mobile banking services. Evolved by an ongoing Covid-19 pandemic conditions, which has placed most of us to adjust to the new normal situation to become a cashless society. In this article I will give you an understanding how AI plays a role for a more convenient, safer and secured Cashless Society.
Financial transactions take place through transfer of digital information instead of using physical currency notes or coins. Banks and services have undergone massive transformation, by stepping into a more digital world to serve its customers at their convenience. However, we have to admit that the Covid-19 pandemic has become one of the main reasons for this change in the financial part of society where people are more aware of their physical interaction between each other, in trying to keep themselves social distanced from one another and this includes contactless payment they come across on a daily basis. Those financial transactions through e-payment (Electronic payment) include food orders from both restaurants and food delivery platforms, grocery stores, online shopping, utility bills, insurance payment, transportation payment, other entertaining payments and etc, and can be done in many ways such as mobile banking application from banks, e-wallet, and credit/debit cards at your fingertips.
The benefits for customers as the user would be that it is convenient because the financial transaction can be made anywhere, and anytime without any charging fees and easy to track down personal money transactions through history data, that way customers can easily take control of their finances. On the other hand, the providers or banks can also reduce the cost of financial transactions in terms of service fees, customer service staff at local branches, the cost of installing ATM machines in some areas as well as the cost of banknote transport fees.
However, as payments move online, there would be an increased risk of crimes such as identity theft or fraudulent transactions. Thus, the security system is highly needed for the banks to provide its services to customers, even though the banks have developed its application and the back of the house system such as KYC to verify users identity before entering an account using OTP (One Time Password) to confirm access, still several kinds of mistakes can occur.
To prevent mistakes from occurring, AI has built into the system with the ability to provide more secure service to customers to detect any uncommon practices that could happen to users’ accounts such as Fraud Detection, through Predictive Analytics; one of the techniques from Deep Analytics to remember, record, and analyse the behavior of each user through their accounts in the application. When uncommon practices are detected in real time within an account, banks can directly contact the account owner to clarify and warn them in a timely manner before the money is taken away.
Here comes the day when we are marching towards becoming a total cashless society. without the intelligence afforded by AI, we would not come this far to embrace such convenience in life. Consequently, we see the capabilities of developing AI to utilize with further innovation and implementation that we can enable them to help live life easier.