AI personalizes digital banking for European customers

European customers expect more from digital banking, and artificial intelligence is helping banks tailor services to individual needs, according to a TechRadar article by Jay Nair.

The article cites a survey of 6,300 online banking users across Europe, published earlier this year by a digital banking platform provider. It says 82 percent used a traditional bank as their main provider, 26 percent had switched banks because of poor digital services, and 47 percent would feel more satisfied if digital services improved. Separately, 59 percent wanted financial recommendations tailored to their needs.

AI systems can analyze customer and transaction data to suggest products based on needs, preferences and behavior. The article also describes tools that detect cash-flow patterns or unusual spending, and chatbots that answer questions about portfolios and financial goals. Generative AI may also tailor debt-collection messages and bank communications to customers’ preferred languages and channels.

The article points to gaming as another possible way for banks to engage younger audiences, with examples such as savings plans tied to virtual incentives and financial prompts based on in-game activity.

It identifies Dutch neobank Bunq as Europe’s first AI-powered bank. Its personal finance assistant, Finn, provides conversational, context-aware support and handles up to 40 percent of customer queries independently, the article says. These figures and examples are reported by TechRadar; the article does not name the survey provider.