Open API and AI technology - shaping the future of banking services

Open API can be described as a technology solution that helps banks share data and services securely and in a controlled manner with third parties, from fintech to enterprises. Thanks to that, integrating multiple services on a single platform, creating transparency and convenience in providing banking services to customers, from payments, loans, investments to insurance and personal finance products.

Through API, banks can easily cooperate and connect with many third-party services such as fintech companies, application developers and other platforms, providing customers with personalized financial solutions such as smart payments, fast loans, spending management and online savings while ensuring compliance with international security standards. From there, develop an open, smart financial ecosystem, serving a variety of customers in the most convenient and fastest way.

For example, at Orient Commercial Bank (OCB), one of the "leading" banks in the journey of implementing the Open banking model, with a solid foundation of more than 200 Open APIs, strong processing performance of an average of more than 6 million transactions/month, corresponding to many different services from basic to specialized operations ready to integrate, meeting the diverse needs of partners from many industries and segments, any business with the need to manage internal finances or provide financial services to customers can connect with OCB through the Open API platform.

In practice at OCB, Open Banking has helped businesses reduce 100% of manual operations in payment and invoice reconciliation, shorten transaction processing time from 15 minutes to 1-2 seconds and cut 80% of debt reconciliation time.

These impressive figures are a clear demonstration that the application of Open API not only improves the performance, flexibility and speed of banking services but also optimizes costs, improves operational efficiency and contributes to enhancing the competitiveness of organizations and businesses in the current digital transformation context.

OCB with more than 200 Open APIs is ready to meet the diverse needs of partners from many different industries and segments.

At the same time, AI is also considered the “golden” technology of each bank and is currently becoming a powerful assistant, transforming traditional models and operating methods into smart digital banks. Not only does it help banks analyze customer data to create personalized marketing strategies, but AI technology also helps improve service quality through smart chatbots, automated financial advice and fraud detection. By applying AI to financial services, banks can minimize errors, increase accuracy and improve customer satisfaction.

According to a report from McKinsey, AI will help banks cut operating costs by 20%, increase revenue from personalized services by 30%, and banks applying RPA in customer service record an increase in customer satisfaction of up to 20%.

Currently, OCB has been applying a series of AI technologies to its operations such as: fraud identification by machine learning, detecting unusual transactions in 0.1 seconds. From there, it is possible to prevent fraudulent transactions almost immediately, minimize financial losses and improve customer safety. In parallel, OCB uses natural language processing technology (NLP) - this is a powerful tool to support banks in processing and analyzing large amounts of unstructured data from sources such as social media, customer reviews and articles.

Through NLP, banks can gain valuable insights into customer sentiment, market trends, and potential risks. NLP can also be used to automate a number of banking services, such as customer service chatbots, 24/7 virtual support that handles 80% of basic customer queries, and fraud detection systems.

In particular, OCB is one of the banks that is investing heavily in Big Data analysis technology to help banks optimize processes, minimize risks and improve customer service; Robot Process Automation (RPA) technology processes loan applications and KYC 5 times faster.

“The combination of Open API solutions and AI technology creates a flexible, modern banking environment that easily adapts to changing customer needs because today's customers demand smart, easy-to-use and personalized financial services and these technologies will help banks meet those needs quickly and effectively,” said a representative of OCB's leadership.

It is known that by the end of 2024, the number of customers connecting Open API at OCB will increase by 150% compared to 2023 and the bank also aims to increase the number of corporate customers using and applying the Open banking model by 200% in 2025.

In addition, OCB is also building a research center and developing more Open Banking products, applying advanced technology and algorithms to analyze data from Big Data. This helps the bank better understand customer behavior, preferences and needs, thereby building and adjusting personalized products and services .

Source: https://nhandan.vn/open-api-va-cong-nghe-ai-dinh-hinh-dich-vu-ngan-hang-tuong-lai-post869428.html