AI Agents Poised to Curb $750M Online Shopping Fraud, Enhance Credit Decisions

Artificial intelligence (AI) is rapidly transforming credit decision-making and lending processes, making them faster, more inclusive, and more efficient. Companies like Fair Isaac Corp. (FICO) are partnering with financial institutions such as Nationwide Building Society to shorten credit decision timelines through AI-powered platforms that unify customer data and automate risk assessments, enabling near real-time, straight-through processing with minimal manual intervention. AI-driven lending also incorporates alternative data sources like telecom usage and online shopping behavior, expanding access to credit for underbanked populations, including gig workers and small entrepreneurs. However, the lack of transparency in some AI credit scoring models raises concerns about fairness and accountability. Additionally, agentic AI applications in loan origination improve efficiency by prequalifying borrowers through automated data gathering and eligibility checks before connecting them with loan officers, thus increasing conversion rates and reducing operational costs. Overall, AI is reshaping the lending landscape by enhancing customer experience, broadening credit access, and streamlining loan workflows.