Today, Visa, the largest financial services company in the U.S., has announced that it is going to provide benefits to its card users with its new Artificial Intelligence systems that can approve and decline transactions when their networks are down on their behalf.
For any card transaction, the decision to approve or decline requests rests in the hands of the bank. However, sometimes with it is disrupted by challenges such as buggy software, natural disasters, or any other calamity. This makes it impossible for bankers to get in touch with customers.
Henceforth, Visa’s new AI-powered system will make a backup system to banks who sign up for service. It is starting in October.
In the last few years, deep learning technology has enormously benefitted the banking sector. Visa’s new system is powered by the same technology to gain cardholders’ credit.
Strategist to develop this system was worked on by the company’s in-house data scientists and software engineers. The company has filed just one patent for the technology and has also applied for the other two.
The reason behind the system was to stop giving a supplement to network disruption and outages that affect millions of credit and debit card transactions annually. When a disruption happens, cardholders have to undergo the bitter process of calling their banks for assistance. Thousands of dollars are being lost at the waiting time both to merchants as well as banks.
How Visa’s New System Works?
In any case, if Visa’s network detects that the bank is facing a network issue, the STIP starts automatically. Then, a correlation is defined through its deep learning technology which is trained to understand and manage data points of billions of cardholder activity.
Lastly, the mechanism finalizes the normal transactions of a cardholder and approves it based on historical data about the person. But, in the process of approval, it also takes into consideration the location of the merchant and the time of shopping concerning the cardholder.