Banks are adding AI to a model that AI makes obsolete

For decades, banking technology has been built around a simple sequence: a person makes a financial decision and the bank’s technology processes it. A customer decides to open an account, move money into savings or apply for a loan, and the bank’s systems execute that instruction.

Artificial intelligence can potentially reverse that sequence. Instead of waiting for a human to specify an action, AI can interpret the person’s goals, understand the financial context around that goal, and determine what happens…