News Update - Gen AI in Banking, Credit Card Transaction Fees, AI Ethics and The Human Touch
In this podcast episode, Paul Sweeney and Cormac O'Neill cover topics such as company defaults, payment terms, transaction fees, and the adoption of AI in the banking sector. The hosts also explore the concept of Gen AI and its potential impact on various industries. The conversation highlights the importance of trust, ethics, and the human touch in the adoption of AI technologies.Takeaways Company defaults and payment terms are key factors in the credit industry.Visa Card and MasterCard have agreed to cut US transaction fees, which will save merchants billions of dollars.Gen AI has the potential to augment virtually every job in the banking sector.Trust, ethics, and the human touch are important considerations in the adoption of AI technologies.Sound Bites"For every 1% drop in profitability, it could increase payment terms by seven days.""Merchants will be able to charge different prices to customers based on which credit card they use.""LLMs raise the floor, not the ceiling."Sources https://www.theguardian.com/business/2024/apr/05/thames-water-parent-tells-creditors-it-has-defaulted-on-debt https://www.credit-connect.co.uk/drafts/profitability-squeeze-could-extend-business-payment-delays-further/https://www.irishtimes.com/business/2024/03/26/visa-and-mastercard-agree-30bn-settlement-over-us-transaction-fees/https://www.credit-connect.co.uk/news/klarna-launches-credit-card-challenge/https://sytaylor.substack.com/p/generative-ai-word-salads-robinhoodshttps://reports.jpmorganchase.com/investor-relations/2023/ar-ceo-letters.htm?https://www.americanbanker.com/creditunions/list/banking-on-ai-how-financial-institutions-are-deploying-new-tech