ChatGPT and Generative AI in Payments: Reality, Hype, What’s Next, and How to Prepare

ChatGPT, a conversational AI model built by OpenAI, is the most talked-about technology of 2023. And it has caught the attention of payments services providers keen to unlock the potential of the generative AI that powers it.

Generative AI is set to revolutionize various sub-verticals within the payments industry. The most significant impact is expected to be seen in payment networks, mobile wallet providers, and issuing banks.

Over the next few years, we expect to see many positive use cases for generative AI. The most viable and valuable are believed to be in authentic chat, personalization, credit scoring, payment optimization, and fraud detection. On the other hand, there are a couple of not-so-promising use cases for generative AI in payments which include security and compliance.