As Banks Push AI, Worry About Worsening Inequality Follows -

"AI and machine learning might amplify patterns of historical discrimination and financial exclusion through reliance on flawed data or mistakes in development."

Why this is important: Earlier this year, the Comptroller of the Currency, Federal Reserve System, Federal Deposit Insurance Corporation, Consumer Financial Protection Bureau and National Credit Union Administration jointly issued a Request for Information and Comment on financial institutions’ use of artificial intelligence, including machine learning. The comment period has now closed, and the agencies are beginning to digest the commentary they received, which included commentary on the risk that use of machine learning could exacerbate patterns of historical discrimination and financial exclusion through reliance on flawed data, embedded with implicit biases. The American Bankers Association and Bank Policy Institute v have taken the position that the risks can be managed through existing laws and regulations and that new regulations are not necessary.