AI Models in Financial Services: Emerging Issues and Areas of Risk


2 minute read | October.08.2025

Artificial intelligence is changing the way we view and analyze data. With predictive AI, financial institutions are increasingly implementing models that analyze prior consumer information to predict outcomes.

In an article published in The Review of Banking & Financial Services, Sherry-Maria Safchuk, Sasha Leonhardt, Caroline Stapleton and Samantha Goldberg-Seder explore the rapidly evolving landscape of AI in the financial services industry and discuss emerging risks and regulatory challenges. The authors examine how financial institutions are leveraging predictive and generative AI to enhance operations, and offer practical considerations for data management, model risk and explainability.