Mention the words “machine learning,” and many credit union executives see visions – perhaps even nightmares – of robots replacing people or going rogue with ruinous lending decisions. Others worry that their data sets may not be robust enough, especially compared to the vast repositories of much larger financial services firms. Still others are skeptical that these investments will ever pay off. Only 5% of credit unions have incorporated AI/ML solutions into their lending business, according to a study of a broad array of mortgage lenders released last fall by Fannie Mae.
VyStar Credit Union is not one of those credit unions. While conservative by nature, VyStar believes that it can also be at the forefront of technology adoption and institutional change. Working with Zest, VyStar will be one of the first credit unions to adopt AI-powered underwriting. High on its agenda for AI are cost-savings associated with greater automation, and the opportunity to offer instant decisions, better pricing, and personalized service to its 675,000 members.
As VyStar Chief Lending Officer Jenny Vipperman writes in this op-ed in Credit Union Journal, when it comes to adopting AI, "we believe that we can’t afford to wait."