An Analysis on the Impact of Artificial Intelligence in Banking Sector in Thanjavur District Tamil Nadu

Abstract

Artificial Intelligence (AI) is transforming the banking sector by automating processes, improving customer service, and enhancing security. AI-powered chatbots provide 24/7 customer support, while machine learning algorithms help in fraud detection by analysing vast amounts of transactional data in real time. This study investigates the impact of Artificial Intelligence (AI) on the banking sector in Thanjavur District, focusing on how AI is transforming banking operations and customer experiences. Through a survey of 150 bank customers, the research explores the extent of AI adoption, its perceived benefits, and the challenges faced by both banks and customers. The key AI applications, such as chatbots, fraud detection systems, and personalized financial services, were found to significantly enhance operational efficiency and customer satisfaction. However, concerns about data privacy, job displacement, and AI transparency were also noted. The study concludes that while AI is positively reshaping banking in Tirunelveli District, addressing customer concerns through stronger data protection policies and transparent AI practices is essential for maximizing its potential.