The Future of Banking With AI Credit Scoring Systems

Achilleas Amvrosiou, one of the leading figures behind the Artemis system and the CEO of the company which manages the system, is excited to introduce the new digital banking age to Cyprus. The Artemis system is an AI which uses algorithms to decide how credible and reliable an individual is, when applying for a loan.

The AI project, Artemis commenced in 2009. At the time, the Central Bank had asked that all banking data be recorded in Artemis, including both performing and non-performing loans (NPL’s).

The structure of the AI program will be built in relation to instructions issued by the Central bank, which are expected to be delivered in 2019. Within about two years, from the issuance of the Central Bank instructions, Artemis will be ready to be used by banks in Cyprus.

To rate individual’s credibility for loans, the Artemis program will monitor the economic activity and personal data of the applicant. Additionally, applicants will be given a “grade” which will reflect their overall credibility as a borrower.

Amvrosiou notes, “if this grade is low then there is a possibility that the borrower is a bad debtor, while the opposite is the case if the grade is high.” With this approach lenders can secure a lower default rate, preventing the closing of banks and the loss of jobs and people’s liquid assets.

Banks in Cyprus are currently clients of the company which owns Artemis. Amvrosiou claims that the banks and their customers are pleased with the new Artemis tool and embrace it.As the new tool is being studied and prepared for adoption, the Bank of Cyprus and Hellenic Bank are collaborating to introduce Cyprus to a new age of banking.

This is already in the works with Hellenic Bank’s new “charges on transaction” fee where over-the-counter transactions are more expensive than digital transactions which cost little or nothing.

This action has the elderly concerned as some are unable to use a computer or simply choose not to have one. They perceive the increase over-the-counter transaction fees as unfair and unjust, according to the Cypriot Workers’ Confederation (SEK).

These claims are reasonable, yet as time passes, the majority of interactions occur online, digitally. As new technologies are adopted, new solutions will be found.