Is Artificial Intelligence in banking a revolution or a passing fad?
The mortgage industry is evolving at a rapid pace. Borrowers demand faster, more seamless digital-first experiences, and lenders face mounting pressure to adapt. With loan abandonment rates exceeding 75% at critical process stages, the stakes have never been higher.
The banking industry stands at a critical inflection point. As we advance through 2025, artificial intelligence has evolved from experimental technology to a strategic imperative reshaping how financial institutions operate, serve customers, and manage risk.
The building society sector continues to demonstrate remarkable resilience and momentum, accounting for 72% of mortgage market growth between April and September 2024.
In today's increasingly complex economic landscape, financial institutions face mounting pressure to adapt to policy changes that significantly impact their lending portfolios. The current administration's implementation of tariffs presents both immediate challenges and long-term considerations for lenders across the United States. With rising economic policy uncertainty weighing on business fixed investments, financial institutions must prepare for potential credit deterioration and adjust their risk management strategies accordingly.
As community banks and credit unions navigate a constantly evolving financial landscape, a few challenges become clear. From delivering modern member experiences to understanding the role of legacy systems in a digital world, it’s crucial that community banks and credit unions find solutions that best serve their borrowers.
