AI Perpetuating Human Bias In The Lending Space
AI was supposed to be the pinnacle of technological achievement — a chance to sit back and let the robots do the work. While it’s true AI completes complex tasks and calculations faster and more accurately than any human could, it’s shaping up to need some supervision.
There is data which predicts that the introduction of AI into the financial system will bring with it increased racial bias and discrimination. Through a case study of mortgage applications, this article shows how bias might be introduced to AI systems by either 1. bias within historical data, and 2. inherent biases of AI programmers and employers. Because of this risk, financial firms must ensure bias considerations are core to their AI development process.