Consumers Weigh Benefits and Risks of AI in Banking
New research shows that while many welcome AI assistance, few trust these systems with personal digital identity verification.
Updated on Oct. 27, 2026 in Banking
Live Poll
Would you trust an AI agent to open a financial account or sign contracts for you?
Sixty-five percent of European consumers are open to using AI for financial applications, provided they retain control over the process. However, trust levels remain low for letting AI handle sensitive tasks like identity verification or contract signing.
Why it matters
Financial providers are increasingly preparing for AI-initiated applications to combat high abandonment rates caused by lengthy and complex signup processes. Balancing this institutional readiness with consumer anxiety remains a primary challenge for the banking sector.
While 79% of financial providers are prepared for AI-initiated applications, only 15% of consumers trust AI to use their digital identity for verification. Additionally, trust in financial institutions to secure personal data at 44% significantly outweighs trust in AI providers at 23%.
The players
Signicat
This digital identity company conducted the survey regarding consumer attitudes toward AI and verification processes across Europe.
The details
Excessive information requests and complex procedures continue to drive consumers away, with 60% of European users abandoning an online financial application in the last year. Despite the frustration with current systems, most users remain cautious about granting AI autonomy to manage their financial contracts or personal data security.
Timeline
October 27, 2026: Signicat published its new research report on consumer attitudes.
2022: Signicat reported a slightly higher abandonment rate of 68% for financial applications.
Last year: Sixty percent of consumers abandoned online financial applications.
Market Dynamics
This research updates the figure for financial application abandonment previously established by the 2022 Signicat report on application abandonment. It highlights a critical shift as firms pivot toward AI to resolve friction in customer onboarding pipelines.
Retail investors should watch how financial institutions integrate AI to reduce customer churn, as success here could lower operational costs and improve user retention. Conversely, the persistent trust gap suggests that firms relying too heavily on automation may face significant adoption headwinds.
The takeaway
Consumers largely view AI as a helpful tool for financial tasks, but they prioritize data security and personal control above speed. Users are advised to review privacy settings and permissions whenever allowing third-party tools to interact with their financial accounts.
Further reading
For more on the current state of the sector, visit our Banking page.
Live Poll
Would you trust an AI agent to open a financial account or sign contracts for you?
