• AI is transforming fraud detection by learning your business’s typical financial patterns and flagging unusual activity more accurately and quickly than traditional tools.
  • Some bank accounts with cash flow forecasting can now analyze transaction history and timing to predict future cash flow and help businesses plan ahead.
  • Banks are offering more personalized business banking support through AI-powered insights, spending analysis, and virtual assistants.

Artificial intelligence and automation are enabling banks to provide valuable tools that assist small businesses in making informed financial decisions. AI makes insights smarter, while automation makes everyday tasks faster and easier. AI-powered tools may also provide better ways for small businesses to safeguard their accounts from fraud. Here’s a closer look at how these technologies are transforming the business banking experience.

Smarter, Faster Fraud Detection

A recent report by the Association of Certified Fraud Examiners showed that check and payment tampering alone cost businesses around the globe a median of $155,000.[1] For small businesses with limited funds, these losses may significantly affect their financial standing.  

Historically, fraud prevention tools have relied on fixed rules to flag transactions, such as those above a certain amount or made from new locations. AI is taking it further by continuously learning your business’s financial activity. For example, it can analyze who you pay, how much, how often, and when, adapting in real-time and alerting your bank and you when things fall outside your typical pattern. It’s fraud detection personalization at a micro level. Banks may also swiftly address threats, sending fewer false alerts and unnecessary account freezes or disruptions.

Real-Time Visibility Into Your Finances

Profits reflect growth, but cash flow may determine whether your business might be able to meet payroll, pay vendors on time, or reinvest in operations. Some banks are now integrating AI-powered forecasting tools into customer online banking portals to help make managing cash flow easier.

These tools might be able to automatically analyze your past transaction data, payment timing, and account balances to make future cash positions over the next few months or years. You might even get insights into your cash position across multiple accounts, even from other institutions, or see how your business compares to similar companies based on location, size, and revenue. Automation plays a key role here by continuously pulling data, generating projections, and surfacing insights without requiring manual effort.

More Personalized Banking Experience

AI is helping banks move from generic to personalized support. AI systems may be able to analyze your account activity to offer suggestions tailored to what your business actually needs. For example, accounts with recurring cash shortfalls might be shown options to help smooth cash flows, like invoice financing or lines of credit. 

Spending Patterns

Another use of AI is to automatically categorize transactions like:

  • Payroll
  • Software expenses
  • Marketing
  • Utilities
  • Travel costs

AI may also take the data and give you insights on how your spending compares to last quarter or provide advice based on your transaction patterns.

You could also be prompted to investigate further when things fall outside the typical usage pattern, such as when subscriptions increase or vendor payments spike or drop. These systems work in the background, automating spending analysis and surfacing the most relevant information based on your needs.

Customer Support

Many banks are also upgrading customer support. In some cases, AI-powered virtual assistants can now handle more complex questions, like “How much did I spend on software last month?” They may be able to respond with clear answers, charts, or next steps to save you time.

How To Get the Most Out of AI-Driven Banking

AI is changing how small businesses bank by improving fraud detection, customer support, and cash flow forecasting. Look for banking tools that combine automation with real-time insights to get the most value. Features to search for include those that track and forecast cash flow based on your transaction history, flag potential shortfalls before they happen, and help you model different financial scenarios.

Some platforms offer built-in fraud monitoring and alerts or dashboards that categorize spending for easier budget management. The most effective tools align with how your business operates, offering guidance that’s relevant, timely, and easy to act on.

Banks can be a partner on your journey to managing money with less guesswork and more strategy. Schedule an appointment with a banker to see how PNC can support your business.