A Personalized Overdraft Protection Framework

Abstract

Data and Artificial Intelligence are changing the business models of many financial institutions. The availability and granularity of customer data allows for the development of a personalized banking experience which has been shown to improve customer relationships and increase retention. We present a Machine Learning approach to providing personalized overdraft protection. The approach simultaneously provides benefits to both customer and bank and hence increases customer retention while improving the bank's revenue. We illustrate the approach with examples.