AI’s Growing Role in Financial Management

Recent studies show that a significant portion of the American population is embracing AI for financial assistance. According to FNBO’s 2025 Financial Wellbeing Study, approximately 46% of Americans report using AI tools, such as ChatGPT, to navigate their personal finances. Additionally, 50% express trust in AI when receiving financial advice.

How AI is Integrated into Financial Services

Many financial institutions leverage AI technology to enhance the user experience. From chat support and fraud detection to generating personalized credit scores and recommendations, AI effectively streamlines various financial services. Tools like ChatGPT and Gemini empower users to access personalized financial insights and budgeting strategies with ease.

Benefits of AI-Centric Financial Planning

As Andrew Latham, certified financial planner at SuperMoney.com, explains, “The actions of a good planner—analyzing cash flow, identifying blind spots, and testing goals—are not mystical. They are systematic, and AI is learning to replicate them effectively given the right data and context.” While AI continues to bridge the gap with human financial advisors, Latham emphasizes that human advisors offer unique benefits, including relationship-building and emotional support during market volatility.

Concerns Surrounding AI in Finance

Despite its advantages, many users and experts harbor concerns about AI’s influence on personal finance. A recent 2024 study by PYMNTS.com highlights consumer apprehension regarding dependency on technology and the risks of privacy violations. The 2025 IBM report further reveals that 13% of organizations encountered breaches of AI models, underscoring the importance of secure AI operations.

Protecting Privacy While Utilizing AI

Using AI tools in finance can offer significant benefits, especially for those unable to afford professional advice. To utilize these technologies responsibly, individuals should take steps to protect their data. Key practices include:

• Review Privacy Policies: Understanding how your data is handled can help mitigate risks. Adjust settings to limit data sharing as necessary.
• Avoid Oversharing: Be cautious about the information you provide, including personal identifiers like your name or birthdate.
• Use AI as a Support Tool: Leverage AI to explore options but maintain personal judgment as the critical factor in decision-making, emphasizing personal goals and rational risk assessment.