The people using AI for mortgages and insurance – and how it saved them money - The i Paper
By Google News Personal Finance ·
When Thomas Savage applied for a mortgage in principle, he was told that he could borrow £184,387.
The 29-year-old financial account assistant, who works in London but lives in Crawley, West Sussex, said that buying in the capital had “always felt out of reach, particularly as a single buyer“.
“I was curious to see how far away I realistically was from getting onto the property ladder and owning a one-bedroom flat.”
For Thomas, the figure he was given was lower than he expected.
“So I turned to AI for a second opinion,” he said.
The AI model he used gave him a realistic borrowing range, rather than simply agreeing or disagreeing with the £184,387 decision in principle.
The range showed he could potentially borrow more and also explained factors affecting how much he could borrow.
Savage is not expecting AI to replace professional mortgage advice but wanted to sense-check the figure and better understand his options, without having to go directly to an adviser.
While professional advice – rather than a computer derived mortgage in principle – could easily have provided the information he got, he says he would “definitely” use AI again before approaching a broker or adviser, to better understand his position and enable him to ask more informed questions.
Savage’s experience shows how, for some, AI offers a quick, pressure-free way to understand mortgages, insurance and financial planning.
But while chatbots can help some people, they cannot necessarily replace the expertise, accountability or personal understanding that comes with professional advice.
Brian Byrnes, director of personal finance at Moneybox, said: “What Thomas has done is an excellent use-case for how people should be using AI for personal finance matters. He’s using it to build his…
Originally published by Google News Personal Finance
