AI Banking Expansion: Bank of Ireland Strengthens Fraud Detection and Customer Services

Bank of Ireland is expanding its use of artificial intelligence across its operations, deploying automated systems to examine approximately 2.9 million customer transactions each day for signs of potential fraud. The initiative highlights the growing role of AI in protecting digital payments while improving the efficiency of everyday banking services.

Announced on October 21, 2026, the bank’s latest technology update outlines a broader strategy that extends beyond fraud prevention. AI is also being used to streamline card-payment disputes, support customers seeking potential tax relief and help employees manage routine administrative tasks.

The development reflects a wider shift across the financial services industry, where banks are increasingly turning to data-driven tools to identify suspicious activity and respond to customer needs at scale.

AI Takes a Larger Role in Fraud Prevention

The bank’s fraud-monitoring technology assesses around 2.9 million transactions every day, operating throughout the year. By analysing transaction data and identifying potentially suspicious patterns, AI-based systems can help flag activity that may warrant further investigation.

Such technology is particularly relevant as digital banking and electronic payments generate large volumes of transactions that must be assessed quickly. Automated analysis can help financial institutions identify unusual behaviour and direct attention towards cases requiring additional scrutiny.

However, the number of transactions screened should not be confused with the number of fraudulent payments detected or prevented. Bank of Ireland’s latest figures describe the scale of monitoring, rather than providing a complete measure of the system’s detection accuracy or its overall financial impact.

In February 2026, the bank reported that its AI systems had assessed one billion card transactions during 2025 and helped prevent an estimated €9.7 million in potential customer losses. The figures illustrate the institution’s continuing investment in technology designed to strengthen payment security.

Faster Resolution of Card Disputes

Artificial intelligence is also helping the bank handle chargebacks, the process through which customers challenge card transactions and seek reimbursement where appropriate.

Bank of Ireland reports that more than four out of five chargeback cases are now resolved within three days. AI-supported processes are helping teams manage these requests more efficiently, potentially reducing the time customers spend waiting for a decision.

The improvement is part of a wider effort to simplify banking procedures and reduce delays in customer service. The bank has not, however, published enough comparative data to determine precisely how much of the reported performance is attributable to AI alone.

AI Tools Aim to Improve Customers’ Financial Wellbeing

Beyond security and operational efficiency, Bank of Ireland is using AI to develop services intended to help customers manage their finances.

Its Benefits Finder tool, introduced in April 2026, helps users identify tax credits and reliefs they may be eligible to claim. According to the bank, the service has been used 31,000 times and identified €55 million in potential tax refunds.

The amount represents possible savings or refunds identified by the tool, rather than money confirmed as received by customers. Actual eligibility and payment depend on individual circumstances and the applicable tax rules.

The bank has also reported delivering 127 million AI-powered spending insights to customers during the previous year. These features are designed to help users better understand their spending patterns and make more informed financial decisions.

Contact Centres and Employee Productivity

AI is contributing to changes in the bank’s customer support operations as well. Bank of Ireland says its use of the technology has reduced transfers between contact-centre teams by more than 40%, helping customers reach the appropriate assistance more directly.

The institution is also investing in employee training. Nearly 7,000 staff members have completed training in Microsoft Copilot, which can assist with tasks such as research, summarising documents and preparing routine work materials.

According to the bank, employees using Copilot save an average of approximately 30 minutes per day. The reported figure indicates potential productivity gains, although the bank has not disclosed an independent assessment of the overall financial return on the programme.

The bank’s AI Centre of Excellence coordinates the development and deployment of these applications, with an emphasis on security, responsible use and consistent governance across the organisation.

Balancing Innovation With Financial Security

The expansion of AI offers banks opportunities to process information more quickly, identify emerging risks and improve customer services. Yet its effectiveness depends on the quality of the underlying data, the reliability of automated assessments and appropriate human oversight.

Fraud detection systems must distinguish suspicious transactions from legitimate payments, while customer-facing tools need to provide accurate information and handle sensitive financial data responsibly.

For Bank of Ireland, the latest figures demonstrate how artificial intelligence is becoming integrated into multiple areas of its business rather than remaining confined to experimental projects.

As the programme develops, measures such as fraud losses prevented, detection accuracy, customer satisfaction and independently verified productivity gains will be important in assessing its long-term impact.