GLCU’s Elizabeth Osborne testifies about AI in finance to House Committee
WASHINGTON, DC (July 23, 2024) — Today, Elizabeth Osborne, Great Lakes Credit Union’s (GLCU’s) Chief Operations Officer, testified to the House Financial Services Committee about the applications of artificial intelligence (AI) in financial services. America’s Credit Unions, an advocacy group for the credit union industry, selected Osborne to represent the credit union point of view in this landmark hearing.
The hearing, titled “AI Innovation Explored: Insights into AI Applications in Financial Services and Housing,” examined the impact, risks, and uses of generative AI in the financial services and housing sectors. In her testimony, Osborne explained the positive impact AI can have on credit unions, which tend to have fewer resources and assets compared to large financial institutions.
Specifically, Osborne spoke about how GLCU has successfully leveraged Olive, its AI-powered virtual assistant, to handle over 60% of total inbound calls to its member contact center during business hours and 75% of all calls after business hours, compared to the less than 25% handling rate of GLCU’s previous telephone banking solution that didn’t use AI. Calls fully serviced by Olive have increased more than 200% since the AI assistant was launched in August 2023, which has created more career opportunities and a higher pay grade for member contact center staff.
“AI is an important tool for credit unions. It helps us to enhance service to our members and provides services that economies of scale may not otherwise allow us to do. At GLCU, Olive is a strategic partner that helps us fulfill the underlying mission of the credit union,” Osborne said. “Our use of Olive is a prime example of how credit unions can effectively deploy the use of AI to improve the lives of our members.”
Osborne also addressed that credit unions will need to have access to AI technologies to successfully compete with larger financial institutions and non-bank financial technology (fintech) firms. She highlighted the other AI technologies GLCU is currently exploring, including Microsoft Power Automate. This tool automates repetitive, manual tasks, which saves time and resources, reduces errors and delays, and increases productivity and accuracy.
Osborne pointed out that “many existing laws are technology-agnostic and still apply” to emerging AI tools. She highlighted the broad applicability of consumer financial protection laws and anti-discrimination rules, regardless of whether the decisions are being made by a human or AI technology.
“Credit unions like mine are committed to using AI safely, securely, and with the goal of helping members meet their financial needs. AI enables credit unions to compete more efficiently with larger banks and non-bank companies in the financial services arena,” Osborne said. “AI has not altered credit unions’ historical role as relationship lenders committed to maintaining a close bond with the communities they serve.”
The full recording of the hearing is available on the House Financial Services Committee website.
About Great Lakes Credit Union
Founded in 1938 and headquartered in Northern Illinois, Great Lakes Credit Union is banking for a greater good. As a not-for-profit financial cooperative with over $1.5 billion in assets, GLCU is proud to serve 95,000 members in Chicagoland and surrounding areas, and to give back to its members and communities through education, volunteerism, and partnerships. Learn more about GLCU’s accounts, educational initiatives, and community development programs at www.glcu.org.
