Solving banking’s biggest compliance challenges with AI

The typical pain points of compliance

Today, the most common challenges include fast-changing regulations, siloed systems, and operational complexity, all of which make it harder to monitor risk effectively, deliver accurate reporting, and maintain transparency. When compliance slips, the consequences go beyond fines and regulatory penalties — eroding customer trust, damaging reputation, driving up operational costs, and ultimately undermining a bank’s competitiveness. AI for compliance offers a powerful way to meet these challenges, with the potential to streamline processes, improve monitoring, and strengthen compliance at scale.

How AI enables banks to tackle GRC challenges

Banks currently operate in an environment where compliance is becoming more complex, costly, and demanding than ever. Below are the most pressing challenges they face — and how AI compliance software is uniquely positioned to help overcome them.

Constant regulatory change

Challenge: Laws and regulations evolve quickly across jurisdictions (e.g., AML, KYC, ESG, data privacy). Banks risk falling behind on updates, creating gaps in compliance frameworks and exposing them to fines or sanctions.

Solution: Traditional manual updates often lag, while AI compliance software can track changes in real time and flag gaps before they become risks.

Exploding data volumes
Challenge: Transactions, customer records, and monitoring data grow at massive scale. Manual review becomes impossible, leading to errors, missed risks, and weak audit trails.

Solution: AI for compliance can process vast data sets instantly to spot anomalies and strengthen audit trails.

Siloed systems and legacy technology
Challenge: Compliance teams often work across fragmented platforms. Lack of integration slows decision-making, reduces visibility, and increases the chance of inconsistencies.

Solution: AI compliance platforms integrate disparate data sources to provide a single, accurate view.

Rising expectations for speed & accuracy
Challenge: Regulators, customers, and internal stakeholders all demand real-time monitoring and reporting. Manual or semi-automated processes can’t keep up, creating delays that may breach regulatory deadlines.

Solution: AI compliance enables real-time monitoring and delivers rapid, reliable outputs.

Cost and resource constraints
Challenge: Compliance costs continue to rise, but budgets and skilled staff are limited. Overstretched teams may cut corners, leading to weak controls and heightened risk exposure.

Solution: AI for compliance reduces manual workload and frees staff to focus on higher-value tasks.

Accountability and reporting pressures
Challenge: Regulators require transparent, auditable evidence of compliance. Incomplete or inaccurate reporting damages trust and invites regulatory scrutiny. heightened risk exposure.

Solution: AI compliance software generates consistent, auditable records that build trust with regulators and customers alike.

Compliance uncomplicated, that’s the power of AI

Routine compliance tasks are increasingly being managed through automated workflows. According to MetricStream’s 2025 GRC Practitioner Survey, nearly half of GRC teams (43.53%) have already leveraged AI compliance software to manage the bulk of the work. By automating controls monitoring, regulatory reporting, and audit documentation, they’re cutting hundreds of manual hours while ensuring accuracy and consistency every time.

Cost efficiency

Beyond time savings, AI for compliance also drives significant cost efficiency across financial institutions. Automating resource-heavy tasks reduces the reliance on large compliance teams, lowers the risk of expensive human errors, and minimizes the financial impact of regulatory fines or late submissions. This shift allows banks to reallocate budgets toward innovation and customer experience, turning compliance from a cost centre into a source of measurable value.

Keeping up-to-date with regulatory changes

With landmark frameworks like the EU’s AI Act setting strict standards in the finance industry, keeping up with evolving regulatory changes is vital. Forward-looking banks that embrace AI for compliance can turn these challenges into a competitive advantage. By proactively anticipating requirements and embedding them into the AI development cycle, institutions not only stay compliant but also build trust, resilience, and leadership in their sector.

Intelygenz’s custom AI-driven solution

At Intelygenz, we partnered with CXC — Latin America’s leading private credit platform — to accelerate compliance checks and meet growing loan processing demands. We developed a custom AI-driven solution using Large Language Models (LLMs) to automate document classification, extract key data, and streamline compliance reviews.

AI for stronger, smarter compliance

AI is turning compliance from a burden into a competitive advantage. By automating routine tasks, improving accuracy, and delivering real-time insights, banks can stay ahead of regulation while building trust, resilience, and long-term growth. Find out more about how Intelygenz’s Compliance Solution is helping banks solve their compliance pain points and discover what it can do to transform your business.