Adapting to a rapidly evolving financial services landscape

Customer expectations in financial services are undergoing a seismic shift. Clients now demand seamless, instant, and personalized digital interactions as a baseline, yet meeting these expectations has proven challenging for many financial institutions. Legacy infrastructure, evolving regulatory frameworks, and increased competition create a complex environment in which institutions must balance compliance with exceptional customer experience (CX).

These challenges are amplified in a sector where trust and precision are non-negotiable. Every interaction—whether it’s resolving an account inquiry, processing an insurance claim, or managing portfolio investments—plays a critical role in strengthening client relationships. But traditional technological solutions, such as first-generation chatbots, have often failed to address the nuances and complexities of client needs in the financial services industry, leaving many CX leaders wary of their limitations.

Enter Intelligent Virtual Agents (IVAs), AI-driven tools built to manage complex customer interactions with context, intent, and sophistication. Unlike traditional chatbots, IVAs leverage advanced natural language processing (NLP) and machine learning to engage in human-like conversations, providing data driven personalized support across a range of digital and voice channels. For financial institutions, IVAs represent the next frontier in customer engagement, combining efficiency with emotional intelligence, and meeting the dual demands of operational effectiveness and customer satisfaction.

What are intelligent virtual agents (IVAs)?

IVAs are sophisticated AI-powered software applications designed to interact with customers using conversational, natural language. Unlike basic automated systems that follow rigid decision trees, IVAs adapt to the context and intent of customer inquiries, enabling more complex conversations with seamless, human-like responses.

Key features that set IVAs apart include:

  • Contextual understanding: Recognizes the nuances of customer queries, tailoring responses to each individual scenario.
  • Omnichannel engagement: Engages customers consistently across platforms, including web, mobile apps, SMS, and voice calls, while maintaining the conversation with context if a customer switches from one channel to another.
  • Personalization: Leverages existing customer data for relevant, proactive support.
  • Secure and compliant operations: Integrates with core financial systems while adhering to strict compliance standards like GDPR, PCI-DSS, and FINRA.
  • Continuous learning: Uses machine learning to refine responses and improve performance over time.

For example, a bank’s IVA can securely process account-related inquiries, guide customers through loan applications, and even detect potential fraud within interactions. This technology transforms service delivery by automating routine tasks while keeping every interaction efficient, personalized, and secure.

Innovative use cases across Financial Services

“By 2025, conversational AI in financial services will go beyond chatbots, enabling a shift toward proactive, intelligent automation that enhances both CX and compliance.”

Source: Forrester Predictions 2025.

 

IVAs are redefining the financial services experience across key subverticals:

Banking and Credit Unions

Banks and credit unions are leveraging IVAs to automate routine account inquiries such as checking/savings balances, updating contact information, and reporting lost cards. When it comes to lending, IVAs streamline applications by assisting customers with eligibility checks, submitting required documents, and tracking application status—all while ensuring compliance with necessary regulations. Additionally, IVAs aid in fraud detection by enabling customers to quickly report suspicious activity and immediately block compromised accounts.

Insurance providers

In insurance, IVAs revolutionize the claims process by allowing policyholders to file, track, and receive claim updates in real time.

For instance, during natural disasters, where claims volumes may spike, IVAs scale seamlessly to provide prompt and consistent responses. They also assist policyholders in comparing policy options, clarifying coverage details, and generating quotes, simplifying what can otherwise be a complicated buying process.

Mortgage lenders and servicers

For mortgage lenders, IVAs play a crucial role in simplifying the complex lending process. They guide prospective borrowers through pre-qualification assessments, document submission, and refinancing inquiries. IVAs also proactively update borrowers on loan status, creating a more transparent and stress-free experience.

Wealth management and Investment services

Wealth management firms deploy IVAs to offer portfolio updates, suggest investment opportunities, and answer questions about market trends. These tools also schedule appointments with advisors for in-depth consultations, helping clients make informed decisions about growing their wealth. By combining automation with personalized interactions, firms enhance client engagement without compromising service quality.

Addressing common IVA concerns

One key concern for institutions is how IVA technology will integrate with existing legacy systems without disrupting operations. Modern IVAs are designed for modular upgrades and seamless integration through APIs and off-the-shelf connectors, enabling financial organizations to adopt AI-driven capabilities incrementally.

Compliance is another critical priority. IVAs are built with real-time monitoring, sensitive data anonymization, and audit trail generation, which ensures adherence to stringent regulatory requirements like CCPA, GDPR, and PCI-DSS. By automating compliance checks and reporting, IVAs reduce the workload on human teams while minimizing regulatory and reputational risks.

Why IVAs are a game-changer for Financial Services

IVAs/IVRs in Financial Services

Up to 50% – Blended human-AI teams can handle up to 50% more interactions per hour than human-only teams.

Up to 35% – Financial clients automating voice workflows reported payback in under a year and cost-to-serve reductions up to 35%.

– Deloitte

 

The transformative potential of IVAs lies in their ability to simultaneously resolve key industry pain points and deliver unparalleled customer value.

  • 24/7 availability: IVAs provide instant, round-the-clock support, offering customers the convenience and responsiveness they expect, anytime and anywhere.
  • Operational efficiency: By automating repetitive queries—such as balance inquiries or insurance claim updates—IVAs free up staff to focus on higher-value tasks, reducing operating costs and boosting productivity.
  • Scalability: IVAs handle fluctuations in interaction volumes effortlessly, whether it’s a seasonal surge in loan applications or increased claims during emergencies.
  • Personalized experiences: Leveraging customer data, IVAs tailor recommendations and guide clients through services like choosing investment portfolios or filing claims, creating a seamless, differentiated CX.
  • Trust through compliance: Built-in compliance protocols ensure that interactions meet the highest standards of data protection, securing customer trust.
IVA benefits for financial institutions
30%+
Reduction in contact-center costs		 12%
Faster call resolution
– Forrester

Why financial institutions trust RingCentral IVAs

As a leader in AI-powered cloud communications, RingCentral’s IVA ecosystem solutions are purpose-built to address the unique needs of financial institutions. With advanced NLP and machine learning capabilities, RingCentral IVA solutions enable banks, credit unions, insurers, and wealth management firms to deliver secure, personalized service consistently across digital channels.

Key advantages of RingCentral IVA solutions:

  • Omnichannel support: Engage customers on their preferred platforms, preserving interaction history and context across web, mobile, and voice.
  • Ease of deployment: Get started quickly with prebuilt templates designed for financial services use cases.
  • Seamless integration: RingCentral IVAs integrate effortlessly with CRMs, banking apps, and contact centers, ensuring smooth workflows and data consistency.
  • Partner ecosystem: Collaborations with Omilia, Cognigy, and Yellow.ai bring cutting-edge innovations like sentiment detection and proactive customer support seamlessly into your IVA strategy.
  • Compliance and security: Built on a secure cloud platform with encryption and certification standards including FINRA, PCI-DSS, and GDPR.

Seize the opportunity: Transform Financial Services with IVAs

The future of financial services is built on intelligent, personalized, and secure customer engagement—and IVAs are at the forefront of this transformation. By automating routine interactions, managing compliance, and delivering personalized support, RingCentral’s IVAs empower financial institutions to provide superior service while optimizing operations. Take the next step toward modernization and stand out in an industry where trust, efficiency, and innovation are essential.

Explore RingCentral’s Intelligent Virtual Agents and see how they can transform your financial services operations.

Originally published Jul 17, 2025