Through Sherpa.ai's privacy-preserving platform, the bank’s predictive algorithms were trained with a combination of Telefonica's and the banks data (demographic, socioeconomic, product use and financial) without sharing it. Sherpa.ai Federated Learning platform allows to train AI models without sharing any data and therefore ensuring compliance with regulation, ESG standards as well as data privacy.
The pilot resulted in impressive improvements in the accuracy of the defaulter's prediction algorithm with potential to have a multi-million impact yearly in each bank financial results.
Improvement in the defaulter's predictive algorithm accuracy
Potential yearly financial impact in some of Spain's largests banks