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AI Financial Advice: Is Trusting AI With Your Money Safe? Shocking Study Reveals Risks
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CNBC Awaaz•12-10-2026, 15:52
AI Financial Advice: Is Trusting AI With Your Money Safe? Shocking Study Reveals Risks
- •A recent study by British fintech company Saturn revealed that the overall accuracy rate of 17 AI models on financial questions was only 43%.
- •For complex, multi-step financial queries, the rate of incorrect or incomplete AI answers surged up to 88%.
- •Free AI models showed an accuracy of just 37%, while paid models performed slightly better at around 51%.
- •AI often exhibits hallucination by citing non-existent rules with absolute confidence, making errors hard to spot.
- •Experts advise using AI only for general understanding and verifying all tax, loan, or investment data with certified professionals.
Key Questions Answered
The overall accuracy rate for the 17 existing AI models tested in the July 2026 study by Britain's fintech company Saturn was 43%. While easy questions yielded a 54% accuracy rate, incorrect or incomplete answers for difficult, multi-step questions reached up to 88%.
Free AI models demonstrated an accuracy rate of only 37% when answering financial questions, whereas paid AI models performed slightly better with an accuracy rate of around 51%.
Indian investors should use AI only to understand concepts or draft questions for professionals, avoiding sole reliance on it for taxes, loans, or retirement funds. Specific rules and amounts must always be verified through official sources like the Income Tax Department or qualified human advisors.
