AI · 2h ago
AI in Lending: LLMs Are the Last Step, Not the First
A process that once took 2–3 weeks and produced a 40-page document is being AI-ified, but experts warn against leading with LLMs. In regulated lending, the LLM is the smallest part of the pipeline; the hard parts are data ingestion, extraction, validation, and deterministic calculations. Under OSFI E-21, only a design where code does the math and humans own risk decisions is allowed.
Meridian48 take
The article correctly cautions against over-relying on LLMs for tasks requiring precision, but its focus on a niche regulatory framework limits broader applicability.
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