U.S. Representatives Maxine Waters (D-CA) and Bill Foster (D-IL) urge federal financial regulators to ensure advanced technologies such as artificial intelligence (AI) do not create algorithmic bias for evil communities. served.

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In a letter to heads of federal financial regulatory agencies, lawmakers underscored the need for AI technologies, including machine learning (ML), to be used ethically and to help communities of color. low and moderate income who have been underserved. They also describe the possible risks and benefits of emerging technologies in the financial services and housing industry.

“When you assess the use of AI by the financial institutions you oversee, you should prioritize the principles of transparency, enforceability, confidentiality, fairness and fairness,” Waters and Foster wrote. “This will ensure that AI regulation and rule-making can meaningfully address the governance, risk management and appropriate controls of AI. They will be essential in the face of the challenges of developing, adopting and managing AI. This should be relied on when considering clarifying that financial institutions will need to move forward with AI in a fair and equitable manner. “

The letter was sent to Jerome Powell, president of the Federal Reserve System; Todd Harper, president of the National Credit Union Administration; Rohit Chopra, Director of the Consumer Financial Protection Bureau; Jelena McWilliams, President of the Federal Deposit Insurance Corporation; and Michael Hsu, Acting Currency Comptroller of the Office of the Comptroller of the Currency. All are members of the Federal Financial Institutions Review Board.

“Financial institutions using AI must be encouraged to do more to promote racial and gender equity. Fintechs and other users of these technologies should play their part in building a fairer and more equitable financial system in the 21st century. Historically marginalized communities, including particularly low and moderate income communities of color, have long faced discrimination in financial services and housing space and forced to use substandard products and services. Through their use of new technologies, financial institutions using AI have the potential to play a role in offerings to communities that have been overlooked in the past, ”they added.

Waters is the Chairman of the House Financial Services Committee and Foster is the Chairman of the Artificial Intelligence Working Group.

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