Artificial Intelligence (AI) is playing an increasingly important role in transforming the banking sector. AI is being leveraged in the banking industry to enable robotic process automation, enhance customer experience, offer faster response times, and digitize banking services. One of the most prominent applications of AI in the banking sector is chatbots. Chatbots are software platforms that offer virtual assistance to customers. The banking chatbots can either take the form of text-based or voice-based virtual assistants. The adoption of digital banking services in India has prompted several banks to invest in AI-powered chatbots systems. This paper focuses on SBI’s SIA/Ask Sia, HDFC’s EVA, ICICI’s iPal, Axis’s AHA and Kotak Mahindra’s Keya chatbots. The paper utilizes a qualitative secondary research approach to examine the features, application, benefits and limitations of the five chatbots. Five chatbots have been reviewed individually in terms of their key features, functions, and effectiveness. The paper also explores how AI-powered chatbots can help in enhancing customer convenience, access to information, speed, customer satisfaction and trust. The paper reveals that AI chatbots have evolved from simple Q&A to providing product information, account related queries, service requests, card payment services, loan-related information and select transaction banking services. The paper also reveals that features such as voice, multilingual and app-integrated support are increasingly being adopted by the five chatbots. The paper concludes by noting that while AI chatbots can transform banking services, the success of their implementation depends on their trustworthiness, accuracy, security, and learning capabilities.
Sharma, M. & Kaushik, M. (2026). AI Chatbots in Indian Banking: How Artificial Intelligence Helps Banks and Customers. Exploresearch, 03(03), 80–89. https://doi.org/10.62823/exre/03.03.258