Intuit going full sandbox

The new CEO of Intuit says the rise of artificial intelligence will be as big of a challenge as the company's shift to cloud computing

But Goodarzi says that even that potentially huge shakeup to its business model is secondary to the broader implications of applying artificial intelligence to the world of personal and business finance, where livelihoods literally hang in the balance.Goodarzi says that there's a lot of societal upside here: Already, Intuit is using AI to vet applicants for small-business loans. Applicants who would have been rejected by more established lenders are now getting approved thanks to the technology, he says. And the borrower default rate is lower.But there are lots of potential hazards and pitfalls, too.

The bold face is mine, it is the new loan strategy. Find and prequal risk adjusted borrowers. Then AI works with cash in advance.  We will see this strategy followed time and again to the chagrin of regular banks. They have to learn the game, tailor your margin lending product to the risk level of the borrowers, and maintain that risk level with congestion fees on entry and payoff on exit as needed.