Black Box Breakdown

AI is transforming consumer lending, promising faster credit decisions and greater access. But the reality is more complicated. Many AI-based scoring systems rely on alternative data — utility payments, online behavior, even social media activity — to predict creditworthiness.

AI chatbots have become a daily fixture, from customer support and virtual assistants to AI companions. But behind their smooth conversations lies a complex system that even their creators sometimes struggle to fully explain. This opacity is what many refer to as the “black box” problem in AI: we see the inputs and outputs, but not always the logic in between.

Artificial intelligence tools are reshaping how companies hire — but not always for the better. Across industries, AI-driven systems promise to make recruitment more efficient, objective, and scalable. Yet recent research highlights that these technologies often replicate or even amplify bias rather than eliminate it.