How and how not to use AI to help with your finances

Have you considered using artificial intelligence (AI) to create a budget or get advice about your finances?

In a recent Instagram Reel, motivational speaker, podcaster, and author Mel Robbins encouraged women to use generative AI tools (particularly Microsoft’s Copilot, which she collaborated with in the caption) to better manage their money.

While using AI to help with your finances isn’t always a bad idea, there are some important things that finance and AI experts want you to be aware of in advance.

Is the AI ​​advice correct?

The Australian government’s MoneySmart website states: “AI tools can produce inaccurate or biased information.”

It warns against relying solely on AI tools such as Copilot, ChatGPT, Claude and Gemini, especially when investing.

Antoine Didisheim, a lecturer in the Department of Finance at the University of Melbourne, has researched large language model systems (LLM), such as those used in most modern AI assistants.

Dr. Didisheim says “hallucination” is…