While major financial institutions have leveraged RPA and AI-driven intelligent automation since they were introduced, smaller community banks and credit unions have not always been able to commit resources to these technologies. But a new report from lending technology provider MeridianLink indicates they are increasingly interested in fraud detection, workflow automation and document processing as they evaluate investments in artificial intelligence.
The company’s 2026 AI Priorities Benchmark Report found that 66 percent of respondents identified fraud detection as a top AI investment priority, followed by workflow and queue management (56 percent) and document collection and review (50 percent). Nearly half (46 percent) prioritized accelerating workflows and reducing manual tasks.
Despite interest in the technology, however, implementation remains limited. While 57 percent of respondents said their institutions have provided employees with AI tools and incorporated AI into strategic planning, only 20 percent reported advanced adoption involving core lending workflows.
Additionally, 21 percent reported using AI for underwriting or risk review, while 19 percent said AI was automating lending tasks.
“Community financial institutions need intelligence that solves real problems for their teams and their customers by reducing risk, eliminating manual work and improving operational efficiency,” said MeridianLink CEO Larry Katz.
The survey also revealed differences between executives and front-line employees. While 57 percent of executives prioritized document collection, just 28 percent of lending and underwriting professionals agreed. Conversely, fraud detection was a priority for 63 percent of front-line professionals compared with 46 percent of executives.
The report is based on an April 2026 survey of 257 lending professionals at community banks and credit unions.