Generative AI in Lending Industry Report: Market Size, Players & Future Trends

TL;DR:

This market report provides a comprehensive analysis of the global generative AI in lending sector, which is projected to grow from $3.86 billion in 2025 to nearly $9.7 billion by 2030. The industry is primarily fueled by a surge in digital financial transactions and the need for automated, personalized credit services. Key applications highlighted include risk assessment, fraud prevention, and credit scoring, utilized extensively by banks and fintech firms. North America remains the dominant regional market, while leading players like Upstart and Experian drive innovation through advanced AI companions. The document further outlines how cloud-based deployment and evolving trade regulations will shape the strategic landscape for lenders through 2035.

Market Size and Growth Forecasts

The market for generative AI in lending is experiencing rapid expansion, characterized by high compound annual growth rates (CAGR).

• 2025 Market Size: Evaluated at $3.86 billion.

• 2026 Market Forecast: Expected to reach $4.65 billion, representing a CAGR of 20.6% from 2025.

• 2030 Market Forecast: Projected to grow to $9.68 billion.

• 2025–2030 CAGR: Estimated at 20.1%.

• 2035 Revenue Forecast: One source also attributes the $9.68 billion valuation to the 2035 horizon, with a consistent CAGR of 20.6% from 2026.

Market Drivers and Historical Growth

The market’s growth is propelled by both historical factors and emerging financial behaviors.

• Increasing Financial Transactions: This is the primary driver for market expansion. For example, in 2023, the UK saw 24.5 billion debit card payments, which accounted for half of all UK payments that year.

• Historical Factors: Growth in recent years is attributed to the digitization of lending processes, the rise of fintech platforms, demand for faster credit approvals, and the availability of alternative borrower data.

• Forecast Drivers: Growth through 2030 will likely be driven by rising focus on financial inclusion, expansion of cloud-based infrastructure, and increasing regulatory oversight of automated systems.

Market Segmentation

The market is categorized by how the technology is deployed, what it is used for, and who uses it.

• Deployment Mode:

→ Cloud: Includes Public, Private, and Hybrid Cloud.

→ On-Premises: Segmented by Small and Medium Enterprises (SMEs) and Large Enterprises.

• Application: Credit Scoring, Loan Origination, Risk Assessment, Fraud Detection, Customer Service, and other applications.

• End-User: Banks, Credit Unions, Fintech Companies, and other end-users.
Regional Outlook

• Leading Region: North America was the largest region in the market in 2025.

• Geographic Scope: The report covers Asia-Pacific, South East Asia, Western Europe, Eastern Europe, North America, South America, Middle East, and Africa.

• Key Countries: Analyzed nations include the USA, Canada, UK, Germany, France, Italy, Spain, Russia, China, India, Japan, South Korea, Australia, Brazil, Indonesia, and Taiwan.

Competitive Landscape and Innovation

Major players focus on natural language tools and strategic acquisitions to enhance lending efficiency.

• Key Companies: Major players include Upstart Network Inc, Fair Isaac Corporation (FICO), Experian plc, Equifax Inc, Zest AI Inc, Scienaptic AI Inc, Provenir Inc, and C3.ai Inc, among others.

• Significant Innovations: In February 2024, Zest AI launched LuLu, a generative AI “lending intelligence companion” that allows users to access performance metrics and insights using natural language.

• Mergers and Acquisitions: In July 2025, BECU (Boeing Employees’ Credit Union) acquired EarnUp Inc., a fintech specializing in AI-enabled digital lending and automated repayment, for an undisclosed amount.

Citation

This summary is based on the Global Generative Artificial Intelligence (AI) in Lending Market Report, published by The Business Research Company. The report analyzes the global generative AI in lending market, covering market size and growth projections from 2025 to 2030, key applications such as credit scoring, fraud detection, and risk assessment, regional performance trends, and competitive developments among banks and fintech lenders. © The Business Research Company. All rights reserved. Source: Global Generative Artificial Intelligence (AI) in Lending Market Report