20% of Americans are already using AI for financial advice — another 70% don’t trust it

A recent Gallup survey, in collaboration with Edward Jones, reveals that 20% of U.S. adults have already utilized artificial intelligence (AI) for financial advice, though this reliance is far from the most trusted source. Only about 30% of all U.S. adults have a high level of confidence in AI's proficiency in managing money, with just 3% expressing a strong confidence in it.

The poll, conducted in the spring, surveyed American adults aged 21 and older, and found a stark contrast between the sources Americans trust for financial advice and the ones they actually use. Eight out of ten U.S. adults have a moderate level of confidence in financial advisers, but only around one-third who sought financial advice relied on a professional financial adviser, while 73% turned to their own internet research.

Experts caution that consumers should exercise caution and not fully trust AI tools. Instead, they suggest using AI as a starting point to learn and then combining this knowledge with other trusted sources. Taha Choukhmane, an MIT Sloan School of Management associate professor, recommends using AI to explain financial concepts, as it can be beneficial for understanding complex terms.

However, he emphasizes the importance of verifying information provided by AI with trusted sources. Younger generations are more likely to rely on AI for financial advice, while older adults prefer professional financial advisers. The survey also found that affordability often deters younger adults from hiring a financial adviser.

While researching online, asking family and friends, and using AI can be cost-effective alternatives, hiring a professional may entail higher costs.