OpenAI recently introduced new personal finance features for ChatGPT. These tools allow some users to connect their bank accounts directly to the chatbot, which allows them to obtain tailored guidance on budgeting and expenditures. However, privacy experts are advising users to be careful before using these features.
There is now an important question arising from the introduction of this feature. Would you let ChatGPT look through your bank and credit card transactions? That question is becoming more relevant as these tools roll out.
The release highlights an increasing tension regarding AI financial assistants. Many consumers love the idea of personalized money guidance. Yet, many are still not comfortable sharing their sensitive financial details with AI systems.
What the new finance tools of ChatGPT can do
The latest personal finance experience is presently available in preview. It is available to ChatGPT Pro subscribers in the US for now. ChatGPT Pro costs $100 per month. OpenAI says it plans to expand the feature later to Plus users. Plus, subscriptions cost $20 per month.
OpenAI says users can connect accounts from more than 12,000 financial institutions. The company uses Plaid, a financial data network. Many budgeting apps and fintech companies already use Plaid for account connections.
Once a user connects it, ChatGPT can provide an analysis of their spending habits and even traveling expenses. It can also review subscriptions and assist users in planning their financial goals. The tool can answer investment risk questions using transaction details and chat prompts.
The firm says all account connections are maintained as read-only. This means ChatGPT cannot transfer money or execute transactions. It also cannot make trades on behalf of a user. OpenAI notes that users can disconnect their accounts any time they want. Users can also delete saved conversation history or memories.
OpenAI tagged the feature as a personalized financial planning tool. The company says it is not a replacement for professional financial advice. The feature uses the improved reasoning capabilities of GPT-5.5 to handle complex financial questions. More than 200 million people already ask ChatGPT for financial advice each month.
Why privacy experts are urging caution
Privacy experts say consumers should think carefully before sharing financial information. This advice applies even when account connections use established infrastructure like Plaid. Jennifer King, a privacy expert at Stanford, warned that anything put into a large language model could potentially become public.
Experts draw a clear line between using AI as a planning tool and using it as a data repository. The concerns are not new, Italy previously banned ChatGPT over privacy issues, highlighting the regulatory scrutiny facing the platform.
Asking ChatGPT for help building a budget carries different risks than uploading tax returns or Social Security numbers. Harsh Varshney, an AI security expert at Google, recently warned users about sharing sensitive information. He compared such conversations to a public postcard.
OpenAI says users can disconnect accounts and delete conversations. However, privacy specialists argue that people do not pay attention to what goes on with these settings. The users are likely to be unaware of what happens to their data once it is in the AI system. Also, privacy control can only work if the users are diligent and consistent about it. OpenAI retains synced data for 30 days after disconnection before deletion.
OpenAI is yet to clearly disclose the process for handling of financial data beyond the optional model training. Users who opt in to model training allow their spending histories to improve the product. The privacy policy also permits sharing data with authorities if legally required. This means financial transactions could be surfaced to law enforcement through a subpoena to OpenAI.
How linking accounts differs from using budgeting apps
In some ways, linking accounts to ChatGPT resembles other budgeting apps. OpenAI relies on Plaid, the same network that apps like Monarch Money and Rocket Money use. However, privacy experts say the bigger difference may be behavioral rather than technical.
The conventional budgeting applications have been developed specifically for organized financial activities, such as making classifications of purchases, keeping track of subscriptions, or making observations of the amount of savings.
On the contrary, ChatGPT refers to an open conversational tool that may let users disclose more private information than they would do while using a normal budgeting application.
An individual specifying his/her expenses with the AI chat robot may begin talking not only about the transaction history. The chat may also extend to sharing financial anxiety, debt problems, and health-related spending, among other related issues.
Talking about finances in such broad terms may produce a much larger personal profile than one would have had with a classic budgeting application. This makes it harder for consumers to understand how much information they are sharing.
Also, the differences between the conventional applications and AI applications may become more and more vague. Meanwhile, some applications come with AI assistants as built-in tools for analyzing the spending patterns of users. This raises similar privacy concerns as many consumer finance tools tend to increase the use of AI.
For consumers, it is not just about avoiding AI tools, but also about being cautious and selective with the information they disclose. The use of ChatGPT for analyzing spending trends comes with different risks than just uploading some very sensitive financial details. A consumer using ChatGPT for personal finance advice should remain aware of the privacy trade-offs involved.
