US banks close 79 branches in just over a month (2024)

FAQs

US banks close 79 branches in just over a month? ›

US banks closed 79 branches in just six weeks – as the industry increasingly offers services online. The figures suggest the axing of costly bricks-and-mortar locations will continue, with total closures so far for 2024 above 400.

There is 1 bank failure in 2024. See detailed descriptions below. For more bank failure information on a specific year, select a date from the drop down menu to the right or select a month within the graph.

Such measures brought branch traffic to a standstill and drove increased adoption of digital products and services. Taking into account openings and closings, U.S. banks shuttered a net 2,928 branches in 2021 , the most on record, according to S&P Global.

High interest rates have begun cutting into bank profits, which could mean still more Americans may see their nearest bank branch close its doors.

The bank is adjusting to the reduced demand for in-person services, which has led to the closure of some branches and the opening of others. The aim is to reduce the number of low-traffic offices. Unfortunately, this means that clients may have to travel longer distances to reach their nearest branch.

The news: Last Friday, Pennsylvania financial regulators seized and shut down Philadelphia-based Republic First Bank in the first FDIC-insured bank failure of 2024.

Consulting firm Klaros Group analyzed about 4,000 U.S. banks and found 282 banks face the dual threat of commercial real estate loans and potential losses tied to higher interest rates. The majority of those banks are smaller lenders with less than $10 billion in assets.

If you have a bank account with Chase, your favorite branch may close in 2024. Throughout the year, Chase plans to close at least 23 branches across various states, with some closures possibly already in effect. At the same time, Chase plans to open 400 branches in 25 new states.

Bank of America will close over 100 branches by the end of 2023. See the complete list to see if you are impacted. Bank of America is the second largest bank in the United States, and this year, the financial giant has announced that it will close up to 138 locations.

Earlier last year Silicon Valley Bank failed March 10, 2023, and then Signature Bank failed two days later, ending the unusual streak of more than 800 days without a bank failure. Before Citizens Bank failed in November 2023, Heartland Tri-State Bank failed July 28, 2023 and First Republic Bank failed May 1, 2023.

Are banks in California closing? ›

All over California, 277 bank branches have closed so far this year, second only this century to 2020, when 325 branches closed.

On July 30, the California Street Bank of America branch will join the many branches that have already closed in the Bay Area this year. Don't expect the San Francisco-area closures to slow down anytime soon: By the end of 2024, the region will have seen more than two dozen Bank of America branches close.

Bank of America's Financial Health

In recent years, Bank of America's financial performance has been relatively stable. In 2022, the bank reported a net income of $20.4 billion, a decrease from the previous year's $27.4 billion. However, its revenue increased from $91.2 billion in 2021 to $95.2 billion in 2022.

The 2007–2008 financial crisis led to many bank failures in the United States. The Federal Deposit Insurance Corporation (FDIC) closed 465 failed banks from 2008 to 2012. In contrast, in the five years prior to 2008, only 10 banks failed.

The Financial Brand analyzed the number of FDIC-insured banks and bank branches in the U.S. since 1935. The trends paint an alarming picture for the future of banking. In the next 20 years, half the banks around today will be gone, leaving fewer than 2,000 banks in the US by the year 2042.