Major US banks closed a total of 1,043 branches over the course of last year, leaving communities with dwindling local services.
The bloodbath of closures is also set to accelerate in 2025, resulting in a further 4.11 percent decrease by the end of the year, a new study from Root revealed.
Bank of America closed the most locations of any bank in 2024, filing notice to close 168 of its branches.
It was followed closely by US Bank, which also filed paperwork to shut 156 of its own locations.
The other major institutions that made up the top five for closures were Wells Fargo which closed 126 in the same period; Chase, which shut 103 and PNC, 76.
The closures are registered with the Office of the Comptroller of the Currency (OCC), and represent planned closures. This means they are likely to close but is not a final confirmation.
The worst hit state last year was California which saw 127 local branches from different banks wiped out.
The Golden State was followed by New York which lost 74 branches in the same twelve months, next to Texas, which lost 68.
Loss of local branches is a struggle for some older clients who do not use mobile banking
The closures come despite the fact that 45 percent of Americans still prefer to carry out their banking needs in person, a new survey carried out by GoBankingRates found.
‘The shift towards online banking is growing more intense in 2025,’ GoBankingRates lead data content researcher Andrew Murray told DailyMail.com.
‘Despite the trend towards online banking, our survey data shows more than half of Americans are concerned about the rising number of physical branches that have shut down in the past few years,’ Murray explained.
‘Meanwhile, a whopping 76 percent says that the current banking system needs small or major changes.’
Further to this more than half of respondents said they were concerned about the rising number of physical bank branch closures over the last few years.
Meanwhile, new research recently revealed that the last physical bank branch could close in the US in 2041.
Experts from Self Financial reached the number by studying the rate of net closures across the country, which has averaged 1,646 each year since 2018.
Despite the majority of Americans now opting to do the majority of their banking online, customers still prefer to use physical branches for particular services.
Major US banks closed a total of 1,043 branches over the course of last year, leaving communities with dwindling local services
Chase closed 103 in 2024, placing it in the top 5 of banks that closed the most branches
It is also a struggle for some older clients to operate services such as mobile banking.
Nearly two-thirds of Americans still use a physical branch to make cash deposits, while over half use them to speak to an in-person adviser, the report found.
‘Client’s banking preferences and behaviors are changing, including a rapid migration toward digital and mobile banking platforms, and a desire for greater simplicity,’ a spokesperson for US Bank told DailyMail.com.
‘As we evolve along with our clients, we are reevaluating our physical footprint, and in some instances, consolidating branch locations in select markets.
‘Although we are closing some branches, we continue to open and enhance others, as well as rapidly enhancing our digital capabilities.’
Wells Fargo echoed similar sentiments in a statement to DailyMail.com.
‘Branches continue to play an important role in the way we serve our customers in combination with our mobile app, online website, and ATMs,’ a spokesperson for the bank said.
‘As we optimize our branch network, we are focused on evolving our branch presence based on customer usage and the changing traffic patterns and retail landscape to best meet the banking needs of each community we serve.’
Chase reiterated that as well as its closures the bank opened 152 new branches last year, more than any other bank.
The openings ‘highlight our commitment to expanding our presence and accessibility,’ a spokesperson for Chase said in a statement.
‘Some locations were strategically consolidated to better serve our communities.
‘We continue to focus on growth, with plans to build 500 new branches by 2027, ensuring service in all 48 contiguous states and tailoring our offerings to meet community needs.’