Chase is set to shut down more than a dozen branches, adding to the 37 locations already slated for nationwide closure.
This announcement comes just weeks after the central bank revealed plans to close 24 stores by February, marking a decisive move towards embracing new ventures and reshaping its physical presence.
Chase to Shut Down More Branches for Digitalization
The Office of the Comptroller of the Currency (OCC) has officially declared the closure of several Chase bank branches from November 25 to December 2. This news follows Chase's mid-November announcement of its intention to close 24 additional locations.
Affected states where residents will witness the departure of Chase branches include California, Arizona, Louisiana, Idaho, Washington, Ohio, Florida, Texas, Rhode Island, Tennessee, Indiana, Maine, and New York.
Also, Alabama, Minnesota, Georgia, South Carolina, Massachusetts, Pennsylvania, Missouri, Wisconsin, New Jersey, Virginia, and Maryland are listed for branch closures.
The decision to close branches aligns with a growing customer preference for digital banking services. As more individuals choose online platforms and mobile apps for their banking needs, visits to physical, brick-and-mortar branches have significantly declined.
Chase is boosting its online financial services to appeal to younger, internet-savvy customers. Over the last year, the bank has closed several places with too many branches. It is part of their plan to open branches in new areas.
Despite this shift, Chase is actively developing a novel banking experience, indicating a continued commitment to maintaining some in-person branches. It suggests that while digital banking rises, the traditional branch model may still be in Chase's future strategy.
Also Read: PNC, America's Sixth-Largest Bank, Set to close 19 Branches in Early 2024
New Modernized Branches to Open
Meanwhile, Chase has announced plans to inaugurate 15 new branches in various locations with modern updates. This expansion comes even as the bank proceeds with closing some of its existing branches as part of a strategic shift towards new ventures.
Notably, Chase has stated that the number of new branches opening will exceed those closing, signaling a commitment to broadening its physical presence in new areas.
Its aim is not to possess the most significant number of branches, but rather to ensure that the right branches are available in more communities, dedicated to meeting our customers' financial needs," a spokesperson for the bank stated.
In September, a Chase spokesperson told The U.S. Sun, "We have made significant investments in new branches, adding over 650 in the past five years, including our pledge to construct 400 branches in 25 new states."
They added, "Our goal is to ensure that 70 percent of the U.S. population is within a 10-minute drive from our branches, an increase from the current 60 percent. This expansion strategy will lead to more branch openings than closures, resulting in a modestly larger branch network over time."
According to Kiplinger, JPMorgan Chase closed 144 branches in the previous year and opened 133 new locations. This approach reflects a deliberate adjustment in Chase Bank's long-term strategy rather than a sign of instability as the bank adapts to future banking trends and customer needs.
In 2021, the number of bank branch closures in the US reached a record high, with 2,927 locations shutting down, as per the latest figures from S&P Global Market Intelligence. This pattern of closures is anticipated to persist into the future.
Related Article: A Banking Nightmare: Chase Closed Customer's Bank Accounts without Notice
