Chase closes 7 branches in one week, impacting local customers

Chase has recently closed seven branches within a single week, significantly affecting local customers who now have to travel greater distances for essential banking services. This move is part of a broader trend among major US banks, including Wells Fargo and Capitol, which have also shut down multiple locations between September 8 and 14. The closures have been most pronounced in Ohio, where four banks were affected, while other states like Wisconsin and New York also experienced branch shutdowns. The shift towards online banking is a key factor driving these closures, as many customers now prefer the convenience of digital services over traditional in-branch banking. A survey indicated that nearly 70% of customers aged 25 to 34 favor online banking, a trend that is also gaining traction among older demographics. Financial experts suggest that banks are adapting to this change by reducing their physical presence and focusing on enhancing their online offerings. The financial implications of maintaining brick-and-mortar branches are significant, with the average cost of running a standalone bank branch estimated at $2.6 million annually. As banks seek to cut costs and streamline operations, they are increasingly consolidating locations and investing in online platforms that cater to evolving customer preferences. In light of these developments, banks are encouraging customers to utilize online support services to ease the transition from in-person banking. This shift not only reflects changing consumer habits but also highlights the ongoing evolution of the banking industry in response to technological advancements and customer demands.