Banking & Finance

Banks and States With the Most Branch Closings: The Rise of Mobile Banking

SNL Financial showed that Michigan lost the most of all states, or 28 fewer net branches in the first quarter. Some 19 of those closures were JPMorgan branches, 17 of which were located in the Detroit metro area. Of those 17 branches, 16 were located inside a Meijer store. SNL showed that 25 branches were closed in the Detroit metro area in the first quarter, including four Guaranty Financial (MHC) branches, two PNC branches, one Bank of America branch and one Huntington Bancshares branch.

The 10 states losing the most branches in the first quarter of 2015 alone were as follows:

  • Michigan (-28)
  • California (-26)
  • Washington (-25)
  • Oklahoma (-25)
  • Illinois (-24)
  • Georgia (-23)
  • Pennsylvania (-16)
  • North Carolina (-15)
  • Wisconsin (-12)
  • Kentucky (-12)

ALSO READ: 9 States With the Most Identity Theft Complaints

Only seven states saw net branches added after tallying up the number of openings and closures. Sadly, those net openings were microscopic. Arkansas led the states with a whopping three branch openings. Other details were as follows:

  • States with a net one branch opening in the first quarter were Alaska, Delaware, Maine, New Hampshire, North Dakota and West Virginia.
  • Only three states were flat with the number of net branches in the first quarter: Mississippi, Virginia and Wyoming.

So, what about what this means for bank tellers? Let’s just say that this soon will be one of the biggest dead-end jobs in America — if it isn’t already. Being a bank teller used to be the most common entry level way to get into banking. Now the darker reality is that the job title bank teller may simply not exist much longer. If banks are not closing their branches, they are decreasing the full-service activities.

24/7 Wall St. wanted to see what this means for the economy, and it is not good. The Bureau of Labor Statistics (BLS), in its occupational outlook handbook, showed that the number of tellers in 2012 was some 545,300, with a median pay of $24,940 per year (or $11.99 per hour).

The BLS further said that tellers are responsible for accurately processing routine transactions at a bank. These transactions include cashing checks, depositing money and collecting loan payments. About one in three worked part time in 2012. All of those functions are being replaced by technology. Have you tried to go deposit a bank check lately?

We have yet to see any consumers wearing tee-shirts that say “Have you hugged your banker today?” That being said, there will be fewer and fewer net branch locations where consumers can find those shirts in the future.

ALSO READ: E*TRADE Buyout Chatter Looks More Promising

Sponsored: Tips for Investing

A financial advisor can help you understand the advantages and disadvantages of investment properties. Finding a qualified financial advisor doesn’t have to be hard. SmartAsset’s free tool matches you with up to three financial advisors who serve your area, and you can interview your advisor matches at no cost to decide which one is right for you. If you’re ready to find an advisor who can help you achieve your financial goals, get started now.

Investing in real estate can diversify your portfolio. But expanding your horizons may add additional costs. If you’re an investor looking to minimize expenses, consider checking out online brokerages. They often offer low investment fees, helping you maximize your profit.