The news: Branch closures are back, but not all banks are reducing their footprints. The industry is splitting into banks in retreat and banks that are filling the void others have left behind.

Banks opened 313 branches in Q3 but closed 446, according to a National Community Reinvestment Coalition (NCRC) analysis—a net loss of 133 locations.

Why it matters: The net number hides a strategic divergence. JPMorganChase opened 266 branches and only closed 99 between Q3 2025 and Q3 2026, a net gain of 167 locations, per NCRC data. Meanwhile, Wells Fargo, Bank of America, TD Bank, and Citizens Bank all closed considerably more branches than they opened. 

Branch expansion is also more targeted to where banks see the most growth potential. The Southeast gained 166 branches since Q3 2025 while the Northeast and parts of the Midwest posted significant losses, per the NCRC. 

Implications for banks: A branch network can be a differentiator against digital-first competitors and retreating incumbents, but only if it does something an app can’t. Branch proximity is the most important factor in how consumers choose where to bank, per our survey data.

Banks must prove their branches deliver experiences customers can’t easily replicate digitally—and that those relationships translate into greater loyalty, deposits, and broader product adoption.

Chase’s buildout is the industry’s test case: If its new branches pull in deposits and deepen relationships, rivals that closed locations will be back in those markets trying to catch up.

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