Bank tellers have started to become a thing of the past. Years ago, cash machines began the process of replacing them. Online banking made face-to-face transactions at the bank even less frequent. Shortly after, people could bank from their phones. As a result of all this, banks have begun closing branches, and the American bank closing the most branches is Wells Fargo.

Today, some branches have huge teller machines where human tellers once worked. These can take deposits, which include huge ones from businesses.

Even transactions that once required lengthy interactions with clerks and advisors at a financial institution are being moved online. The mortgage business, for one, has been revolutionized. Some mortgage operations like Rocket Companies allow consumers to go through the entire mortgage process online.

Finally, cash is almost a thing of the past. The day when humans collected paper money and coins has come and gone.

Bank branches have several disadvantages for banks. Some are in rented locations, often located in expensive areas. These must be cleaned, heated, and cooled. The most expensive part of these physical locations is the cost of people. The largest banks employ tens of thousands of workers to perform banking services.

The largest banks have thousands of locations. Wells Fargo, for example, had 4,894 at the end of 2021. Bank of America had 4,084 locations. JPMorgan Chase had 4,842. (Some of these banks are also among the world’s biggest asset management firms.)

But according to a recent Bloomberg headline, “Banks Set Record for U.S. Branch Closures As Pandemic Took Toll.” 

The Bloomberg story was based on an S&P Global Market Intelligence study titled “US bank branch closures increase 38% to new record high in 2021.” S&P Global Market ranked banks by net branch openings and closings in 2021. Active branch data was based on the FDIC’s summary of deposits filings. 24/7 Wall St. reviewed the study to find the American bank closing the most branches.

The primary conclusion of the research was: “On net, accounting for openings and closings, U.S. banks shuttered 2,927 branches, according to S&P Global Market Intelligence data. That included more than 1,000 branch openings and nearly 4,000 branch closings.”

Low interest rates made it harder for banks to make money, and the COVID-19 pandemic sharply curtailed customer visits.

Wells Fargo shut down the most branches with a net total closings of 267 locations. The much smaller U.S. Bancorp had 257 net closures. Every large bank in America had a net drop in branch locations. (Find out if Wells Fargo is the American company with the worst reputation.)

Among the listed U.S. banks that closed and opened branches in 2021, only three had net opening, while 24 closed more branches than they opened. Several of the banks that reduced the number of their branches expanded footprints in some markets. The S&P Global Market report points out: “JPMorgan Chase & Co. opened the most branches in 2021 with 169 new locations, significantly outpacing the 53 openings for the No. 2 bank, Bank of America Corp.”

Bank branches may be dying, but they are not entirely gone yet.

Click here to see this American bank is closing the most branches

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