Last Updated on September 16, 2024 by The HD Post Staff

CALIFORNIA – Self Financial published a new report predicting California bank branches would become extinct by 2037.

“California has seen the highest level of bank closures of any state, with 1,114 branches now closed in the last ten years, followed by Florida (1,091 closures) and Illinois (858 closures),” says the report. 

Since 2018, there has been an average of 1,646 branches closing each year in the U.S.

The researchers go on to say that if current trends continue, physical bank branches could be extinct in the U.S. by 2041.

58.8% surveyed said there’s greater security in physical bank branches

Self Financial researchers conducted a survey on Americans’ views on banking.

When asked among the three options – physical branch banking, online banking and app-based banking, do you have the most trust in, 39% stated they had most trust in banks with physical branches.

“However, 36.1% claimed they had the most trust in online or website banking, and 24.9% in app-based banking,” says the report.

The researchers found that for those who thought physical banking was more trustworthy, reasons given include greater security (58.5%), access to in-person advice (52.1%) and better access for those unsure when using technology (48.1%).

Banking in the future

The report concludes with changes people may see in the future that includes more AI usage and a push towards more in-depth human interactions with customer consultations.

In addition, the researchers found that ATMs will likely have biometric features and it’s expected that banks will invest in better apps.

Digital currencies will likely gain wider acceptance and are expected to become a part of banking in the future.

To read the full report visit https://www.self.inc/info/closing-bank-branches-us-report/

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