Massive California Banks Are Now Closing According To New Reports

November 3, 2023

Updated on January 15, 2025

Massive California banks are now closing according to new reports, including several Wells Fargo branches and one BMO branch.

This week, 5 big bank branches are closing in California, a trend that is only expected to grow in the years to come.

Why are we seeing traditional branches across America collapse?

The rise of online banking has greatly impacted traditional banks, causing the entire industry to pivot and adapt to the ever growing digital world.

The following bank branches are expected to shutter in California soon:

Wells Fargo. 303 2nd St, San Francisco
Wells Fargo. Hores Parkway, Redwood City
Wells Fargo. 305 W. Sepulveda Blvd, Torrance
Wells Fargo. 7950 West Sunset Blvd, Los Angeles
BMO Bank. 6055 East Washington Blvd, City of Commerce

“All over California, 277 bank branches have closed so far this year, second only this century to 2020, when 325 branches closed.

Branch openings are a much rarer occurrence: Only eight have occurred statewide this year,” reports Governing.

A recent report states that Wells Fargo plans to lay off approximately 525 of its employees based in Columbia, South Carolina, and close the bank’s corporate office there by June 30, 2024.

“Wells Fargo leaders are working to provide up-to-date facilities with modern workspaces and technology to create a more collaborative work environment that is a better employee experience,” Wells Fargo wrote in a notice.

“At the same time, we need to concentrate Wells Fargo real estate investments in fewer locations or reduce space in existing real estate,” the bank said.

Bank of Montreal (BMO) is cutting 228 jobs in California’s Bay Area next month, as the Canadian lender continues to shed positions following its February acquisition of San Francisco-based Bank of the West.

Also Read: Florida Now Has Massive Departures As Residents Leave State

Other Banking News Today

A massive US bank now lays off 2,000 employees in efforts to cut back on costs after announcements were initially made in September.

Charles Schwab has laid off about 5% to 6% of its employees, amounting to roughly 2,000 people, as it looks to cut costs, per numerous reports.

A Schwab spokesperson said these “were hard but necessary steps to ensure Schwab remains highly competitive, with industry-leading levels of efficiency, well into the future.”

The company only released a percentage of how many people were laid off and didn’t give a precise number, but Schwab’s headcount was 35,900 as of September 30, according to a corporate fact sheet.

“They are decisions that impact very talented people personally, and we take that very seriously,” a spokesperson said.

“We worked diligently to ensure affected employees were treated with care and respect throughout this difficult process.”

The cost-cutting measures were first announced in the summer, with the brokerage looking to cut $500 million in costs as it faces investor pressure, reports CNN.

Part of the changes includes evaluating its “real estate footprint, streamlining our operating model, and staffing reductions, largely in non-client-facing areas,” a Schwab spokesperson said.

Like other banks, Schwab endured turbulence earlier this year when its bottom line was given a hard look by investors after the collapse of Silicon Valley Bank.

Citigroup also confirmed during the second quarter that new layoffs (1,600 in the second quarter) will push the total job cuts to 5,000 this year.

Wells Fargo also said that it could see its headcount decline further as it aims to improve efficiency, per Chief Financial Officer Mike Santomassimo.

Charles Schwab stock is currently down more than -35% this year-to-date.

Also Read: More US Banks Are Now Freezing and Closing Accounts

Market News Published Daily 📰

Don’t forget to opt-in for push notifications so you don’t miss a single article!

Also, thank you to all of our blog sponsors. This year we’ve been able to increase push notifications slots making it more convenient than ever for new readers to receive their daily market news and updates.

You can also follow me on Twitter, Instagram, Facebook, or LinkedIn for daily news and updates on your favorite stories.

More Market News 📰

Become a Sponsor for only $1/mo.

Gain access to EXCLUSIVE FrankNez articles you won’t find here.
Become part of a private and safe Discord community, just for retail investors.
Get drawn at the end of the year for holiday giveaways.

Become a Sponsor Today!