The Financial Brand, January 29, 2020: 5 reasons to think twice before closing branches
Cold economics shouldn’t be the only basis bank and credit union leaders use to decide which branches to open and which to shutter. Financial metrics ignore an institution’s role in a community, the reassurance a local office gives consumers and the fact that many consumers still like branches in spite of easier digital channels.
“The bank branch is to local economies what the debit card is to your wallet — a key point of contact to the financial system and the way a large part of the population accesses non-predatory financial services,” said Jesse Van Tol, CEO of the National Community Reinvestment Coalition, an association of community development organizations.
“When local branches close, those relationships are lost, resulting in the loss of credit that local businesses need to thrive,” said Jason Richardson, Director of Research and Evaluation at the National Community Reinvestment Coalition.
