Bank of America Closing Branches
Bank of America is closing branches all across the country to cut back on expenses. Bank of America is planning on closing 10% of its branches which would equate to around 610 branch closings.
Bank of America says that this move will save money for the bank, but won’t dramatically reduce the customer experience as many account holders do online banking as opposed to making branches visits for deposits. Based on that statement you would expect them to cut out branches that are in close proximity to each other and not phase out certain regions, but who actually knows. They have not stated which branches they have decided to close yet.
Bank of America stock is up $0.25 or 1.91% at the time of this writing so it appears that stock holders agree that this is a move to just cut the fat off of BofA.
Bank of America was one of the larger recipients of government bailout money receiving $45 billion that has yet to be paid back. What do you think of the move? Are they in trouble or just cutting on unnecessary expenses?