10 major banks set to close in same state as customers need to make arrangements to access their money

ANOTHER spate of bank branches is set to shutter in one state as depositors have increasingly adopted a more digital model.

California will endure 10 branch closures in September after the state already watched 16 branches close in August.

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Bank of America, Wells Fargo, Citibank, JP Morgan, and Flagstar Bank are all closing branch locations throughout the state.

Bank of America will close branches in San Marcos, Anaheim, and Los Angeles.

Citibank will also shutter three locations - branches in Tujunga, Big Bear Lake, and Capitola are set to close.

Wells Fargo will shut down branches in Redondo Beach and Santa Rosa.

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JP Morgan is shuttering one location in Chula Vista, while Flagstar Bank will close a San Francisco branch.

BRANCH CLOSURE, GALORE

Hundreds of bank branches have closed throughout the US this year as depositors continue popularizing online banking.

More than 1,100 bank branches have shuttered this year, according to Crowdfund Insider.

Banks have foregone real estate for digital apps, leading to a tech revolution in the industry.

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Several large banks are leaning into the trend.

PNC Bank has closed several locations this year as executives announced plans to automate 60 percent of its branches by 2026.

Bank executives said the rate of branch closures may slow, as banks will continue to rely on in-person locations for branding and customer trust.

"The branches play a critical role," Aron Levine, president of Preferred Banking at Bank of America, told the San Francisco Business Times.

Levine said the multichannel options even help younger, increasingly digital-oriented generations.

"Our own research tells us that students say, 'I may never go to a financial center, but I will choose a bank knowing they have one near.'"

DIFFERENTIATING CLOSURES AND FAILURES

Like the 10 California branches set to close, a bank closure is a planned shutdown of a branch operations, often for strategic or regulatory purposes.

A bank failure occurs when a bank becomes financially insolvent and cannot fulfill its obligations.

The banking industry endured a series of shocks in the first part of the year, leaving depositors weary.

Three banks - First Republic, Silicon Valley Bank, and Signature Bank - failed in March and May.

The three mid-size bank failures shook the financial market, making depositors skittish on the future of banking.

In all three cases, the Federal Deposit Insurance Corporation took over as the receiver and insured all deposits.

The FDIC insures deposits up to $250,000 during a bank failure - the policy shift to guarantee all deposits, regardless of size, may have tempered the weariness.

Since May, only one bank has failed - the small Kansas-based Heartland Tri-State Bank.

Heartland closed due to an unrelated scam.

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The U.S. Sun reports on other branch closures - Santander shut down a series of locations this year.

Also, another state is shuttering several branches this month.