Santander Bank plans to close four Connecticut branches, joining several other banks reducing their footprints in the state as the acceleration of digital banking changes consumer preferences.
Santander currently has 21 branches in Connecticut, mostly in Hartford County. The bank filed plans last week with the Office of the Comptroller of the Currency to close three branches in Hartford County and one in New Haven County.
The $89.5 billion-asset Santander has branches in nine eastern U.S. states from New Hampshire to Florida. Massachusetts is also undergoing a branch reduction, as Santander so far this year has announced plans to close 25 branches there. Massachusetts will still have over 170 Santander branches after the closings, more than in any of the other states. New Jersey has the second most Santander branches with about 120, according to FDIC data.
A Santander spokesperson in early April had said about the Massachusetts branch closings that the bank was continuing to evaluate its branch network.
“Like many industries, our customers’ preferences and behaviors are shifting, with more customers choosing to bank with us online,” the spokesperson said. “In response to these changes, we are reducing the number of our branches and increasing our investment in digital capabilities, as well as other products and services that are in line with the evolving needs of our customers.”
The Connecticut branch closings include:
- 85 East Main St., Plainville
- 2 South Main St., Unionville
- 96 Bridge St., East Windsor
- 184 Chase Ave., Waterbury Plaza, Waterbury
Santander is also closing its branch in Westfield, Massachusetts, leaving Western Massachusetts with only one Santander branch in Springfield.
Santander has about $2 billion in deposits in Connecticut based on the FDIC’s annual summary of deposits report from June 30, 2020, representing about a 1.2 percent market share. Bank of America, Bridgeport-based People’s United Bank and Waterbury-based Webster Bank had a combined market share last year of approximately 56 percent of Connecticut’s $162 billion in deposits.
Branch reductions across the banking industry have been driven in part by changing consumer habits and the acceleration of digital banking. Berkshire Bank, KeyBank, TD Bank and Webster Bank are among other institutions closing multiple locations in Connecticut this year. Before announcing its sale to M&T Bank, People’s United Bank had said it would start closing Stop & Shop locations in the coming years.
