In 2025, Wells Fargo has announced plans to close more than 60 bank branches across multiple states, raising concerns among customers about access to in-person banking and the safety of their funds. The closures are part of a broader cost optimization and digital shift strategy, but bank officials emphasize that deposits remain federally insured and accessible via ATMs and digital services.
Branch Reduction: Scope and Locations
Wells Fargo’s branch closures in 2025 include confirmed shutdowns and filings indicating additional planned exits. According to Newsweek, more than 320 U.S. bank branches are slated for closure in the first quarter, with Wells Fargo cited for 49 among those.
In Wisconsin, the bank is closing its East Wisconsin Avenue branch in Milwaukee on June 11, 2025, with customers redirected to a Shorewood branch about four miles away.
In Idaho, local media reported that Wells Fargo had already shuttered 20 branches in 2025 with plans to close 32 more, including notices to close locations in Boise.
Some reports suggest that the total number of branch closures may exceed 60 nationwide by year’s end, affecting states like California, Texas, and Florida.
Wells Fargo states that closures are being driven by declining foot traffic, shifts to digital banking, and efforts to optimize its physical network.
Why the Closures Are Happening
Declining branch usage and shift to digital
Banks across the U.S. have been consolidating branches as customers increasingly use mobile and online banking. Kiplinger notes that institutions including Wells Fargo and Bank of America are closing branches due to dwindling in-person transactions.
Wells Fargo itself has announced plans to modernize all 4,349 branches, revamping branch layouts and replacing teller lines with collaborative spaces, even as it closes some locations.
Cost control and network rationalization
Bank executives argue that maintaining underutilized branches is financially unsustainable. As real estate, staffing, and operational costs rise, closures of low-traffic locations help redirect resources to digital platforms and core branch hubs.
Moreover, regulators have recently lifted some constraints on the bank. In 2025, the U.S. Office of the Comptroller of the Currency (OCC) terminated a 2015 enforcement consent order against Wells Fargo, a step forward in regulatory cleanup. The Federal Reserve also lifted restrictions related to earlier scandals, which may give Wells Fargo more flexibility in handling its branch footprint.
Risks, Reassurances & What Affected Customers Should Know
Is my money safe?
Yes — customer deposits at Wells Fargo remain covered by the Federal Deposit Insurance Corporation (FDIC) up to standard limits. Branch closures do not affect the safety of insured deposits.
Wells Fargo has repeatedly assured customers that its digital and ATM services remain available, and that affected customers will be redirected to nearby branches.
Service disruption and access difficulties
Some customers, especially older individuals and those in underserved regions, may find the closures disruptive. Travel distances to alternate branches may increase, and some in-person services (e.g., notarization, cash handling) cannot be fully replicated online.
To mitigate this, Wells Fargo says it plans to “evolve its branch presence based on usage, traffic patterns, and retail landscapes” while investing in digital improvements.
What the bank is doing
Wells Fargo is refurbishing branches, upgrading interiors, and redesigning customer experience zones to be more collaborative. It also aims to centralize operations and shift routine tasks online to reduce the dependence on physical locations.
Regulators’ recent lifting of enforcement actions may give Wells Fargo more flexibility in closing branches and reallocating capital.
What This Means for the Banking Industry
Wells Fargo’s closures mirror a broader trend: nationwide, banks are reducing their brick-and-mortar footprint. According to the OCC and banks’ filings, 32 branches from various banks closed in a single week in 2025.
This erosion of the physical network raises concerns about banking deserts — communities where physical banking access becomes rare. Rural and low-income areas may be disproportionately affected if alternative solutions fail to match local needs.
Digital adoption is a double-edged sword: it allows scale and cost-efficiency, but it also risks leaving behind those who rely on physical services. How banks balance this transition will be closely watched in the coming years.
FAQs
A: Yes. More than 60 branches are expected to shut down across the U.S. due to optimizations, according to reported filings and news sources.
A: Yes. Deposits are insured by the FDIC up to applicable limits. Branch closures do not jeopardize insured customer funds.
A: Closures stem from declining branch usage, rising costs, and a strategic shift toward digital banking, along with efforts to modernize and streamline their branch network.
