Banks grow branch deposits while cutting back on branches

The top five states increasing deposits over the last year from branches within their states amassed more than $277 billion more in deposits, according to the annual survey of branch office deposits (SOD) for all Federal Deposit Insurance Corp. (FDIC)-insured institutions, released by the agency Tuesday.

At the same time, the number of banks either decreased or declined in all but four states, and the number of bank branches decreased in all but two states.

Overall, bank branches within the 50 states and District of Columbia added net deposits of more than $579 billion from June 2016 to June 2017 (the period of the survey covers); all but four states saw their bank branches add deposits.

Additionally, the top five states in deposit growth – South Dakota (18.1% increase in deposits from bank offices within the state), Nevada (13.1%), New York (10.1%), Arizona (8.75%) and Hawaii (8.48%) – saw the number of branches in their states decline by 180 across all five states, according to the FDIC numbers

Only one of those states in the top five (Arizona) added a bank; Hawaii and New York saw no change, and both Nevada and South Dakota lost a bank each.

The FDIC’s SOD provides deposit totals for each of the more than 89,000 domestic offices operated by more than 5,700 FDIC-insured commercial and savings banks, savings associations, and U.S. branches of foreign banks, according to the agency. The SOD includes historical data going back to 1994 that can be analyzed using online reports, tables, and downloads.

At the other end of the deposit-growth spectrum, four states saw deposits in offices within their states contract during the survey period (by a combined total of $102.5 billion): Utah ($96 billion); Massachusetts ($6.3 billion); New Mexico ($124 million); and Wyoming ($114 million).

The SOD results also show that, in most states, banks are contracting their branch operations. According to the results, the only banks adding branches were in Nebraska (which added six) and Oklahoma (which added two). Alaska – with 127 bank branches across the state – had no change.

The remaining 47 states (and the District of Columbia) bid goodbye to 1,979 bank branches, with the top five states closing branches being Texas (174 branches closed), Florida (146), New York (142), Illinois (120), and Ohio (117).

Nevertheless, those five states added more than $254 billion in deposits in the June-to-June period, with New York branches increasing deposits by 10.1%, Texas branches by 6.4%, Florida branches by 4.1%, Ohio branches by 4%, and Illinois branches by 1.3%.


Bank branch deposits, June 2016-June 2017

From the annual survey of branch office deposits (SOD) for all Federal Deposit Insurance Corp. (FDIC)-insured institutions, as of June 2016

STATEchange # OF INSTS. IN STATEchange OUTSIDE MKT OFFICESchange OUTSIDE MKT DEPOSITS ($000)change INSIDE MKT OFFICESchange INSIDE MKT DEPOSITS ($000)% change # OF INSTS. IN STATE% change OUTSIDE MKT OFFICES% change OUTSIDE MKT DEPOSITS ($000)% change INSIDE MKT OFFICES% change INSIDE MKT DEPOSITS ($000)
AK0148119516354011690300.02081575246130.098269224554500.00969984279024
AL-5-381127900200-243313025-0.0301204819277-0.02241044644430.0651750371566-0.01578947368420.034115665299
AR-5-429209499724-93427461-0.0393700787402-0.02343109945930.0706176102203-0.006646971935010.0564004641428
AZ1-6418528144-24100314510.0151515151515-0.0002475962530430.098159675006-0.01923076923080.0874759805036
CA-9-405288276939-9184011000-0.0398230088496-0.02013623029880.0708717104967-0.0130130130130.0661769356543
CO-1-102353994862-257248789-0.00709219858156-0.004260473664430.0842775136371-0.01647989452870.0578340208793
CT0240407958629-30407755300.01070472792150.083034192842-0.02475247524750.0315558612705
DC-2-930304225370-81139792-0.0625-0.03458406158190.0563460160459-0.03493449781660.0247802078191
DE1-607220942960-319052000.0243902439024-0.03132903225810.0580298056362-0.01111111111110.00534267891225
FL-14-213408673260-14622333470-0.0580912863071-0.005823331601830.0694405608955-0.02762535477770.0412315232944
GA-10-837344235250-9515505774-0.042194092827-0.02692183981990.0714121449831-0.03893442622950.0688175663619
HI0101743455-3345434300.1250.15276764996-0.01086956521740.0847556902188
IA-4-381202575129-113434140-0.012084592145-0.02266642869890.0714718625512-0.007101355713360.0426754089117
ID0-207342707058-618433850-0.009253464461330.0849137100108-0.01195219123510.0794462610024
IL-22379426945429-1206246615-0.04074074074070.0132374000210.0875732898238-0.02664298401420.0131999562657
IN-5254306183390-555659494-0.03225806451610.009816045756690.0889477797483-0.02588235294120.0476468228363
KS-13-262216772926-132947430-0.0414012738854-0.01481313959410.0726524153424-0.008873720136520.0418781426936
KY-10-123179921114-242767492-0.0526315789474-0.006753788710740.0841019771499-0.01420959147420.036165353781
LA-3-351128767687-312555657-0.020979020979-0.03974634809190.0882643875071-0.01993569131830.0250189101189
MA-11-159-238387802-17-6275249-0.0650887573964-0.00730027548209-0.0497200355448-0.00775547445255-0.0176089250917
MD-5-760203297110-506655204-0.05-0.03351708930540.0498210694842-0.03140703517590.0488525020149
ME0167109983087-2112655100.02252799136650.0721946735345-0.004115226337450.042049623476
MI-10-508316306436-11510202973-0.0735294117647-0.02182599355530.0770749535911-0.04237288135590.0509131611239
MN-9145251209551-3912120538-0.02419354838710.008800679776640.091248668676-0.02243958573070.0545821426631
MO-12-453230677305-3911533806-0.0357142857143-0.02080558489870.0700511765505-0.0166311300640.0694868529494
MS1-296106660592-1424215290.0102040816327-0.02738712065140.072951871419-0.01206896551720.0478187968334
MT-4-173124253631-2691411-0.0634920634921-0.01815320041970.0858138443477-0.005194805194810.0309922193465
NC-1-192226881675-6416122201-0.010752688172-0.008570663333630.0706035497496-0.02578565672840.0464370961467
ND-1-181132213722-11155604-0.0114942528736-0.01750483558990.0870268660104-0.0023310023310.0442045580648
NE-8-20013314221461263066-0.039603960396-0.01908214864990.08718703845160.005586592178770.0200204162704
NH0-12495317670-611852560-0.01512564040010.0599623029326-0.0139860139860.0371534970033
NJ-3-85332134660-6717479419-0.0214285714286-0.003307779118190.0617963649917-0.02199606040710.0557041358385
NM0-282203384466-14-1244670-0.01661168708770.0707029683147-0.0287474332649-0.00405647642973
NV-1-591331810941-626769345-0.0208333333333-0.0265212708670.0727441030706-0.01192842942350.130950674874
NY0-407223815565-1421549219350-0.01510484319910.0475759016518-0.02743961352660.101364842631
OH-960293061781-11712845539-0.03879310344830.002482827112470.0897823297138-0.03091966173360.0396880572354
OK-1-40819158459722539192-0.00438596491228-0.03233988585920.07569590617770.001481481481480.0303275389301
OR-2-196357040068-234726051-0.0392156862745-0.008248463934010.0839381798921-0.02241715399610.0663867636504
PA-12-909-166110618-7823804593-0.0576923076923-0.0321417205898-0.0323193973269-0.01814375436150.065066739348
RI0-18893778679-414696070-0.02438391699090.0596854247153-0.01526717557250.0510807031293
SC-232242878041-145485301-0.02325581395350.001440208830280.0733354360616-0.01086956521740.0694140545257
SD-1-22362780442-582347309-0.0119047619048-0.01942339517460.0389366448382-0.01063829787230.181277910363
TN-8-494213092568-399277544-0.0386473429952-0.02192340123370.0645643110858-0.01810584958220.0670910571418
TX-13-507344272784-17448996584-0.02394106814-0.01778822538770.0699155276163-0.02604010775220.0637014117799
UT-2-38365312140-8-96018026-0.0350877192982-0.002235557124370.131988211274-0.0147058823529-0.170508288323
VA-11-616249317397-9220442122-0.0802919708029-0.026309045870.0602838865656-0.03712671509280.0711743118268
VT046963498963-451748100.1213454075030.153711441025-0.01646090534980.041005291739
WA-4-181347722926-1710791517-0.0459770114943-0.00761656286820.0785565650043-0.009670079635950.0754202508439
WI-16230303512750-9611529940-0.06225680933850.01145304252560.0986236819292-0.04509159229690.0803459870908
WV-2-81157982317-101415349-0.0263157894737-0.004918630070440.0776661025227-0.0154559505410.04488938858
WY1-166133575916-2-1139120.0222222222222-0.01561618062090.0854943910492-0.00892857142857-0.00737231750178

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