Customers of U.S. Bank in Quincy were notified last week that the branch, located inside Safeway at 20 East Main St., is scheduled to close Jan. 7, 2025. The Chester branch of U.S. Bank will remain open, staff told The Plumas Sun.
Digital banking drives the decision to close
In a letter dated Oct. 8, District Manager Robert L. Stanton attributed the closure to changing “banking preferences and behaviors.”
In a written statement, Ben Gallagher, vice president of public affairs and corporate communications for the California region, had this to add: “Clients’ banking preferences and behaviors are changing, including a rapid migration toward digital and mobile banking platforms. … We are reevaluating our physical footprint, and in some instances, consolidating branch locations in select markets. Although we are closing some branches, we continue to open and enhance others.”
The closure is part of a larger trend for the banking giant and the banking industry generally. In 2023, U.S. Bank closed 109 branches in California and opened seven, according to FDIC reporting. A national report, published earlier this year by the Federal Reserve of Philadelphia, indicated that the number of bank branches nationwide declined by 5.6% between 2019 and 2023. California topped the list for branch closures, losing 640 locations during that time.
Although online banking is on the rise, many people, including elderly, disabled, low-income individuals, and those without reliable internet and cell service, depend on in-person banking, according to Fed Communities, a communications platform of the Federal Reserve.
Another factor may be the changing nature of banks themselves. According to reporting by Mark Calvey of the San Francisco Business Times, some banks now see branches as sales centers for mortgages, investment services and other large-ticket items, rather than places to handle routine transactions. That makes the smaller branches inside grocery stories less relevant, the article indicates.
Local alternatives
With the closure, Plumas Bank will become the only brick-and-mortar financial institution available in most of Plumas County. The U.S. Bank branch in Chester remains the lone exception.
Less competition and more limited access to banking services causes communities to suffer, said Plumas Bank president Andrew J. Ryback during an interview last summer. Of the newly announced U.S. Bank closures, he said, “It’s important for our local communities to have access to banking services. We continue to see national banks leave rural regions and community banks are dedicated to bridging those gaps.”
He added that Plumas Bank offers secure, online banking services, local ATMs and the convenience of a local branch location. “We will work one on one with community members who wish to continue banking locally to make that transition as smooth as possible,” Ryback said.
