J.P. Morgan Chase is doubling down on the physical storefront known as the bank branch.
Under pressure to cut expenses after the financial crisis, U.S. banks have been shuttering branches for most of the last decade. That trend accelerated as Americans got used to banking online and then on mobile phones.
But J.P. Morgan is opening 50 new branches in Philadelphia, Delaware and southern New Jersey over the next five years, the bank said in a release. It’s part of a plan disclosed in January to open 400 branches across the U.S., an aggressive move to use its corporate tax cut windfall to strengthen what is already the biggest U.S. bank by deposits and assets.
“The Delaware Valley is an incredibly important market for us,” Chief Executive Officer Jamie Dimon said in the release. “This will create even more well-paying jobs with healthcare and retirement plans for people in the area, and better serve our existing and new customers.”
The bank said it will hire up to 300 employees for the Philadelphia-area branches. It will also put $3 billion towards mortgage and small business lending in the area, including grants for low-and-moderate income communities, as well as $5 million to help revitalize Philadelphia’s Kensington Avenue neighborhood.
Dimon will be on Squawk Alley at 11 a.m. ET and Mad Money at 6 p.m. to discuss.
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