TD Bank to Close 38 Branches Amidst $3 Billion Money-Laundering Settlement Fallout
After a massive $3 billion penalty for money laundering in 2024, TD Bank plans to close 38 locations spread across 10 states and Washington, D.C. The shutdown date is set…
NEW YORK, NEW YORK – JUNE 04: A sign is posted outside a TD bank in Brooklyn on June 04, 2024 in New York City. A former TD Bank employee from Florida is accused of falsifying documents to open dozens of accounts, and accepting bribes to help move millions of dollars to Colombia. (Photo by Spencer Platt/Getty Images)
After a massive $3 billion penalty for money laundering in 2024, TD Bank plans to close 38 locations spread across 10 states and Washington, D.C. The shutdown date is set for June 5, 2025.
"We made the difficult decision to close 38 locations on June 5," a TD Bank spokesperson told USA TODAY.
Based at Cherry Hill, New Jersey, the bank's U.S. office states these shutdowns stem from standard branch assessments. The cuts will affect sites in Connecticut, Florida, Maine, Massachusetts, New Hampshire, New Jersey, New York, Pennsylvania, South Carolina, and Virginia.
"TD Bank chose profits over compliance in order to keep its costs down," U.S. Attorney General Merrick Garland told USA TODAY, noting TD stands as the largest bank to admit violating the Bank Secrecy Act.
New Jersey faces the biggest impact as six sites will close. The state's closing spots include Cedar Grove, Flemington, Holmdel, Marlton, Ringwood, and Spring Lake Heights.
Despite the cuts, TD has added three new spots: two in New York at Brighton Beach and Jerome Avenue, plus one in Boston at Nubian Square.
Banking stats show a clear shift to online services. U.S. banks closed 439 sites from July to September 2024, more than double the 199 closures in the same period last year, according to S&P Global Market Intelligence.
"A lot of individuals really only access financial services through their local bank branches," said Leila Amirhamzeh, director of development at New Jersey Citizen Action, to NorthJersey.com.
"There is no doubt that 2024 was a challenging year for TD," board Chairman Alan MacGibbon told NorthJersey.com. "The gravity of TD's U.S. anti-money laundering failures, the associated costs, and the limitations imposed on the U.S. retail business had and will continue to have a significant impact on the bank."
TD Bank still runs over 1,000 sites nationwide. The bank will assist customers in switching to nearby branches or start using online banking tools.
