TD is planning to shutter 38 branches by June 5, primarily in the Northeast, as part of what the bank dubbed “business-as-usual reviews” of branch operations.
For the closures, which span 10 states and the District of Columbia, the bank took into account store traffic, customer needs, product use, and community landscape, a spokesperson told Banking Dive.
“We are committed to making this transition as smooth as possible for our impacted customers and colleagues and look forward to continuing to provide legendary service via one of our approximately 1,100 stores or any channel our customers choose,” the spokesperson said.
The closures come as TD grapples with the fallout of last year’s anti-money laundering scandal, which tied the bank to the illicit fentanyl trade. A Justice Department investigation found that TD had failed to monitor $18.3 trillion in payments between 2018 and 2024 – and these misgivings landed it more than $3 billion in penalties and an asset cap on its U.S. retail operations.
Outside of Connecticut, Maine, Massachusetts, New Hampshire, New Jersey, New York and Pennsylvania, there are closures in three southeast states — Virginia, South Carolina Florida —and Washington, D.C.
TD targeted the southeast for growth in 2023 when it announced plans to open 150 new branches, primarily in the region, by 2027. But those plans slowed dramatically as a result of its AML issues.
Last year’s turmoil has led to several leadership shifts at the bank, including the departure of longtime CEO Bharat Masrani and appointment of Raymond Chun, former chief operating officer and group head of Canadian personal banking, as the bank’s new chief executive in February.
Matt Boss, who became head of TD’s U.S. consumer bank just a year ago, will move to a similar role at Citizens Bank come May 5.
Taking his place at TD are Allison Robinson, now the bank’s head of retail distribution, and Andrew Stuart, head of U.S. consumer products, auto finance and wealth, the bank said Thursday.
“With complementary perspectives and unique strengths, the powerful combination of Allison and Andrew ensures an exciting future for TD Consumer Banking,” U.S. the bank’s U.S. CEO, Leo Salom, said in a prepared statement.
“Under their joint leadership, TD will continue on our Consumer Banking journey to provide exceptional products and services, modernize our stores, and improve the digital banking experience, while accelerating innovations and evolving the experience that our more than 10 million customers have come to expect from us,” Salom said.
