Fifth Third Bank expands in Florida while cutting Midwest branches in 2023
Fifth Third Bank has announced a mix of expansion and consolidation plans for 2023. The bank, led by CEO Tim Spence, will open new branches in Florida and North Carolina while also closing locations in several states. Notably, Fifth Third Bank is set to launch an early access feature for tax refunds, making it the first traditional bank to offer this service.
In 2022, Fifth Third Bank opened 12 new branches and plans to open between 30 to 35 more in 2023. This expansion includes two new branches in Florida and North Carolina. However, the bank also closed 41 branches last year and plans to shut down an additional 23 by the end of 2023. These closures are part of a consolidation effort focused on the Midwest, with branches in Ohio, Michigan, Kentucky, Indiana, Florida, North Carolina, and Illinois slated for closure.
The early access feature for tax refunds will be available later this month. Customers using the Momentum checking account who receive their refund via direct deposit can access their funds five days early. This move follows similar features offered by digital banks like Chime and Current, making Fifth Third Bank the first traditional bank to provide this service.
Fifth Third Bank's expansion and consolidation efforts reflect a strategic approach to growth and efficiency. The bank's deposits in the Southeast region are growing at a faster pace than in the Midwest, indicating a potential focus on this area for future expansion. The launch of the early access tax refund feature demonstrates the bank's commitment to innovation and keeping pace with digital competitors.
