BBVA Compass has begun contracting its branch network, with the bulk of the closures in Texas.
The Birmingham, Ala., company has shuttered 18 branches so far this year and plans to close three more by the end of July, according to a statement issued Tuesday. Sixteen of the branches are in Texas, three in Alabama and one each in California and Arizona.
BBVA Compass, the U.S. unit of Spain's $700 billion-asset Banco Bilbao Vizcaya Argentaria (BBVA), says the closures reflect customers' increasing adoption of online banking.
"Across the industry, banks are experiencing a natural and steady migration of routine transactions away from branches to digital channels," the bank said in a statement. "Increasingly, bank branches are becoming the place where customers go to seek advice and assistance with more complex banking needs."
BBVA Compass has 688 branches throughout seven states, mostly in the Sunbelt region. It recently opened loan-production offices in New York City and Washington, D.C.