BOK Financial in Tulsa, Okla., will close or relocate all of its branches inside grocery stores in New Mexico, Oklahoma and Texas in a move it says will reduce overhead by $7 million to $8 million a year.

The $29 billion-asset BOK will record a $5 million charge in the fourth quarter and a $1.5 million charge in the first quarter to cover severance pay and other expenses, the company said in a news release. BOK expects to finalize the closings by the second quarter.

The “majority” of BOK's customers now handle the same transactions that they once conducted at in-store branches by using online banking, mobile devices or enhanced ATMs, said Pat Piper, executive vice president for consumer banking.

BOK will close 24 locations of its Bank of Oklahoma division in Oklahoma City, Tulsa and three other Oklahoma cities. The branches to be closed are located inside various retailers, including Wal-Mart, Buy for Less, Crest, Food Pyramid, Homeland and Reasor's.

Additionally, BOK will close three locations of the Bank of Albuquerque located inside Albertsons stores in New Mexico, and two locations of the Bank of Texas inside Albertsons and Kroger in the Dallas-Fort Worth area.

Separate from the closing of 29 branches, BOK will relocate an additional 10 in-store branches in Oklahoma to new locations in the same markets.

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