Finward Bancorp in Munster, Ind., is continuing to close branches.
The $2.1 billion-asset company, which closed two branches in July, said in a press release that it will shutter three more locations by the end of this year. Finward also closed a branch in 2021.
Finward said that each closure will reduce operational costs by roughly $250,000, excluding personnel expenses.
The company said its remaining 26 branches are being analyzed “for footprint optimization opportunities,” adding that there is potential to close more locations over the next 12 months.
“These efforts are reducing fixed costs and allowing for redeployment of a portion of occupancy expenses into building a digital-forward foundation,” the company said.
Finward said that it is on pace to shrink the size of the branch network by 20% this year.
Separately, Finward said it transitioned to a new tech-enabled customer contact platform in October. The company is in process of transitioning all customer calls to the platform.
“The bank is also planning further enhancements to customer acquisition, onboarding and servicing platforms to enhance customer experience and drive efficiency in these areas,” the release said.