Company’s President & CEO tapped for her retail network expertise as Chase announces expansion of its branch banking model with “Community Center” flagship branches
Monday, October 21, 2024 – When JPMorgan Chase makes announcements about building more branches, most banking industry insiders aren’t especially surprised. After all, Chase is renowned for its focus on the branch as a vehicle for influence and growth. However, the latest announcement from Chase that it would be rolling out a new “Community Center” format in some of the most underbanked cities and towns across the U.S. has the industry abuzz. Recognizing and acting on opportunity in lower income markets can be a formidable challenge, but Chase thinks it may have cracked the code.
“In a way, what Chase is doing is doubling down on [banking] regulations and almost celebrating them,” says Gina Bleedorn, president and CEO of Adrenaline, in an interview with the Financial Brand for its article on Chase amplifying its community branch presence. “It’s satisfying regulatory requirements exponentially.” With financial institutions consistently needing to meet the requirements of the Community Reinvestment Act, finding growth through service is a model that works for banks and communities, alike. “This is not just do-gooding,’’says Chase CEO Jamie Dimon to the Wall Street Journal. “This is business.”
And going where the business is, doesn’t necessarily mean Chase will be there permanently – the company will remain in markets only as long as opportunity persists. “When Chase comes into a market, they don’t always stay there forever,” according to Gina in the Financial Brand. “They’re in for a period of time to get the customers, get the deposits, get primary financial institution relationships and loans, and then they thin out [their network] over time.” With dynamic demographics, market change is a fact of life for banks and credit unions, and something they must consistently consider as they assess the value of their retail network.