Bank With Deep Roots In Connecticut Set To Close 3 Branches

MIDDLETOWN, CT — Middletown-based Liberty Bank has submitted an application to the Connecticut Department of Banking and the Federal Deposit Insurance Corporation to close three branches in New Haven and Middlesex counties.

The branches are:

• 445 W. Main Street, Branford
• 1009 New Haven Road, Naugatuck (the 333 Church St. branch will remain open)
• 116 Bridge Road, Haddam

Staff members at the three locations "will be secured (in) a position within our branch network," Liberty Bank officials said.

Pending regulatory approval, the closures are planned for later this year," bank officials said. No exact closing date was released.

Changing business climate for banks

The decision is a by-product of the modern and post-pandemic business climate, said Minnie Saleh, Liberty's senior executive vice president and chief retail banking officer.

"We continuously evaluate all aspects of our business to ensure we are aligning our priorities (and investments) with the needs and wants of our customers," Saleh said. "Though we continue to grow our client base, like most banks over the years, we have experienced a decrease in the number of customer transactions being conducted in our branches. This decline in transactions was accelerated during the pandemic as customers who were heavy branch users prior to the pandemic, transitioned, out of necessity given the social-distancing protocols, to using our digital channels such as mobile banking, on-line banking, and our ATMs. Having experienced the ease and convenience of these digital channels, many branch customers have now favored using these channels over visiting a branch."

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Though the bank's branch network will remain an "important and integral channel," the migration away from face-to-face transactions shows, "There isn’t a need to have as many branches as in the past," according to Saleh

Saleh added, "And this trend is not unique to banking. We see it across the retail industry nationwide as more and more consumers choose more convenient channels to conduct their business, shopping, etcetera. Customers are choosing to bank differently and our priority is to provide them with an exceptional and seamless experience regardless of the channel they choose. We take great pride in being ranked No. 1 in Retail Banking Customer Satisfaction in the New York Tri-State area in 2025 by J.D. Power and are committed to continuing to make significant investments in our teammates, technology, products, and services.

Factors that go into a branch closing

"While it is always a difficult decision to close a branch, several factors were considered in determining which branches to close including branch customer transaction volumes, the proximity to the next closest branch, profitability, and market share penetration. Our dedicated teammates in these offices have been secured another position within our branch network."

Liberty Bank just turned 200.

Established in 1825 as Middletown Savings Bank, in 1844, an account was opened with a balance of $26, and left untouched for 150 years until it was finally closed in 1994. By that time it was the oldest direct descendancy savings account in the United States and had grown to over $32,000 on interest alone.

The Liberty Bank Foundation was established in 1997 to provide grants to non-profit organizations which improve the quality of life for people of low or moderate income.

In 2001, Liberty Bank merged with Hometown Bank, gaining their three offices, and added another new branch. In 2003, Liberty Bank broke ground on its first affordable housing complex: Uncas Condominiums, in Norwich.

The company then opened another office, bringing the total number of branches to 34. In 2005, Liberty Bank introduced the state's first checking account to offer rebates of other banks' ATM surcharges. Liberty Bank added a branch in Wethersfield in 2008, one in Niantic in 2009, and relocated its Cromwell branch in 2010 and First Liberty Bank part of Liberty Bank.

In 2013, Liberty Bank merged with The Bank of Southern Connecticut, and thus gained four more branches: two in New Haven, one in Branford and one in North Haven (which merged with an existing North Haven branch).

Liberty also opened Bristol and Southington in 2013, bringing the total to 50 branches.