Brazil’s Central Bank Confirms Closure of More Than 100 Santander Branches
🗓️ 01/21/2026 – 9:00 PM | 🔄 Updated at 10:30 PM | ⏱️ 4-minute read
Decision affects physical branches across multiple regions and surprises customers, unions, and banking workers
Brazil’s Central Bank has confirmed the closure of more than 100 physical Santander bank branches nationwide, a decision that caught thousands of customers by surprise and reignited debate over the future of in-person banking services in the country. The move comes amid strong profit growth for the bank, alongside criticism from labor unions over branch closures, workforce reductions, and increasing difficulty in accessing face-to-face services.
The announcement was made amid protests by the National Confederation of Financial Sector Workers (Contraf-CUT) and affiliated unions, which point to direct impacts on customers—especially in low-income areas and smaller cities with limited access to banking services.
High profits contrast with branch closures
Despite positive financial results, Santander has been reducing its physical presence in Brazil. Data from the Inter-Union Department of Statistics and Socioeconomic Studies (DIEESE) show that in the first quarter of 2024 alone, the bank reported profits of R$2.26 billion in the country.
During the same period, revenue from fees and services reached R$5.9 billion—more than double the total amount spent on employee payroll. According to labor unions, this contrast raises serious questions about the bank’s priorities.
Even with these strong figures, Santander closed nearly 100 branches throughout 2023, with the greatest impact felt in neighborhoods far from major urban centers. Unions argue that this trend has worsened financial exclusion.
Financial exclusion and impact on low-income communities
The closure of physical branches primarily affects elderly customers, people with limited internet access, and workers who rely on in-person service to handle basic financial matters. In many locations, the closed branch was the only banking option available to residents.
Union representatives warn that the shrinking physical network makes it harder to access services such as debt renegotiation, benefits assistance, contract clarification, and resolution of operational issues—forcing customers to rely on digital channels that are not always accessible.
Allegations of service deterioration and payroll-deducted loans
In addition to branch closures, Contraf-CUT and affiliated unions have raised concerns over practices they consider harmful to both consumers and workers. Among the issues cited are fraud involving payroll-deducted loans, particularly contracts signed with retirees and pensioners, and the deterioration of in-person customer service.
According to these organizations, increased sales pressure, reduced staffing levels, and branch shutdowns are directly linked to a profit-maximization strategy, at the expense of service quality for the public.
Nationwide mobilization against closures
In response, banking sector workers have intensified mobilization efforts across several regions of the country. Since May 23, 2025, a nationwide campaign has been underway, including leaflet distribution at bank offices, direct dialogue with customers, and public demonstrations.
The goal of the campaign is to raise public awareness about the impacts of branch closures, demand greater transparency from the bank, and pressure Santander to maintain in-person services—especially in areas considered essential.
Central Bank monitors changes in the banking system
Brazil’s Central Bank is closely monitoring transformations in the national financial system, including the digitalization of services and the restructuring of banks’ physical networks. While the expansion of digital banking is a global trend, experts and civil society groups warn of the need for balance to ensure financial inclusion and equal access to services.
The confirmation of the closure of more than 100 Santander branches reinforces this debate and raises questions about the social role of major banks in Brazil.
More closures expected in 2026
There are indications that the branch-closure process will continue throughout 2026. Labor unions are closely tracking developments and say additional branches may be shut down, although not all affected units have been officially confirmed so far.
Unions advise customers to pay close attention to communications from the bank and seek information about alternative service options in their regions.
Ongoing debate between profit and public service
The Santander case highlights a growing dilemma in the banking sector: how to reconcile high profits, technological advancement, and social responsibility. For workers and consumer-protection groups, reducing in-person services cannot happen without considering the direct impact on the lives of millions of Brazilians.
The debate remains ongoing and is expected to continue mobilizing unions, customers, and regulatory authorities in the coming months.
UltimaBrasil Newsroom
