Bank of America Corp. pulled all of its branches out of Indiana four years ago when it sold off a group of antiquated storefronts in Rust Belt towns. Later this year, the lender is returning but this time is targeting affluent customers in the state’s largest city, Indianapolis.

The Charlotte, N.C., bank, the nation’s second largest lender, has gotten rid of around 1,600 branches since the financial crisis as it seeks to rekindle sagging profits and focus on major metropolitan areas. The reductions are roughly equivalent...