5 Best Banks in Texas 2021

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Your choice of bank can affect a lot more than what kinds of cards you have in your wallet. Indeed, different banks have different interest rates for savings accounts, different branch locations, different fees for opening up accounts, and much more. Suffice it to say that choosing your bank is a big deal. But if you live in Texas, you have tons of choices to pick between. This can actually be a bit of a downside, as it’s tough to know which banks are really worth your time and money when you have literally hundreds of different options available. Fortunately, we’ve done the research so you don’t have to and have narrowed down the five best banks in Texas for 2021. None of these banks are perfect for everybody, but we’re confident that you’ll be able to find an excellent banking institution for whatever your needs are, whether you’re a small business owner looking for funding or someone looking to build your savings through high interest rates. Let’s dive in and check out these top banking choices!

What Makes a Bank Great?

With thousands of different banking locations within the Lone Star State, how can you tell when a bank is a great place to patronize? In our opinion, a great bank will:

  • Have a lot of locations for easy access
  • Offer a variety of services to keep your finances centralized
  • Have great perks for those who open up checking or savings accounts

Therefore, in our search for the top banks in Texas, we decided to exclude banks that only had a couple of locations. Chances are that most people won’t be able to patronize these locations no matter how great their perks are. We also tried to find banks that had worthwhile promotions or member benefits. The banking world is pretty competitive, so this wasn’t too difficult. Most banks have excellent member advantages to draw in new account holders.

Top 5 Best Banks in Texas

After a long search, we found the five best banks in Texas. While you might have a checking or savings account with a different bank, keep in mind that many of these locations might still be worthwhile to visit, if only to take out some cash on your way to your next family vacation.

Wells Fargo

Wells Fargo is one of the best banks in the country, not just Texas. But it got a spot on our list since it has more branches in Texas compared to any other banking institution. This means that, were you to roll the dice, you would be more likely to visit a Wells Fargo branch than you would find any other bank randomly. This also means that it’s easy to find Wells Fargo ATMs and similar locations no matter where you are in Texas. This is a good thing since it’s a huge state compared to many of the others! Wells Fargo traditionally offers tons of checking and savings account options. For example, you can enjoy up to five different checking accounts and two savings accounts, and most of these have opening fees as little as $25. The account APYs or annual percentage yields are low, as is typical with most major banking institutions. This does mean that your savings account won’t generate a lot of passive income over time compared to other savings options. Still, there’s no denying that Wells Fargo is a convenient and easy to access choice for most Texans. Plus, Wells Fargo has an excellent digital app that allows you to control your banking from your mobile phone or tablet. There are even special savings tools you can utilize to set different financial goals or track your spending.

Frost Bank

Next up is Frost Bank: a local banking institution that has its headquarters in San Antonio. Where Wells Fargo might take the cake in terms of convenience and sheer size, Frost Bank is the best of the best when it comes to customer service. You can see this immediately once you open an account. Each Frost Bank account has a very transparent and easy to understand fee structure , so you shouldn’t have to worry about any unnecessary or unexplained charges. There are monthly fees associated with most account types, but you can sometimes waive these if you set up direct deposit for your job payments or if you meet certain minimum balance requirements. Unfortunately, Frost Bank’s APYs for savings and checking accounts are pretty low, even compared to what you might see at other banks. However, their APYs are a little higher than what you can find at Wells Fargo, as well as other big banking chains like Bank of America and Chase. But let’s refocus on customer service. Thanks to its focus on Texan members, Frost has over 130 different branch locations plus over 1200 ATMs. Its customer service teams will always call you by name and eventually some of them might get to know you through repeated calls. Of course, Frost Bank hasn’t been left behind by mobile developments. It also provides a user-friendly mobile app. With this app, you can pay your bills, deposit checks, and even send money all without having to visit a physical branch. This is a good thing if you decide to go with Frost Bank as opposed to Wells Fargo.

1st National Bank of Texas

1st National Bank of Texas is, of course, also a Texas-focused bank. It’s also a particularly good choice for small businesses and their owners. That’s because it offers a wide variety of both checking and savings account types. We’d recommend checking out their small business account options since most of these come with special perks. If you sign up as a small business owner, you’ll immediately get access to certain financial planning tools that can help you build and maintain credit over time. You can also use these tools to develop business plans or even craft financial statements for your small business. None of their accounts have opening deposit fees, including savings and checking accounts, and they have pretty average APYs when you compare 1st National to other banking institutions. Businesses can sign up for up to five checking accounts and a single money market account. These accounts differ in their perks and APY rates based on what size of business you have. Need a loan? 1st National Bank can also provide small business loans and other merchant services. Inquiring further about these is pretty easy since the bank has over 300 branch locations and over 400 ATMs throughout the Texas, New Mexico, and Arizona areas.

BBVA Compass Bank

You should consider checking out BBVA Compass Bank, as it’s one of the few banks that doesn’t charge any monthly fees on checking accounts. This can, according to the bank, save you about $120 annually, which is what you would normally have to pay with a checking account at many larger banking institutions. However, you can also choose to partake in several optional paid features. These include paying for unlimited free ATM transactions for just $5 per month. Or you can pay $3 per month and get a safe deposit box. Unlimited personal checks can be yours for another $2 per month fee. All of this goes to show that BBVA Compass Bank is a pretty flexible banking institution that allows you to pay for only what you really need. It may be a good choice for those who only need barebones banking services for cheap.

Capital One

Lastly, Texans would do well to consider Capital One as their banking choice. It has a pretty good savings rate of 1.3% for any amount you deposit into its savings accounts. This is way higher than the rates you would get larger or similar size banking institutions. Thus, it’s a perfect pick for savers who want to benefit from as high an interest rate as possible. You’ll also be able to set up traditional accounts with Capital One. Choose a Capital One 360 account and you’ll enjoy much lower fees and the higher rates mentioned above. Plus, Capital One has a variety of branch locations and plenty of ATMs throughout Texas, though all of its branch locations are positioned toward the eastern side of the state, leaving Western Texans a little bit out in the cold. Still, it’s a good banking choice overall if you want to deposit lots of money and watch your savings rise passively over time.


As you can see, there are plenty of great banking choices if you live within the Lone Star State. We’d heavily recommend checking out any of the above options, whether you’re looking for checking or savings accounts or if you need additional financial services. At Seek Capital you can learn more about business banking and other business tips by browsing our extensive business guides . Don’t hesitate to contact us for assistance with business loans or other advice! Sources https://www.investopedia.com/terms/a/apy.asp https://www.discover.com/online-banking/banking-topics/how-interest-works-on-savings-accounts/#:~:text=The%20interest%20rate%20determines%20how,keep%20your%20funds%20on%20deposit.&text=Your%20savings%20account%20interest%20could,interest%20rate%20doesn't%20change . https://www.investopedia.com/terms/b/bank-fees.asp#:~:text=The%20term%20bank%20fees%20refers,one%2Dtime%20or%20ongoing%20basis .

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