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As the old saying goes: “Everything is bigger in Texas.” And that’s also true of your list of options when choosing a bank or credit union in the state. With so many options available, it can be overwhelming to determine which financial institution offers the best services and benefits. But don’t worry, we’ve done the research for you.
From the best branch access and regional services to top credit unions and customer service, we’ve researched and compared the top institutions in the Lone Star State. But before you make a decision, it’s important to consider your individual financial needs and priorities.
In this article, we’ll discuss our top picks for best banks and credit unions in Texas, highlighting their standout features and potential drawbacks. Here’s a breakdown of our selections and why they may or may not be the right fit for you.
Our picks for best banks and credit unions in Texas
Best branch access: Wells Fargo
Texas residents who want access to a branch whether at home or traveling in the state — the second largest in the U.S. by area — need look no further than Wells Fargo Bank. With more than 500 locations, Wells Fargo is the bank with the most branches in the Lone Star State by far, according to the Federal Deposit Insurance Corp. (FDIC).
Wells Fargo offers the full suite of consumer deposit accounts, ranging all the way from checking accounts to certificates of deposit (CDs). And the bank has several options for each type of account. For example, the bank offers multiple checking and savings accounts to choose from, giving customers a wide range of options to choose from according to their needs.
Another benefit to opening an account at Wells Fargo is the large branch network across the country. The bank maintains branches in 39 other states and approximately 11,000 ATMs nationwide. So whether you’re at home or traveling the country, you’ll likely have access to your cash and the bank’s services wherever you are.
However, if you want to balance branch access with competitive annual percentage yields (APYs) on deposit accounts, you may want to consider other banks. While Wells Fargo offers some promotional CDs with competitive interest rates, most of its savings accounts will do very little to help grow your nest egg, as they tend to offer low rates.
Best regional bank: Texas Capital Bank
Named the best regional bank as part of the 2024 Bankrate Awards, Texas Capital Bank is our choice for the best regional bank in the Lone Star State.
Headquartered in Dallas, Texas Capital Bank maintains branches in the five largest cities in Texas, including Austin, San Antonio and Houston. The bank offers a wide array of deposit products in addition to issuing credit cards.
Standouts from Texas Capital Bank include its handful of CDs, an interest-bearing checking account and a savings account with an ultra-competitive APY. To boot, none of the bank’s accounts charge a monthly fee. And while the bank’s physical footprint is confined to just 10 locations in Texas, cardholders have fee-free access to more than 55,000 ATMs across the country.
All this noted, the best account features are reserved to residents of Texans. For example, the bank’s base savings account offers a much lower yield compared to the Star High-Yield Savings Account, which requires a Texas residential address in order to open. This, combined with the small amount of branches contained to Texas, makes it advisable to look at other banks if you don’t live within the state.
Best credit union: Randolph-Brooks Federal Credit Union
Randolph-Brooks Federal Credit Union (RBFCU) is our pick for the best credit union in Texas.
Headquartered in Live Oak, Texas, RBFCU has more than one million members. It maintains approximately 60 branches, all located in Texas. Membership to RBFCU is open to those who live, work, study or worship in select areas of Texas, or if you’re a member of an institution that the credit union serves. Additionally, all members must open an RBFCU savings account, which requires a minimum deposit of $1.
No matter which deposit account you’re interested in — whether that’s a CD or a checking, savings or money market account — RBFCU has got you covered. Of note, its Really Free Checking account — which is true to its name as it comes without a monthly fee or minimum balance requirement — earns interest on any balance.
The only con is that outside of its stellar CD offerings, RBFCU’s yields tend to be rather low compared to what you can find by shopping around, as is the case with its savings and money market accounts.
RBFCU’s branches are mainly contained to the northern and southern portions of the state. Thus, while you’ll find branches in many of Texas’ big cities like Austin, Dallas and San Antonio, you won’t find an RBFCU location in cities like Houston and El Paso.
Best customer service: Frost Bank
Our pick for the bank with the best customer service in Texas is Frost Bank, which ranked first in the Lone Star State by a large margin in J.D. Power’s 2024 U.S. 2024 U.S. Retail Banking Satisfaction study. The annual survey serves as a good barometer of customer satisfaction as it fields responses from more than 100,000 retail banking customers across different regions of the country.
Headquartered in San Antonio, Frost Bank has more than 200 branches, all located in Texas. The bank offers everything from several checking accounts to CDs, money market and savings accounts.
Along with the J.D Power survey, customers indicate high satisfaction with the bank’s digital experience, as indicated by stellar user scores for Frost Bank’s mobile app on the Apple App and Google Play stores. Collectively, the app has been rated by more than 63,000 across both platforms.
In terms of its product offerings, while Frost Bank offers a wide variety of accounts, higher-yielding accounts with lower balance requirements can be found elsewhere. For example, to earn the top-notch yield for its money market account, you’ll need at least $20 million in deposits. Likewise, you’ll need $15,000 to earn the top yield on its savings account, and even then it’s a paltry amount. Many other traditional and online banks offer much higher yields on lower deposit amounts.
How to choose the right bank for you
The right bank for you depends on your financial goals and priorities, with options ranging from traditional banks to online banks and credit unions. Here is a list of tips to consider when choosing a bank:
- Look for banks with low or no fees, especially for common charges like monthly maintenance fees, ATM fees and overdraft fees.
- When considering accounts to stash your savings, look for banks with competitive APYs.
- Consider the convenience of local branches and digital features, like mobile banking and the ability to lock your debit card.
- Read the fine print and understand the terms and conditions of your chosen bank, including potential promotional deals and federal insurance coverage.
- Research bank reviews and consider managing accounts at multiple banks or credit unions for a more tailored banking experience.
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To determine our picks for the best banks in Texas, the Bankrate editorial team utilized our existing bank reviews and other sources of data, including branch information from the FDIC. While writing these bank reviews, we analyze each bank’s physical footprint and deposit accounts, including certificates of deposit (CDs), checking, savings and money market accounts. In reviewing these accounts, we consider important factors such as account features and fees, digital experience, interest rates and access to funds. We utilized these existing bank reviews, among other sources, in the process for selecting the best banks for branch access, customer service, regional bank and credit union in Texas.
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