Best Banks in Texas of October 2022

American and Texas state flags flying on the dome of the Texas State Capitol building in Austin.
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With nearly 400 financial institutions in the Lone Star State, knowing what the best banks in Texas are can take some serious thought. Many individuals choose a bank based on convenience, thinking of the “best banks near me” before anything else. However, the bank that’s closest to you may not be the closest match for your needs. This guide on the best banks in Texas weighs the pros and cons of the top choices in the state.

Best Banks Near Me: How Banks in Texas Made the List

It all started with the annual GOBankingRates Top 100 Banks. Once the banks were selected based on how they performed in categories such as customer service, interest rates, national branch availability, fees, market share and more, the list of 100 banks was narrowed down to a sampling of top banks in Texas. 

8 Best Banks in Texas

The following banks ranked highest in the state of Texas-based on the criteria mentioned.

Chase Bank

Why it stands out: Chase Bank's presence in Texas is widespread, with hundreds of branches throughout. If you live in major cities such as Austin, Dallas, Houston or San Antonio, you'll find the most branch concentrations of 30 or more locations per city. Chase is not only present throughout the state but its financial products are widely varied to serve a diverse population. Everything from basic, low-cost checking, such as Chase Total Checking®, to Chase Private Client Checking for high net worth individuals, is available. Besides accounts, Chase's personal lending services offer nearly every type of loan you may need including mortgages, home equity lines of credit, vehicle loans and more. You may receive better relationship rates when you maintain bank accounts and loans with Chase, saving you money in the long run.

Pros:

  • Full-featured ATMs and mobile app
  • Relationship rates for mortgage holders
  • Online, self-directed and advisor-based investing available
  • Mobile deposits made before 11 p.m. EST are usually available the next business day
Cons: What to look for: Chase overdraft fees can be steep, at $34 each. Overdraft protection* can save you from the hassle and expense of returned checks and negative balances. READ OUR FULL REVIEW
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Navy Federal Credit Union

Why it stands out: Texas has one of the largest concentrations of military in the U.S. Navy Federal Credit Union serves past and present military personnel, as well as their family members. If you qualify for membership to one of the best credit unions in the country, you'll have access to low-cost accounts and a competitive interest rate, known as a dividend, depending on the account type and balance. Navy Federal provides multiple ways to bank, including branches, Co-op locations, phone, live chat, mobile and online banking. Besides branches in the U.S., stationed military will find locations overseas in Spain, Italy, Japan, Cuba, Guam, Korea and more.

Pros:

  • CD rate offerings can be as high as 4.10% APY
  • Three checking accounts available with no monthly service fee and one with a waivable fee
  • Over 30,000 free ATMs available in the U.S.
  • Up to $240 per year back on out-of-network ATM withdrawals
Cons:
  • Limited to military personnel and relatives
What to look for: Once you're an NFCU member, you'll receive special discounts for other goods and services, such as discounted auto insurance and car rentals, special offers at select retailers when using your Visa debit card and a car buying service that helps you get the best price on a vehicle. READ OUR FULL REVIEW
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Bank of America

Why it stands out: Bank of America, Member FDIC, tiers its checking accounts to keep banking simple. You can start with Bank of America Advantage SafeBalance Banking® for a low-cost banking option. As your needs grow, Bank of America Advantage Plus Banking® and Bank of America Advantage Relationship Banking® add items such as free checks, interest on balances and more. Best of all, you can switch between the different account tiers without the need to open or close accounts which can be time-consuming and require changing out bank cards and checks.

Pros:

  • Preferred Rewards membership includes relationship rates, interest rate boosters and bonus rewards on credit card spending.
  • Tiered checking account bundles
  • Checking and savings account fees can be waived
  • Low cost, self-directed investing is available through Merrill Edge
Cons:
  • Low Annual Percentage Yields
  • No money market account available
What to look for: Merrill Edge's partnership with Bank of America gives you the flexibility of investing on your own or by working with an advisor. You'll receive unlimited, commission-free trades of stocks, options and ETFs.  Or choose more guidance on your portfolio by working with advisors for a monthly commission of 0.45% to 0.85% of your balance. READ OUR FULL REVIEW
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Wells Fargo

Why it stands out: If your banking needs are a bit more complex than an online-only bank can handle, Wells Fargo is a great combination of physical branches and a robust mobile banking app. You'll find 518 branches and 1,136 ATMs in Texas when one-on-one customer service is critical. For more immediate needs, the Wells Fargo mobile app is ready for 24/7 scheduled and mobile deposits, account alerts and managing account and card access. You can quickly toggle Wells Fargo cards and accounts on and off as needed.

Pros:

  • Most accounts have low opening deposit minimums of $25
  • Mobile app averages 4.8 out of 5 stars based on reviews from millions of iOS and Android users
  • Monthly maintenance fees can be waived
  • Automatic savings transfers available to grow your emergency fund faster
Cons:
  • Low interest rate yields
  • Overdrawing your account can add up, with overdraft fee of $35 per item and $12.50 per overdraft protection transfer
What to look for: Everyday Checking is one of Wells Fargo's best checking accounts. You can open an account with just $25. The monthly maintenance fee of $10 is waivable for young adults between 17 and 24 or with a minimum balance or monthly direct deposit of $500. READ OUR FULL REVIEW
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American Airlines Federal Credit Union

Why it stands out: American Airlines is headquartered in Fort Worth, Texas. There are thousands of employees in the area alone. Besides employees of AA, the American Airlines Federal Credit Union serves individuals affiliated with airlines. As with many of the top credit unions, members receive the best rates on their balances, as well as low fees and competitive rates on loans. Because of AAFCU's non-profit structure, account holders earn higher interest rates. Regardless of whether you're starting with banking or have an established financial plan, most of AAFCU's bank accounts don't have any minimum opening balance requirements and earn interest on balances, regardless of the amount.

Pros:

  • Free basic accounts or premium accounts with easy-to-waive account fees
  • Earn dividends up to 0.40% APY
  • Competitive interest rates on vehicle loans
Cons:
  • Membership is exclusive to airline-industry employees
  • Branches in Texas are concentrated in the Dallas-Fort Worth area
What to look for: CDs aren't always worth it because the amount invested can't be altered or withdrawn before the term is over without penalty. However, AAFCU's Dream Plan Share Certificate may be a good option for the long-term savings goal of saving a down payment for a home. It's more flexible than an average CD, allowing you to start with a small amount of $25 and contribute monthly while still receiving a rate of 0.70% APY over 60 months. READ OUR FULL REVIEW
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Eastman Credit Union

Why it stands out: Credit unions can exclude many individuals because of the narrow requirements for membership, such as vocation or university affiliation. Eastman Credit Union's membership is more accessible. As long as you live near one of the credit union's Longview, Texas locations, you qualify for access to the second-best credit union in GOBankingRates' annual study. Is joining Eastman Credit Union worth it? Based on the low fees and competitive rates, the answer is yes. Free interest-bearing checking with no account minimums pays 0.05% APY on amounts up to $9,999. Higher balances can earn even more.

Pros:

  • No minimum balance requirements
  • No monthly maintenance fees
  • Money market account with no withdrawal penalties
  • Over 56,200 free ATMs from the Allpoint and Presto! networks
Cons:
  • Only a few branches in Texas
What to look for: Many banks' money market accounts earn higher interest but historically had restrictions on withdrawals. ECU's money market earns up to 0.55% APY for balances of $200,000 without withdrawal restrictions. READ OUR FULL REVIEW

First Tech Federal Credit Union

Why it stands out: First Tech Federal Credit Union is a technology-first financial institution for employees of major tech firms such as Microsoft, HP, Amazon and Google. The focus on innovation adds new ways to make banking more accessible, such as a user-friendly mobile app and website, as well as virtual appointments when you're not near First Tech's branches, known as Experience Centers. To make the most of checking, the higher-tier Dividend Rewards account offers waivable monthly maintenance fees and dividends. Self-directed and advisor-based investing services are available through Raymond James, as a subsidiary of First Tech, known as Addison Avenue.

Pros:

  • Interest-bearing checking accounts
  • Dividends bump APY an additional amount, depending on account type and balance
  • Loans, insurance and investing also available
  • Membership available by joining the Financial Fitness Association or Computer History Museum
Cons:
  • Only one location in Houston area
What to look for: A First Tech credit card puts 0.50% cash back into your checking account for up to $15 per month on your spending and gives you a $10 rebate for streaming subscriptions. READ OUR FULL REVIEW
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PNC

Why it stands out: PNC Bank's approach to banking is largely digital. To get started, you'll need to set up a Virtual Wallet® and choose a checking account. PNC makes it possible to open more than one spending account to plan for short-term spending. Add a savings account to set aside rainy-day funds and to step in for overdraft protection. Besides the basic Virtual Wallet, you can choose from two higher-tier spending accounts, Spend and Select. Free out-of-network withdrawals and reimbursed ATM fees are just a couple of perks, although you'll need larger deposits to avoid the monthly maintenance fees.

Pros:

  • 341 branches in Texas
  • User-friendly online mobile app featuring colorful graphics
  • Monthly maintenance fees can be waived
  • Get 24 hours to fund an overdrawn account before overdraft fees are charged
Cons:
  • Daily overdraft fee of $36
What to look for: Low Cash Mode in the mobile banking app helps you avoid bounced checks and returned transactions. You'll receive notifications when your account falls below a set amount. You can choose what payments can overdraw your account and which transactions simply decline for insufficient funds. Plus, you'll receive an extra 24 hours to bring your account out of the negative before overdraft fees kick in. READ OUR FULL REVIEW

Takeaway

Texas has a variety of quality banking options ranging in choices such as large national banks to specialized credit unions. The best banks in Texas selected have branches in the state as well as a robust digital presence to make most of your banking needs possible — and convenient.  

Best Banks By Region

*With Chase Overdraft AssistSM, we won’t charge an Insufficient Funds Fee if you’re overdrawn by $50 or less at the end of the business day OR if you’re overdrawn by more than $50 and you bring your account balance to overdrawn by $50 or less at the end of the next business day (you have until 11 PM ET (8 PM PT) to make a deposit or transfer). Chase Overdraft Assist does not require enrollment and comes with eligible Chase checking accounts.

Rates and fees are accurate as of Oct. 13, 2022, and subject to change.

GOBankingRates is a personal finance and consumer interest rate website owned by ConsumerTrack Inc., an online marketing company serving top-tier banks, credit unions and other financial services organizations. Some companies mentioned in this article might be clients of ConsumerTrack Inc., which serves more than 100 national, local and online financial institutions. Rankings and roundups are completely objective, and no institution, client or otherwise, paid for inclusion or specific placement. Any opinions, analyses, reviews or recommendations expressed in this article are those of the author alone and have not been reviewed, approved or otherwise endorsed by the companies included in the article. All fees and rates are subject to change at the issuers’ discretion. Some interest rates might be short-term or promotional offers only, and it is possible additional terms and conditions must be met to obtain the interest rates listed. Rates and availability might vary by region. Verify terms and conditions before opening an account.

GOBankingRates bases its assessment of “best” and “top” products on the above-stated parameters to create a baseline for comparison. This assessment is an approximation of “best” and “top” designed to help consumers find products that might be appropriate for them. There could be other options available as well. Consumers should consider various options appropriate for their circumstances.

To discover the Top 100 Best Banks, GOBankingRates looked at all institutions with available published data (National, Regional, Local, and Online) from the 2022 Best Banks categories as well as all Credit Unions with over $1 billion in total assets and accessible to a wide audience. GOBankingRates looked at the following factors: (1) total assets as sourced from the FDIC and NCUA; (2) number of branch locations as sourced from the FDIC and NCUA; (3) checking account annual fee; (4) savings account APY rate; (5) 12-month CD APY rate; (6) customer service products offered (24/7 customer service and live chat with a human); (7) Bauer rating (out of 5 stars); (8) products/services offered (auto loans, mortgage loans, credit cards, investment services, and insurance); and (9) the average mobile app rating between the android and apple stores. All factors were then scored and combined, with the lowest score being best. Factors (1) and (4) were weighted 1.5 times in final scoring, factor (2) was weighted 2 times, factor (6) was weighted 0.5 times, and factor (8) was weighted 2.5 times. For all Savings and Checking Account data only the basic accounts/products offered at each institution was analyzed. Rates and fees subject to change.

Editorial Note: This content is not provided by any entity covered in this article. Any opinions, analyses, reviews, ratings or recommendations expressed in this article are those of the author alone and have not been reviewed, approved or otherwise endorsed by any entity named in this article.

Our in-house research team and on-site financial experts work together to create content that’s accurate, impartial, and up to date. We fact-check every single statistic, quote and fact using trusted primary resources to make sure the information we provide is correct. You can learn more about GOBankingRates’ processes and standards in our editorial policy.

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About the Author

Cynthia Paez Bowman is a personal finance writer with degrees from American University in international business and journalism. Besides writing about personal finance, she writes about real estate, interior design and architecture. Her work has been featured in MSN, Brex, Freshome, MyMove, Emirates’ Open Skies magazine and more.
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