The Best Banks and Credit Unions in Texas for February 2023

Insider’s experts choose the best products and services to help make smart decisions with your money (here’s how). In some cases, we receive a commission from our partners, however, our opinions are our own. Terms apply to offers listed on this page.

We selected Ally, Bank of America, PNC Bank, Navy Army Community Credit Union, and GECU as the best banks and credit unions in Texas.

Compare today’s checking accounts

These accounts have also stayed as our top picks for the last few months because they continue to stand out for their unique accounts and impressive features. Learn more about our top picks below.

Savings Rates at the Largest Banks in Texas

Below, you’ll see the savings rates from the biggest banks in Texas. To give you an idea of comparison, the national average APY for savings accounts as of February 2023 is 0.33%, according to the FDIC.

While some of these institutions aren’t featured, you might still want to consider banking with one of these institutions if you’re familiar with them. 

Best Bank for Opening a Savings Account: Ally

Why it stands out: Ally is a solid contender if you’re looking for a savings account. It pays 3.40%, requires no minimum opening deposit, and doesn’t charge monthly fees. The Ally High Yield Savings Account has online tools that help you separate your money into savings buckets. 

If you previously struggled to reach customer service in the past, you may like Ally’s approach — it offers 24/7 customer support over the phone and through live chat.

What to look out for: As an online-only bank, Ally doesn’t have a direct way to deposit cash. (Although you can use direct deposit and deposit checks.) You’ll have to transfer your money from another account to deposit cash. 

Best Bank for Opening a Checking Account: Bank of America

Why it stands out: Bank of America nabbed a spot on our best national banks guide as the best national bank in the Southwest. It’s matched with Chase for having the largest ATM network by a brick-and-mortar bank and has one of the largest branch networks among US banks.

Bank of America has a variety of checking account options. With the Bank of America Advantage Plus Checking Account, there are several ways to waive the monthly service fee.

What to look for: Be careful of overdrawing from your account. Bank of America charges a $35 overdraft fee. While it offers overdraft protection, you’ll still pay a fee if you transfer money from a savings account.

Another fee to watch out for is out-of-network ATM fees. You’ll have to pay a $2.50 fee each time you use an ATM that’s not from Bank of America.

Best Bank for Opening a Checking and Savings Account: PNC Bank

Why it stands out: PNC Bank is the fourth-largest financial institution in Texas. Its PNC Bank Standard Savings Account has a low minimum opening deposit. There’s a $5 monthly service that can be waived in several ways. One way is if you connect your savings account to a PNC checking account. 

The PNC Bank Virtual Wallet® is the bank’s online checking account. It has a budgeting tool that keeps tabs on when you get money deposited into your account and when you have to pay bills. It will also notify you if you’re likely to overdraw from your account.

What to look out for: Customer support is limited. Other online banks offer 24/7 customer support, but PNC representatives are only available during select hours during the week. 

Why it stands out: Navy Army Community Credit Union is a Hispanic American-led institution that doesn’t charge monthly service fees. 

Navy Army Community has 19 branches, and it is part of the CO-OP Share Network, which provides access to over 30,000 free ATMs and 5,600 shared branch locations. 

The Navy Army Community Credit Union Liberty Checking Account is the bank’s strongest product. It lets you earn up to 3.01% APY if you meet the following requirements: 

• Maintain a balance under $25,000
• Make ten debit card transactions each month
• Schedule one direct deposit or automatic payment each month
• Enroll in electronic email statements

What to look out for: To become a member, you need to live, work, or go to school in South Texas. You’ll need to keep at least $25 in your savings account daily to maintain membership. 

Best Local Bank: GECU 

Why it stands out: GECU is an excellent choice if you’re exploring local banking options.  

GECU is a certified community development financial institution and Juntos Avanzamos designated credit union. It’s been certified to ensure that it provides products and services that serve everyone in the community, regardless of immigration status or income.

The credit union lets you use a permanent resident card, foreign passport, or Matricula Consular as a photo ID. Instead of a social security number, you may share your ITIN number. 

GECU offers free checking and savings accounts with low minimum opening deposits. Its CDs also pay high interest rates.

What to look out for: To be eligible for membership at GECU, you or a family member must live in an eligible county or work for a specific employer. If you’re searching for a high savings rate, other institutions may offer a better rate. 

Other Institutions That Didn’t Make Our List and Why

• Wells Fargo: Wells Fargo has the most branch locations in the state, but its trustworthiness and customer satisfaction ratings are lower than Bank of America. Read the full review of Wells Fargo here.
• Chase: Chase has a variety of accounts and a robust branch and ATM network, but it’s a bit harder to waive the monthly maintenance fees at Chase than it is at Bank of America. Read the Chase checking accounts review here.
• Prosperity Bank: Prosperity Bank requires a higher minimum opening deposit than most of the other options on our list and also has a withdrawal fee if you make more than three withdrawals on the savings account per month.
• Woodforest National Bank: Woodforest National Bank has a variety of accounts, but you’ll have to keep a certain amount in your account monthly or pay a monthly service fee. 
• Frost Bank: Frost Bank may be a worthwhile option if you’re searching for CDs, but its savings and checking have monthly service fees if you don’t reach a certain amount each month.
• IBC Bank: International Bank of Commerce has a free checking account, but its savings account is less competitive. Read the full review of International Bank of Commerce here.
• Comerica Bank: Comerica Bank has a large branch and ATM presence in the state, but its savings accounts earn a low interest rate and have monthly maintenance fees. 
• Truist: Truist Bank has low minimum opening deposits on its accounts, but its savings accounts earn a pretty low interest rate. 
• Bank of South Texas: This Hispanic American-led bank pays higher interest rates than most brick-and-mortar banks, but it only has five branches in the state. Read the full review of Bank of South Texas here.
• Border Federal Credit Union: This Hispanic American-led credit union is a Juntos Avanzamos designated credit union, but it only has five branches in the state. Read the full review of Border Federal Credit Union here.
• Citizens State Bank: You might like Citizens State Bank if you live in Roma or Rio Grande City, Texas, and want to explore local banking. It only has two branches and ATMs, though. Read the full review of Citizens State Bank here.
• CoastLife Community Credit Union: This Hispanic American-led credit union pays high interest rates on its accounts, but it’s only available to residents in select counties near Corpus Christi or Portland, Texas. Read the full review of CoastLife Community Credit Union here.
• Edinburg Teachers Credit Union: This Hispanic American-led credit union has low minimum opening deposits on its accounts and zero monthly fees, but it doesn’t have a mobile app. Read the full review of Edinburg Teachers Credit Union here.
• evolve Federal Credit Union: evolve has a good high-yield checking account. You might have to pay a monthly service fee if you can’t meet the requirements, though. Read the full review of evolve Federal Credit Union here. 
• Falcon International Bank: You might like this Hispanic American-led bank if you don’t want to pay monthly service fees. However, its savings rates are low. Read the full review of Falcon International Bank here.
• Freedom Bank: This Hispanic American-owned bank lets you earn a high interest rate, but only has three branches. Read the full review of Freedom Bank here.
• GulfCoast Credit Union: You’ll earn a higher interest rate with this Hispanic American-led credit union than you would at a typical brick-and-mortar bank, but branches are only available in Corpus Christi, Alice, and Portland, Texas. Read the full review of GulfCoast Credit Union here.
• Laredo Federal Credit Union: Laredo has free checking and savings accounts but pays low interest rates. Read the full review of Laredo Federal Credit Union here.
• La Joya Area Federal Credit Union: This Hispanic American-led credit union only has two branches in the state. You may like this Hispanic American-led institution if you live in Hidalgo County, Texas, though. Read the full review of La Joya Area Federal Credit Union here.
• Lone Star National Bank: Lone Star has low minimum opening deposits on accounts, but you’ll have to meet a certain amount monthly to waive the service fee. Read the full review of Lone Star National Bank here.
• Members First Credit Union: This Hispanic American-led institution is only available if you live in Nueces or Cameron County. Other institutions on our list are available in more locations. Read the full review of Members First Credit Union here.
• Naft Federal Credit Union: Naft Federal pays low interest rates on savings accounts and requires you to maintain a certain amount in your account each month to waive a service fee. Read the full review of Naft Federal Credit Union here.
• Rio Bank: Rio Bank requires you to maintain a certain amount each month, or you’ll have to pay a monthly service fee. Read the full review of Rio Bank here.
• River City Federal Credit Union: River City Federal Credit Union is a great choice if you’d like to bank with a Hispanic American institution, but it has fewer branches than some of the credit unions mentioned in our list. Read the full review of River City Federal Credit Union here.
• Security First Credit Union: Security First Credit Union doesn’t charge any monthly fees but pays a low savings rate. Read the full review of Security First Credit Union here.
• SouthWest Heritage Credit Union: This Hispanic American-led institution only has five branch locations available in Odessa or Wink, Texas, while other credit unions featured on our list have more locations. Read the full review of SouthWest Heritage Credit Union here.
• Texas National Bank: Texas National Bank pays higher interest rates than most brick-and-mortar banks, but it has fewer branch locations than the institutions we chose. Read the full review of Texas National Bank here.
• United Bank El Paso del Norte: While this Hispanic American-owned bank has low minimum opening deposits on its accounts, it doesn’t have an ATM network. Read the full review of United Bank El Paso del Norte.
• Unity Bank: This Black-owned bank has low minimum opening deposits, but you need to meet certain requirements to waive monthly service fees. Read the full review of Unity Bank here.
• Zapata National Bank: Zapata has only one branch location in Zapata, Texas, and two free ATMs. Read the full review of Zapata National Bank here.

Banks Trustworthiness and BBB Ratings

We use ratings from the Better Business Bureau to help show how financial institutions address customer issues and handle transparency. 

All the financial institutions on our list have an A+ rating from the BBB except Ally. According to the BBB, Ally has an A grade because it 3 unresolved complaints on the BBB website. 

A good BBB rating doesn’t necessarily mean that your relationship with the business will be the same as others’ relationships. Consider talking to family or friends who are members or read online customer reviews. 

Bank of America and PNC Bank have been involved in a few recent public scandals.

In 2020, the Department of Justice required Bank of America to pay $300,000 to people with disabilities due to claims that people qualified for Bank of America’s loans but were denied. In 2019, the Department of Labor charged Bank of America $4.2 million in a settlement that claimed the bank discriminated against African Americans, Hispanic Americans, and women during the hiring process.

In 2020, US Bank, Nationstar Mortgage, and PNC Bank paid $74 million in an agreement with the Department of Justice. According to the press release, the Department of Justice said the three mortgage services didn’t follow bankruptcy regulation and had service errors that impacted borrowers.

Why Trust Our Recommendations?

At Personal Finance Insider, our goal is to create helpful content to help you make good decisions about your money. Every person is different, so we provide ample options so you can find the most suitable financial product or account for you.

We research extensively to make sure that you know the standout features and limitations of a financial institution.

Methodology: How Did We Choose the Best Banks in Texas?

We looked at the top 10 biggest banks and credit unions in the state, plus state financial institutions featured in our Black-owned banks and credit unions guide and Hispanic American-owned banks and credit unions guide. 

When searching for the best accounts, we honed in on those that paid high-interest rates and offered unique features.

For the best credit union and the best local bank, we chose institutions that provided the strongest overall banking experience: great customer service availability, easy membership requirements, and accounts with low minimum opening deposits and zero monthly fees.

Frequently Asked Questions

What is the No. 1 bank in America? 

The best bank for you will depend on what your preferences are. There are many banking options —  online banks, national banks, local banks — so you can explore a lot of choices before settling with one financial institution.

If you’re searching for a bank with a national presence, Wells Fargo, Chase, and Bank of America have the most branches in the US. 

For high savings rates and low fees, you’ll likely find online banks or credit unions more appealing.

If you prioritize customer experience and close ties to the community, local banks will be your best bet. For instance, FDIC-designated minority depository institutions (MDIs) often address barriers in disadvantaged communities like language or access. 

What’s the safest bank to put money in? 

Financial institutions are safe if they are federally insured by the Federal Deposit Insurance Corporation (FDIC) or National Credit Union Administration (NCUA).

When a bank account is federally insured by one of these institutions, up to $250,000 is protected in individual bank accounts and up to $500,000 is secure in joint bank accounts. If a bank shuts down, you’ll still have your money. 

Sophia Acevedo, CEPF

Banking Reporter