Best Banks and Credit Unions in Texas for April 2024 (2024)

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

These banks have remained 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.

Best Banks in Texas

• Ally: Best for opening a savings account
• Bank of America: Best for opening a checking account
• Rally Credit Union: Best local institution, tied
• GECU: Best local institution, tied

Our top picks have bank accounts that are FDIC- or NCUA-insured. Bear in mind your money is safe at a federally insured financial institution. When a financial institution is federally insured, up to $250,000 per depositor is secure in a bank account.

Compare the Best Banks in Texas

Best Banks in Texas FAQs

Best Financial Institutions in Texas Reviews

Best Bank for Opening a Savings Account

Ally is a solid contender if you're looking for a savings account. It pays 4.25% APY, requires no minimum opening deposit, and doesn't charge monthly fees. The Ally 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.

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.

Ally Bank Review

Best Bank for Opening a Checking Account

Bank of America ismatched 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.

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.

Bank of America Review

Best Local Institution, Tied

Rally Credit Union is a local Hispanic American-led institution that doesn't charge monthly service fees.

Rally has 21 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 Rally Credit Union Liberty Checking Account is the bank's strongest product. It lets you earn up to Rally Credit Union Liberty Checking Account 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

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.

Rally Credit Union Review

Best Local Institution, Tied

GECU is an excellent choice if you're exploring local banking options.

GECU is a certifiedcommunity 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.

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.

GECU Review

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 Business Insider's Wells Fargo Review.
• Chase Savings℠: 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.
• 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 Savings Account: 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.
• 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 a few branches in the state.
• Border Federal Credit Union: This Hispanic American-led credit union is a Juntos Avanzamos designated credit union, but it only has a few branches in the state.
• 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 a couple of branches and ATMs, though.
• 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.
• 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.
• 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.
• 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.
• Freedom Bank: This Hispanic American-owned bank lets you earn a high interest rate, but only has a few branches.
• 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.
• Laredo Federal Credit Union: Laredo has free checking and savings accounts but pays low interest rates.
• La Joya Area Federal Credit Union: This Hispanic American-led credit union only has a couple of branches in the state. You may like this Hispanic American-led institution if you live in Hidalgo County, Texas, though.
• 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.
• 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.
• 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.
• Rio Bank: Rio Bank requires you to maintain a certain amount each month, or you'll have to pay a monthly service fee.
• 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.
• Security First Credit Union: Security First Credit Union doesn't charge any monthly fees but pays a low savings rate.
• SouthWest Heritage Credit Union: This Hispanic American-led institution only has a few branch locations available in Odessa or Wink, Texas, while other credit unions featured on our list have more locations.
• 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.
• 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.
• Unity Bank: This Black-owned bank has low minimum opening deposits, but you need to meet certain requirements to waive monthly service fees.
• Zapata National Bank: Zapata has only one branch location in Zapata, Texas, and two free ATMs.

BanksTrustworthinessandBBBRatings

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 strong ratings overall from the BBB. According to the BBB, Ally has an A grade because it has a few unresolved complaints on the BBB website. Bank of America has an A- rating due to government action against the bank.

Bank of America has been been involved in two recent public controversies.

In 2023, Bank of America paid over $100 million to customers in a settlement when accused of repeatedly charging a $35 overdraft fee for the same transaction, withholding credit card rewards, and enrolling customers in credit card accounts without them knowing or authorizing it. In 2022, the Consumer Financial Protection Bureau required Bank of America to pay $225 million, claiming the bank mishandled state unemployment benefits during the pandemic.

Why You Should Trust Us: Experts' Advice on Choosing the Best Bank in Texas

To learn more about what makes a good bank and how to choose the best fit, four experts weighed in:

• Tania Brown, CFP, vice president of coaching strategy atOfColor
• Roger Ma, certified financial planner withlifelaidout®and author of"Work Your Money, Not Your Life"
• Sophia Acevedo, banking editor,Business Insider
• Mykail James, MBA, certified financial education instructor,BoujieBudgets.com

Here are five questions you'll want to ask yourself when choosing a bank:

1. Is it FDIC insured? If it's a credit union, is it NCUA insured?
2. What does the account charge in fees?
3. How can your bank grow with you?
4. How accessible is it, in person or online?
5. What type of security does it provide for online access?

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

At Business 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.

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 unions, 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.

See our full ratings methodology for checking, business checking, savings, and money market accounts »