Founded in 1987 and headquartered in Dallas, State Bank of Texas is a privately held, independent community bank. It serves a unique niche in the banking industry as the country’s largest lender to the hospitality industry.
Over the past decade, the bank has acquired Millennium State Bank of Texas, National Republic Bank of Chicago, and Seaway Bank, making it the largest Indian-American owned bank in the United States. It offers several branches located throughout Texas, as well as Chicago, Illinois.
All rates and fees are current as of July 5, 2023 and are subject to change.
State Bank of Texas offerings
State Bank of Texas offers many types of deposit accounts to help both personal banking and business customers manage their money, including checking, savings, money market, and CD accounts,
Checking and savings accounts
The bank currently offers several checking account options. Though there are no free checking accounts at this time, the monthly fees can be waived by meeting certain requirements. There is also one traditional savings account available.
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Personal Checking
- Minimum opening deposit: $100
- Minimum balance: $800
- Fees:
- Monthly maintenance fee: $10 if minimum balance is not maintained
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Hospitality Checking
- Minimum opening deposit: $500
- Fees:
- Monthly maintenance fee: None
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Basic Business Checking
- Minimum opening deposit: $500
- Minimum balance: $5,000
- Fees:
- Monthly maintenance fee: $15 if minimum balance is not maintained
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Business Checking
- Minimum opening deposit: $500
- Minimum balance: Varies
- Fees:
- Monthly maintenance fee: $15 if minimum balance is not maintained
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Business NOW Checking
- APY:
- Minimum opening deposit: $100,000
- Minimum balance: $25,000
- Fees:
- Monthly maintenance fee: $20 if minimum balance is not maintained
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Savings
- APY: 0.02%
- Minimum opening deposit: $100
- Minimum balance: $200
- Fees:
- Monthly maintenance fee: $7 if minimum balance is not maintained
- Monthly withdrawal fee: $1 for each additional debit beyond 6 pre-authorized transfers or withdrawals within a statement cycle
Money market accounts
The State Bank of Texas doesn’t have a high-yield savings account. However, it does provide two money market account options for customers who want to grow their savings by keeping larger balances on deposit.
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Money Market
- APY: Tiered
- Minimum opening deposit: $1,000
- Minimum balance: $2,500
- Fees:
- Monthly maintenance fee: $25 if minimum balance is not maintained
- Monthly withdrawal fee: $25 for each additional debit beyond 6 pre-authorized transfers or withdrawals within a statement cycle
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Jumbo Money Market
- APY: 5.22%
- Minimum opening deposit: $10,000
- Minimum balance: $25,000
- Fees:
- Monthly maintenance fee: $20 if minimum balance is not maintained
- Monthly withdrawal fee: $25 for each additional debit beyond 6 pre-authorized transfers or withdrawals within a statement cycle
Certificates of deposit
State Bank of Texas currently offers a certificate of deposit with a 12-month term. The interest rate is comparable to some of the top CD rates available today, although the minimum opening deposit is quite high.
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12-month CD
- APY: 5.35%
- Minimum opening deposit: $100,000
- Fees:
- Early withdrawal fee: Contact bank
Other services State Bank of Texas offers
In addition to deposit accounts, the State Bank of Texas also provides several business banking services:
- Hospitality lending: Loan amounts can vary from $100,000 to $25 million, and terms range from one year to 25 years with balloon payments.
- Money service business accounts: These are designed to meet the needs of Money Service Business (MSB) customers.
- Treasury services: Tools needed to grow your business and meet your company’s financial goals, including remote deposit capture, business debit cards, and more.
The State Bank of Texas platform and customer support
Enrolling in the State Bank of Texas online banking is free. The bank employs top security measures to keep your information protected. Additionally, there is a mobile app that allows you to check balances, pay bills, deposit checks and more, which boasts a 5-star rating in the Apple store. (There is also a separate Apple or Android app for business customers.)
Customer service can be reached by calling 1-972-252-6000 between the hours of 9:00 a.m. to 5:00 p.m. CT, or by submitting the online contact form.
Pros and cons of State Bank of Texas
There are many banks located in Texas. If you’re considering becoming a customer of the State Bank of Texas, consider these pros and cons first.
Pros
- Many checking account options
- Competitive money market and CD rates
Cons
- No high-yield checking or savings accounts
- Limited CD terms
- Most accounts come with monthly fees
Frequently asked questions
Is State Bank of Texas a legitimate bank?
Yes, the State Bank of Texas is a financially sound bank that’s been operating for more than 30 years. It’s FDIC-insured and the bank's FDIC number is 27074.
How big is State Bank of Texas?
State Bank of Texas is the 50th largest bank in the state of Texas, as well as the 535th largest bank in the nation.
Who owns the State Bank of Texas?
State Bank of Texas is a family-owned bank. The Patel family own and run State Bank of Texas, which is focused on lending to Indian and Indian-American hoteliers.
