Written by
Gabrielle Olya
Edited by
Levi Leidy
Regional banks fill that middle ground between large, national banks and smaller community banks. For the purposes of this category, GOBankingRates defined regional banks as financial institutions with locations in fewer than 25 states. The Best Southwest Regional Banks are located in Arizona, New Mexico, Oklahoma and/or Texas.
Commitment to Our Readers
GOBankingRates' editorial team is committed to bringing you unbiased reviews and information. We use data-driven methodologies to evaluate financial products and services - our reviews and ratings are not influenced by advertisers. You can read more about our editorial guidelines and our products and services review methodology.
20 Years
Helping You Live Richer
Reviewed by Experts
Trusted by Millions of Readers
Compare the Best Regional Banks in the Southwest
Bank
Best For
Products Offered
Fees
Savings APY
Branch Access
Learn More
BOK Financial, N.A.
Best for Range of Products
Checking, savings, CDs, money markets, etc.
$0-$25 monthly, depending on account
114 branches in OK, with more in AZ, AR, CO, KS and MO
Frost Bank
Best for CD Rates
Checking, savings, CDs, money markets, etc.
$3.50-$15 monthly, depending on account; can be waived
191 branches in TX
Texas Capital Bank
Best for Interest Checking
Checking, savings, CDs, money markets, etc.
$0-$25 monthly, depending on account; can be waived
Branches across TX and one in NY
SPONSORED BY
Get started
GOBankingRates Best Regional Banks in the Southwest
Best for range of products
BOK Financial, N.A.
Products Offered
Checking, savings, CDs, money markets, etc.
Savings Account APY
Branch Access
OK, AZ, AR, CO, KS, MO
WHY WE LIKE BOK FINANCIAL
What we like about BOK Financial is its dedication to acting as more than just your financial institution. It is invested in your financial success and truly believes that when its customers succeed, it succeeds.
As a top 25-U.S. bank — and ranked as one of GOBankingRates’ Best Southwest Regional Banks — BOK Financial offers a wealth of financial products and services for every moment in your life. Choose from a suite of offerings, including checking and savings accounts and home and auto loans, to tell the next chapter of your story. If you’re starting a small business, BOK Financial is ready to help you in your entrepreneurial journey with business checking and savings accounts and SBA loans for your funding needs. BOK Financial is also dedicated to helping you grow your wealth and ensure it is passed down to the next generation with careful financial planning and financial transition planning services.
Best for CD Rates
Frost Bank
Products Offered
Checking, savings, CDs, money markets, etc.
Savings Account APY
Branch Access
TX
WHY WE LIKE FROST BANK
Frost Bank has nearly 200 locations across Texas, making it convenient for in-person banking for anyone in the Lone Star State. Frost is a good choice of bank for its devout support of customers and its polished, personal touches. You may not come across such customized care with a nationwide bank.
We’re impressed by Frost’s healthy selection of checking and savings accounts, as well as its insurance and loans. It also offers competitive CD rates for those looking to earn interest on their deposits and wealth management tools aimed at helping you not only manage your money, but grow it.
Best for Interest Checking
Texas Capital Bank
Products Offered
Checking, savings, CDs, money markets, etc.
Savings Account APY
Branch Access
TX and New York City
WHY WE LIKE TEXAS CAPITAL BANK
For people living in the Southwest who like to have access to a brick-and-mortar branch, Texas Capital Bank offers all the banking services you’ll need and convenient access to ATMs, as well. Online banking and the mobile app make this an easy bank to use even when you’re out of the area.
Texas Capital Bank offers flexible banking options, whether you’re looking to maintain a low-fee, low-balance account or a higher-balance account that earns interest. It has products for personal banking, business and wealth management and even offers customers the option of an interest-bearing checking account.
SPONSORED BY
Get started
Research Methodology
To discover the Best Regional Banks, GOBankingRates looked at the top regional institutions (excluding online banks and neobanks) located in under 25 states. To determine rankings, GOBankingRates looked at the following factors: (1) total assets as sourced from the FDIC; (2) checking product minimum deposit; (3) monthly checking fee ratio (percentage based on the minimum to avoid the fee compared to the monthly fee itself); (4) savings product minimum deposit; (5) savings product APY; (6) Bauer rating (out of 5 stars); (7) products/services offered (auto loans, mortgage loans, credit cards, investment services and insurance); and (8) the average mobile app rating between the Google Play (Android) and Apple app stores. All factors were then scored and combined, with the lowest score being the best. Factors (1), (2) and (4) weighed 0.5 times, factor (5) weighed 2.5 times; and factor (7) weighed 1.5 times. All data is up to date as of Nov. 8, 2023; rates and fees are subject to change.
For regional breakdowns, the same methodology as above was used. The following is how we broke down the regions: West (AK, CA, CO, HI, ID, MT, NV, OR, UT, WA, WY); Southwest (AZ, NM, OK, TX); Midwest (IA, IL, IN, KS, MI, MN, MO, ND, NE, OH, SD, WI); Southeast (AL, AR, DC, FL, GA, LA, KY, MS, NC, SC, TN, VA, WV); and Northeast (CT, DE, MA, MD, ME, NH, NJ, NY, PA, RI, VT). To be considered for a region, a bank had to have a branch in one of the states listed and be headquartered in that state/region.
What To Know About Regional Banks
Regional banks are banks that are concentrated in a particular geographic region or regions. They typically offer traditional banking products and services.
Regional banks often provide their customers with higher rates than national banks and have more locations than community banks.
Who Should Use a Regional Bank
A regional bank may be a good choice for you if you are seeking a bank with ATM and branch locations in your area, as well as competitive rates and low fees. Regional banks also often contribute to their local communities, a factor that may also appeal to you.
Pros and Cons of Regional Banks
As with any other type of financial institution, regional banks have their own set of pros and cons.
Pros
- Range of account options available
- Robust network of ATM and branch locations
- Connection to the local community
- Lower fees and higher rates than large national banks
Cons
- May not have local branches when you are traveling outside of your region
- Fewer products and services than national banks
How Regional Banks Compare to Other Banks
When deciding between a regional bank and other banks, keep these key differences in mind.
Regional Banks vs. National Banks
As the name suggests, regional banks are concentrated in a particular region or regions, while national banks will have locations throughout the country. National banks typically operate on a larger scope, which has advantages, but also means they are less invested in their local communities than a regional bank.
Regional Banks vs. Retail Banks
Retail banking, also known as consumer banking or personal banking, refers to the banking services that are directly available to individual customers. The differences between a retail bank and a regional bank will vary based on the specific bank.
Regional Banks vs. Investment Banks
Investment banks serve corporate clients, institutional investors and enterprises, while regional banks tend to serve more everyday banking clients.
Regional Banks vs. Credit Unions
A credit union may offer similar products and services as a regional bank. What distinguishes a credit union from regional banks is that credit unions are nonprofit institutions that are owned by their members. In many cases, credit unions are smaller than regional banks.
How To Choose a Regional Bank
Choosing the best regional bank for you will depend on which factors matter most to you and your needs. Consider the following factors when selecting a regional bank:
- Location: Regional banks only serve customers in certain areas, so double-check that your area is serviced by a bank before opening an account.
- Availability: Regional banks may offer more limited hours than a national or online bank. Research operating hours and bank holidays to make sure the availability suits your needs.
- Bank health: Examine your bank’s financials to make sure it is raising enough assets and generating enough profit to sustain itself for the foreseeable future.
- Rewards and promotions: Compare the current rewards and promotional offers at the regional bank you’re considering with other available bank offers to make sure you’re getting the best of what’s available.
- Account offerings: Look into the products and services available at a regional bank to make sure it provides what you need in the present as well as what you may need down the line.
Heather Taylor contributed to the reporting for this article.
Recap of Winners
- BOK Financial, N.A. – Best for Range of Products
- Frost Bank – Best for CD Rates
- Texas Capital Bank – Best for Interest Checking
See Best Banks Winners From All Categories
See More Banks by Region
