Frost Bank Review 2024 (2024)

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The bottom line: Frost Bank is a smart choice if you live in Texas and are looking for a bank with a strong local presence. It also may be a good option if you're looking for a high-interest CD or money market account, as its current APYs are higher than the national average and a few CDs are on par with some of the best CD rates at national banks.

Frost Bank Overall Rating

Frost Bank Pros and Cons

Frost Savings Account Rates

The Frost Savings Account rate currently sits at a 1.00% APY (Annual Percentage Yield) — higher than the national average of 0.45% APY but lower than those on our best high-yield savings accounts (some of which have over 5% APY). Interest is compounded daily.

Account holders are allowed two free withdrawals per month, while each additional withdrawal comes with a $3 fee. The account also has a $3.50 monthly service fee unless you're under 25, maintain at least a $300 balance every day, own a Frost Plus or Premium account, or deposit at least $10 each month.

Frost Personal Account Overview

The Frost Personal Account comes with an $8 monthly service fee, but it can be waived if you have direct deposits of $100-plus per month, keep a minimum daily balance of $1,000 (or combined $5,000 across all Frost personal accounts), or are under age 25.

The account also offers customers access to direct deposits up to two days early. As for overdrafts, there's a $35 fee for all overdrafts over $100, but you can avoid these by linking another bank account or applying for a line of credit. (These will be used for automatic transfers in case of an overdraft).

In addition to the Personal Account, Frost Bank also offers a Plus Account and a Premium Account. These come with perks like ATM fee refunds and waived fees for checks, wire transfers, overdrafts, and more. They come with higher monthly service fees, and a larger minimum balance is required to waive these.

Frost CD Rates

The APY on a Frost CD ranges anywhere from 2.35% to 5.08% APY, depending on the balance and term. These are significantly higher than average CD rates across the US. A few on the high end are also in line with those on our best CD rates guide.

The CD minimum deposit is $1,000, although some terms are only available with higher deposits. If you withdraw money from your Frost CD before its maturity date, there are early withdrawal penalties of between seven days of interest up to 90 days of interest, depending on your CD term.

Frost Money Market Account Rates

The Frost Money Market Account has interest rates between 2.15% to 3.75% APY, which is higher than the national average but not quite near what banks on our best money market accounts guide are currently offering. Interest is paid monthly.

The account requires a $50 minimum opening deposit and comes with a $15 monthly service fee unless you have at least a $15,000 daily balance or own a Frost Premium Account. Customers get six free withdrawals per statement cycle. Any withdrawals beyond this limit come with a $5 fee.

About Frost Bank

Frost Bank is a Texas bank with 184 locations statewide. It first opened in 1868 in San Antonio. The bank offers checking and savings accounts, loans, insurance, investing services, and more.

Deposits at Frost Bank are insured by the FDIC for up to $250,000 per depositor. Its mobile app is available in both the Apple and Google Play stores, where it has a 4.9-star rating out of 5.

For customer support, Frost Bank customers can visit a physical branch, call the 24/7 customer service line at 800-513-7678, or chat with customer service live online. You can also send a secure message through your online banking dashboard. There is also a customer service line specifically for Spanish language speakers.

Is Frost Bank Trustworthy?

Frost Bank is not accredited by the Better Business Bureau, but it does have an A+ rating, indicating the company responds to customer complaints effectively and is transparent about its business practices.

Frost Bank does have one recent controversy. The bank was sued by a customer in 2022 over allegedly charging incorrect and excessive overdraft fees. The case has since been dismissed by the plaintiff.

Frost Bank FAQs

How Frost Bank Compares

Frost Bank vs. Prosperity Bank

Prosperity Bank's interest rates vary by location and aren't available online, but at the product level, it offers comparable options to Frost, including savings accounts, checking accounts, money market accounts, and CDs. Its minimum opening deposits are higher in most cases, though. Prosperity Bank's money market account requires $2,500 upfront, while its basic savings account requires $200. (Frost requires just $50).

Prosperity's one standout is its interest-earning checking account. The account comes with unlimited withdrawals and overdraft protection up to $600. One important detail to note: Prosperity Bank has more locations than Frost Bank and serves two states: Texas and Oklahoma.

Prosperity Bank Review

Frost Bank vs. Chase

As one of the biggest banks in the business, Chase clearly has a larger footprint and wider ATM network than Frost Bank. It also serves all 48 lower states.

Product-wise, though, Chase offers many of the same things as Frost: CDs, savings accounts, checking accounts — but no money market accounts. Chase savings rates are much lower than what Frost Bank currently offers — just a 0.01% APY — and its CD rates are lower in most cases, too. It does, however, offer more CD term options.

Chase Bank Review

Why You Should Trust Us: How We Reviewed Frost Bank

To review Frost Bank, we rated its checking, savings, and money market accounts using Personal Finance Insider's bank account methodology and its CDs using Personal Finance Insider's certificate of deposit methodology.

In general, we look at ethics, customer support, and mobile apps when rating an institution. Other factors we consider depend on which type of account we're reviewing. For example, we look at interest rates for savings accounts and early withdrawal penalties for CDs.