Skip to Main Content

Lone Star Bank Review 2024

Updated January 24, 2024
Bankrate logo

The Bankrate promise

At Bankrate we strive to help you make smarter financial decisions. While we adhere to strict , this post may contain references to products from our partners. Here's an explanation for .

On This Page

At a glance

3.8
Rating: 3.8 stars out of 5
Bankrate Score
Caret Down

CDs

Rating: 4.1 stars out of 5

Checking

Rating: 4.2 stars out of 5

Savings

Rating: 3.2 stars out of 5

MMA

Rating: 2.5 stars out of 5

About Bankrate Score

Overview

Lone Star Bank is a good fit for individual customers and businesses in the Houston area. It's also suited for people looking for competitive rates on certificates of deposit and those with supersize deposits who need extra FDIC coverage.

Highlights

  • ATM Fee Refunds
  • Free Checking
  • Highly Rated App
Compare offers
Info
Bank logo
Member FDIC
Savings Account
5.00
%
APY
APY
Info
As of 2/25/2024
Rating: 4.9 stars out of 5
$0
Min. balance for APY
View offer Arrow Right
Promoted offer: Plus, no monthly fees and unlimited free external transfers
Bank logo
Member FDIC
Savings Account
4.35
%
APY
APY
Info
As of 2/25/2024
Rating: 4.9 stars out of 5
$1
Min. balance for APY
View offer Arrow Right
Promoted offer:
Bank logo
Member FDIC
Savings Account
4.50
%
APY
APY
Info
As of 2/25/2024
Rating: 4.7 stars out of 5
$0
Min. balance for APY
View offer Arrow Right
Promoted offer:

Overall

Based in Houston, Lone Star Bank (LSB) is a federally insured community bank serving individual consumers and businesses, small and large. LSB offers a wide array of consumer deposit products, including a savings account, a large range of certificates of deposit, checking accounts and a money market account. Some accounts offer higher yields than others, so depending on what you’re looking for, you may find higher APYs elsewhere.

Pros

  • Checkmark

    Customers can make mobile deposits, pay bills online and make person-to-person payments.

  • Checkmark

    Some CDs offer competitive APYs.

  • Checkmark

    The checking account is free and comes without monthly fees.

Cons

  • Lone Star Bank does not have an ATM network.

  • It has only four branches.

  • The bank’s savings and money market accounts offer low APYs.

Lone Star Bank banking products

3.2
/5
Rating: 3.2 stars out of 5
See methodology Compare savings rates

SCORE BREAKDOWN

APY offering:
0.40%
Rating: 2 stars out of 5
2/5
Info
Minimum balance to earn interest:
$200.00
Rating: 3 stars out of 5
3/5
Info
Monthly service fee:
$0.00
Rating: 5 stars out of 5
5/5
Info
Minimum balance to avoid fee:
$200.00
Rating: 4 stars out of 5
4/5
Info
Access to funds:
Great
Rating: 5 stars out of 5
5/5
Info

FEATURES

Invest Rate
0.40% APY
Info
Loan
$200 minimum deposit to open

Lone Star Bank savings overview

Lone Star Bank has a Personal Savings account that pays a paltry APY and provides access to online banking and bill pay and mobile banking. A $6 quarterly service charge applies unless you keep $200 in the account or link it to a $1,000 CD at the bank. The minimum to open the account is $200.

There’s a limit of six withdrawals per quarter, and you’ll be charged a $2 fee for each withdrawal over that limit per quarter.

Pros

  • Checkmark

    The account comes with access to online and mobile banking.

  • Checkmark

    The service charge, should you incur it, is only $6 per quarter.

Cons

  • A $200 deposit is required to open the account.

  • With only four branches and no ATM network, customers who branch banking and need easy access to their cash will find the account harder to access.

  • Much higher yields can be found elsewhere.

  • See how rates for this account have changed over time. Interact with the trend lines to view APY by date.

    Lone Star Bank
    APY
    APY
    Info
    National average APY
    How do we get this data?
    Info
Compare Offer
Info
Bank logo
Member FDIC
Savings Account
5.00
%
APY
APY
Info
As of 2/25/2024
Rating: 4.9 stars out of 5
Info
$0
Min balance for APY
View offer Arrow Right
Promoted offer: Plus, no monthly fees and unlimited free external transfers

About Lone Star Bank

Lone Star Bank is a community bank established in Houston in 2006. Most of its business is in commercial banking, but it also offers a full slate of personal banking products. It is insured by the Federal Deposit Insurance Corp. Lone Star Bank has a mobile app and offers online banking, as well as electronic bill payment and person-to-person electronic payments. It has four branches, all in Texas, and also offers access to multimillion-dollar FDIC protection for depositors who need it.

Customer experience

Customer service. Customers can only contact Lone Star Bank by visiting a branch or through an online form. Apparently, there isn’t a phone number that customers can call. 

Digital experience. Lone Star Bank has a highly rated mobile app on the Google Play Store and Apple App Store, though it's important to note that only a modest number of users have actually rated the app.

Review methodology

With so many financial institutions to choose from, it can be hard to know who to trust. Bankrate’s ever-growing list of bank and credit union reviews is updated regularly. Our editorial team analyzes and reviews each institution across deposit products such as savings accounts, checking accounts, certificates of deposit (CDs) and money market accounts (MMAs). Banks are rated by important factors such as offered interest rates, fees, minimum balance requirements, access to funds and more.

We assign a score to each type of account and its features, weigh them carefully based on importance to account holders and determine an overall score. Read our full review methodology.