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It is a Texas bank that takes deposits and makes loans to people and businesses.
Cullen/Frost Bankers is a bank. Its main business is simple: it holds people's and companies' money in checking and savings accounts, then lends that money out as loans and collects interest. Frost Bank, as it's known to customers, is a Texas institution, headquartered in San Antonio, and it operates almost entirely inside Texas. Its customers are regular people, small businesses, and mid-sized companies, and it makes money mostly from the gap between what it pays depositors and what it charges borrowers.
The company has two main parts. The big one, by far, is banking — roughly 90 percent of revenue comes from taking deposits, making commercial and consumer loans, and earning fees. Commercial lending to Texas businesses is the heart of it. The smaller slice is Frost Wealth Advisors, which manages money for well-off families and businesses, earning fees rather than interest. Think of it as a familiar neighborhood bank that also happens to have a quiet money-management arm on the side.
Frost's pitch is old-fashioned and that's the point. It avoided the risky stuff that blew up other banks in 2023, kept loads of capital and solid deposits, and leans on long-term Texas relationships rather than flashy products. It pays a steady dividend and buys back its own stock when it has spare cash. The wild cards are Texas: when the state's economy booms, loans grow, and when oil or real estate sours, that bites. Recently Frost has been pushing digital banking tools and expanding into fast-growing Texas cities, while watching interest rate swings squeeze the spread between what it earns and what it pays.
Saved answer · last researched 12 Oct 2026