The First State Bank

What The First State Bank does

The First State Bank is a privately held, Texas state-chartered community bank founded on May 7, 1956 in Louise, Texas, and currently operating 14 full-service branches plus a mortgage loan production office across eight Southeast Texas counties (Wharton, Brazoria, Jackson, Fort Bend, Lavaca, Matagorda, Victoria, Frio). The bank serves individual consumers, small to medium businesses, agricultural producers, and home buyers/builders through a comprehensive suite of deposit products (Diamond Rewards Checking, Marquis Interest Checking, savings, tiered money market, CDs, IRAs, UTMA), lending products (personal, auto, mortgage with land-only/construction-to-permanent options, commercial, agricultural as an FSA Preferred Lender, and lines of credit), and ancillary services (treasury management, wire transfers, safe deposit boxes, travel/gift cards). The bank's technology stack is built on a Q2-based online and mobile banking platform supporting bill pay, mobile deposit, Quicken/QuickBooks integration, NACHA-formatted ACH processing, and integrations including Apple Pay, CardValet debit card controls, Premium EnFact fraud text notifications, and Payroc for merchant services. The bank is a wholly-owned subsidiary of Louise Bancshares, Inc., with assets exceeding $820 million and $70 million in capital, and has executed two bank acquisitions since 2018 (First National Bank of Woodsboro and Dilley State Bank) while opening its newest branch in Sugar Land in May 2026.

The First State Bank's business model is a traditional community banking model with branch-based sales and local relationship-led lending decision-making. Revenue is generated through two primary streams: (1) interest income from a diversified loan portfolio spanning commercial, agricultural, mortgage, auto, personal, and lines of credit, net of interest paid on deposits (checking, savings, money market, CDs); and (2) service charges and transaction-based fees including wire transfer fees ($10-$50), overdraft fees, ATM surcharges, account maintenance charges, and per-item transaction fees on business checking accounts. The Diamond Rewards Checking tier (4.07% APY on balances up to $25,000 with activity qualifications) is a flagship deposit acquisition product, while treasury management and merchant services target higher-value commercial relationships. Go-to-market is sales-led through the branch network, supported by community-based marketing via Facebook, Instagram, LinkedIn, community sponsorships, and financial education partnerships with Banzai and EverFi.

Name

The First State Bank

Legal name

The First State Bank

Website

https://fsblouise.com

Company type

Private

Founded year

1956

Operating status

Operating

Headcount range

51–100 employees

Short description

The First State Bank is a privately held, state-chartered community bank founded in 1956, operating 14 branches across eight Southeast Texas counties and serving individual consumers, small to medium businesses, agricultural producers, and home buyers with deposits, loans, treasury management, and digital banking services.

Ownership category

akta.pro rank

Product category

Community Banking

NAICS

Commercial Banking (52211), Depository Credit Intermediation (5221)

SIC

State Commercial Banks (6022)

akta.pro primary industry

Mass-Market Consumer Deposit Banking (Checking/Savings) (FSABAAAA)

akta.pro secondary industries

SME Deposits & Business Accounts (Operating, Savings, CDs) (FSABABAC), Retail Lending (Personal Loans, Auto, Credit Lines) (FSABAAAB)

Keywords

• Community banking
• Retail banking
• Commercial lending
• Agricultural lending
• Treasury management

Headquarters

HQ city

Louise

HQ country

United States

HQ region

North America

Offices14 records

Markets served

GTM type

B2B and B2C

Offering type

Services

Cost components

Personnel, Operations, Infrastructure, Technology or R&D, Marketing or Sales, Others

Revenue model

1. Interest Income: Primary revenue from interest earned on loans including commercial loans, agricultural loans, mortgage loans, auto loans, personal loans, and lines of credit. Interest paid on deposits including checking, savings, money market, and CDs.
2. Service Charges and Fees: Fees from wire transfers ($10 incoming domestic & international, $25 outgoing domestic, $50 outgoing international), overdraft fees, ATM fees, account maintenance fees, and transaction fees on business accounts exceeding monthly limits.
3. Deposit Account Fees: Monthly service charges on accounts not meeting balance requirements or not opted into eStatements. Activity service charges on savings and money market accounts for balances below thresholds.
4. Business Checking Account Fees: Transaction fees (25 cents per item over 500 free monthly items), coin/currency deposit fees, and monthly service charges on Freedom Business Checking if not opted into eStatements.

Pricing tiers

Go-to-market motion1 record

Distribution channels7 records

Marketing channels6 records

Core offering

The First State Bank is a state-chartered community bank offering deposit accounts, consumer and commercial loans, and treasury management services through 14 full-service branches and digital banking channels. The bank serves individual consumers, small-to-medium businesses, and agricultural producers across Southeast Texas with checking, savings, CDs, IRAs, mortgages, auto and personal loans, commercial lending, agricultural lending, and merchant services.

Product overview

The First State Bank is a full-service community bank offering a comprehensive suite of personal and business banking products organized across multiple service lines. The personal banking division provides four checking account variants (Diamond Rewards Checking, Marquis Interest Checking, 50+ Interest Checking, and Freedom Checking) targeting different customer segments from rewards-seekers to seniors, alongside savings vehicles including standard Savings, Tiered Money Market accounts, Certificates of Deposit (including a 4-Month CD Special), IRAs (Traditional, Roth, Coverdell, SEP), and UTMA Savings for minors. The bank's lending portfolio covers personal loans, auto loans, and mortgage products including Land-Only, Construction-Only, and Construction-to-Permanent options. Business banking encompasses three checking products (Commercial Checking, Platinum Rewards Checking, Freedom Business Checking), two savings options (Business Savings, Business Tiered Money Market), and lending solutions including Commercial Loans, Preferred Agricultural Lender services, and Lines of Credit. The bank's digital banking platform (Online & Mobile Banking) integrates with accounting software (Quicken, QuickBooks) and supports ACH processing via NACHA-formatted files. Treasury Management services provide ACH, wire transfers, Positive Pay fraud prevention, and Remote Deposit Capture, powered by Payroc for merchant services. Additional services include debit cards with CardValet controls, Premium EnFact fraud monitoring via text alerts, wire transfers, travel/gift cards, safe deposit boxes, check reordering, and FSB LoanPay for external loan payments. The bank also offers financial education through a Banzai-powered center and an EverFi-based Financial Scholars Program for students.

Differentiator

Problem solved

Functional benefit

Products and services

• Diamond Rewards Checking High-interest personal checking account offering up to 4.07% APY on balances up to $25,000 when monthly qualifications are met (12+ debit card purchases of $10+ each, one automatic payment or direct deposit, and eStatements). Includes free Visa debit card and nationwide ATM fee refunds up to $10 per month.
• Marquis Interest Checking Interest-bearing personal checking account offering 0.25% APY with a $1,500 minimum balance requirement and free eStatements.
• 50+ Interest Checking Personal checking account designed for customers aged 50 years and older, offering free eStatements or paper statements, free first order of FSB logo wallet checks, and no monthly service charge.
• Freedom Checking Basic personal checking account with a $50 minimum to open, free Visa debit card, free bill pay, free eStatements with check images, and unlimited check writing.
• Savings Account Personal savings account with $100 minimum to open, earning interest on deposits while maintaining FDIC insurance coverage and offering free online banking access.
• Tiered Money Market Tiered interest-bearing personal savings account with rates that increase as balances grow: 0.50% APY at $2,500-$49,999, 1.00% APY at $50,000-$99,999, and 2.02% APY at $100,000+.
• 4-Month CD Special Short-term certificate of deposit with a $30,000 minimum balance requirement offering 3.23% APY and a fixed 4-month term.
• IRAs Individual Retirement Accounts with $500 minimum to open, available in Traditional, Roth, Coverdell, and SEP variants with long- and short-term options.
• UTMA Savings Uniform Transfers to Minors Act savings account for minor children with $50 minimum to open, FDIC insured with free online and mobile banking access.
• Personal Loans Consumer loans for various purposes including vacations, major purchases, and debt consolidation with flexible financing and affordable payment options.
• Auto Loans Vehicle financing for new and used automobiles with competitive rates and quick approval process, subject to credit approval.
• Mortgage Loans Residential mortgage financing including Land-Only loans, Construction-Only loans, Construction-to-Permanent loans, home purchase loans, home equity loans, and home improvement loans.
• Commercial Checking Business checking account for businesses with complex banking needs or higher transaction volumes; $15 monthly service charge, $0.15 per transaction item, and $0.50 per $1,000 coin/currency deposit.
• Platinum Rewards Checking Business interest-bearing checking account with $50 to open, $1,500 daily balance to avoid monthly service charge, 500 free monthly transaction items, and up to $10,000 free coin/currency deposits.
• Freedom Business Checking Business checking account with $50 to open; free Visa debit card, free online and mobile banking with mobile deposit, 500 free monthly transaction items, and up to $10,000 free coin/currency deposits monthly.
• Business Savings Interest-bearing business savings account with $100 to open; avoids low-balance fees on daily balances above $100, and offers free 24-hour audio teller access.
• Business Tiered Money Market Tiered business savings account with $2,500 to open, 6 transfers per cycle allowed, free online and mobile banking, and rates that scale with balance.
• Commercial Loans Business financing solutions for starting or expanding businesses with competitive rates, flexible terms, local decision-making, and personalized service.
• Preferred Agricultural Lender Program Agricultural lending program offering tailored financial plans for farm and ranch operations, including operating loans, land purchases, herd expansion financing, equipment financing, and FSA Preferred Lender Program participation.
• Line of Credit Revolving business credit facility providing flexible financing with low interest rates, easy fund access, no need to re-apply, and payment only on funds used.
• Online & Mobile Banking Digital banking platform providing 24/7 account access via web and iPhone/Android apps including balance viewing, bill payment, account history, fund transfers, check reordering, Quicken/QuickBooks download, stop payments, and mobile deposit.
• Bill Pay Online bill payment service enabling secure payment of bills with transaction history viewing, recurring payment setup, monthly reminders, and encrypted security.
• Debit Card Controls (CardValet) CardValet-powered mobile application allowing cardholders to turn their debit card on/off, receive activity notifications, and set spending limits for enhanced account security.
• Debit Cards Personal and business debit cards accepted worldwide at merchants and ATMs with fraud monitoring, instant transaction alerts, and optional CardValet controls.
• Premium EnFact Text Notifications Fraud-monitoring text notification system that sends short-code 37268 alerts for suspicious debit card transactions, allowing cardholders to verify or report fraudulent activity by text response.
• Wire Transfers Same-day domestic and international wire transfer service with secure dual-control authentication, supporting repetitive or one-time payments. Fees: $10 incoming domestic/international, $25 outgoing domestic, $50 outgoing international.
• Treasury Management Comprehensive business cash management services including ACH processing via NACHA-formatted files or templates, wire transfers, Positive Pay fraud prevention, and Remote Deposit Capture for electronic check collection with dual-control authentication.
• Merchant Services Payment processing solutions powered by Payroc including credit and debit card processing, payment gateway, software integration, electronic invoicing, eCommerce, mobile processing, point-of-sale systems, touchless payments, ACH/check processing, and gift card/loyalty programs.
• Apple Pay Digital wallet integration enabling contactless in-store and online purchases via iPhone or Apple device using an FSB debit card, with device-specific number and unique transaction codes for security.
• Travel & Gift Cards Visa-branded reloadable travel cards and one-time-use gift cards available at all branch locations, accepted at millions of merchants worldwide.
• Safe Deposit Box Secure storage service for valuable items and documents in various sizes, available in personal and business options at branch locations.
• Check Reordering Online check reordering service allowing customers to conveniently order replacement checks through a third-party provider.
• FSB LoanPay Self-service loan payment portal enabling non-deposit customers to make one-time or recurring loan payments via checking, savings, debit card, or credit card from another financial institution, with convenience fees up to $9.95 depending on payment method.

Quantifiable outcome

• 4.07% APY available on Diamond Rewards Checking for balances up to $25,000 with qualifying activities
• +2 more outcomes

Segments4 records

Ideal customer profiles3 records

Technology focussed No

API detail

Has API

No

API docs

API detail

Core technology

AI maturity

App detail

Integration12 records

Feature5 records

Partnerships

One partnership is on record.

• PayroccoreTechnology or IntegrationPayment processing partner offering credit and debit card processing, payment gateway, software integration, electronic invoicing, eCommerce, mobile processing, point-of-sale systems, touchless payments, ACH/check processing, and gift card/loyalty programs for merchant services.

Scale indicators11 records

Recent moves7 records

Expansion highlights6 records

Direct peers

• Prosperity Bancshares: Houston-based bank holding company with a large Southeast Texas community banking footprint and similar personal/business/agricultural banking products. Directly comparable as a Texas-headquartered community bank holding company competing in many of the same Houston-area growth markets.
• Independent Bank Group: McKinney, Texas-based bank holding company operating community banks across Texas and the Southwest with comparable deposit, lending, and treasury products. Closest direct competitor by size, geographic profile, and community banking model.
• First Financial Bankshares: Abilene, Texas-based bank holding company operating community banks across Texas with full personal, business, and agricultural lending products. Comparable Texas community bank model with multi-county branch networks and similar M&A-driven growth strategy.
• Allegiance Bancshares: Houston-based community bank holding company (now part of Allegiance Bancshares/Stellar Bancorp) operating across Southeast Texas. Comparable Houston-metro community banking focus with similar SMB and treasury management product offerings.
• Renasant Corporation: Tupelo, Mississippi-based bank holding company operating community banks across the Southeast with comparable personal, business, and ag lending products. Closely aligned acquisition-driven community banking model and SMB treasury management offerings.

Broad incumbents

• Cullen/Frost Bankers: San Antonio-based super-regional bank holding company (Frost Bank) operating across Texas with full-service consumer, business, and treasury management offerings. Comparable product breadth and Texas-only geographic focus, but at substantially greater scale.
• Texas Capital Bancshares: Dallas-based commercial bank holding company serving businesses and consumers across Texas. Comparable Treasury Management and business banking capabilities but oriented toward larger commercial clients than FSB's SMB focus.
• Cadence Bank: Multi-state regional bank holding company with Texas presence offering community-style banking, treasury management, and SBA/agricultural lending products. Comparable product set but operates at significantly larger scale and broader geographic footprint.
• Pinnacle Financial Partners: Nashville-based bank holding company operating community-style banks across the Southeast and Texas with personal, business, and treasury products. Comparable community-bank acquisition strategy and relationship-banking model, though at larger scale.
• BancorpSouth: Tupelo, Mississippi-based regional bank holding company with Texas presence and similar personal/business/agricultural lending products. Comparable community banking model in the South-Central U.S. with multi-state branch footprint.

Market position

Strengths5 records

Weaknesses5 records

Competitive moat5 records

Key risks6 records

Key highlights6 records

Customer concentration

• Facebookfacebook.com/TheFirstStateBankTexas
• LinkedInlinkedin.com/company/thefirststatebanktexas
• Instagraminstagram.com/TheFirstStateBank

Compliance2 records

Revenue estimate

Valuation estimate

Number of profiles

Profiles3 records

Subsidiaries1 record

Funding overview

Funding rounds1 record

Investors

Funding detail is available on the Subscription and Enterprise plan.Contact sales →

M&A

Investments

M&A and investment is available on the Subscription and Enterprise plan.Contact sales →

Frequently asked questions about The First State Bank