Frandsen Bank & Trust

What Frandsen Bank & Trust does

Frandsen Bank & Trust is a privately held, family-owned community bank headquartered in Lonsdale, Minnesota, operating under parent Frandsen Financial Company. Originally chartered in 1901 and rooted in the Frandsen family since Dennis Frandsen's 1982 acquisition of a bank in Luck, Wisconsin, the bank holds more than $3.7 billion in total assets and serves nearly 40 communities across Minnesota, North Dakota, South Dakota, and Wisconsin through 500+ team members. Its product portfolio spans personal banking (Real Results Checking, My Checking, Money Market, HSA, IRA), business banking (Business Checking, Small Business Checking, Business Money Market, Business CDs), SBA Preferred Lender financing, Farmer Mac agricultural loans, mortgages (with 99% in-house servicing retention), a Treasury Management suite (ACH, wires, Positive Pay, Remote Deposit Capture, Lockbox, Merchant Card Processing, Integrated Payables), Wealth Management & Trust (operating since 1969, 900+ customers), and Frandsen Investment Services offered through LPL Financial.

The core technology stack is a community banking platform combining online and mobile banking (iOS/Android apps with Apple Pay and Google Pay), in-house mortgage underwriting, self-service account opening at results.frandsenbank.com, and a Visa debit card network migration (cards to be activated before October 1, 2026). The bank differentiates through regulatory credentials (FDIC, NMLS 718070, SBA Preferred Lender), integrated treasury cash-flow tools, and proprietary checks including Positive Pay anomaly detection and image-based mobile check deposit.

Revenue is generated primarily through net interest income on loans and deposits, supplemented by transaction fees on SBA, Farmer Mac, business, and mortgage originations; treasury management fees (ACH, wires, merchant processing, lockbox); and recurring wealth management and investment advisory fees. Distribution is dual-channel: a relationship-led physical branch network with local-decision authority in each market, complemented by direct-to-consumer digital self-service for account opening, loan applications, and account management. The bank is targeting small-to-mid-size businesses, agricultural producers, individual consumers, homebuyers, and wealth management clients.

Name

Frandsen Bank & Trust

Legal name

Frandsen Bank & Trust

Website

https://frandsenbank.com

Company type

Private

Founded year

1901

Operating status

Operating

Headcount range

251–500 employees

Short description

Frandsen Bank & Trust is a family-owned community bank with $3.7B in assets, serving nearly 40 communities across Minnesota, North Dakota, South Dakota, and Wisconsin through relationship-based personal, business, agricultural, mortgage, and wealth management banking.

Ownership category

akta.pro rank

Product category

Community Banking

NAICS

Depository Credit Intermediation (5221), Savings Institutions and Other Depository Credit Intermediation (522180), Funds, Trusts, and Other Financial Vehicles (525)

SIC

State Commercial Banks (6022)

akta.pro primary industry

Mutual Savings Banks & Mutual Thrifts (FSABAEAD)

Keywords

• Community banking services
• Commercial lending
• Agricultural financing
• Mortgage lending
• Wealth management services

Headquarters

HQ city

Lonsdale

HQ country

United States

HQ region

North America

Offices2 records

Markets served

GTM type

B2B and B2C

Offering type

Services

Cost components

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

Revenue model

1. Net Interest Income: Traditional banking revenue from the spread between interest earned on loans and interest paid on deposits. The bank offers various deposit products including checking, savings, money market, CDs, IRAs, and HSA accounts with competitive rates.
2. Mortgage Lending: Revenue from mortgage originations including traditional mortgages, construction loans, home improvement, and refinancing. The bank retains 99% of originated loans for servicing.
3. Business & Agricultural Loans: Local financing for business expansion, real estate, equipment, working capital, and agricultural operations including SBA financing and Farmer Mac loans.
4. Treasury Management Fees: Fees from business banking services including ACH processing, wire transfers, merchant services, lockbox, and integrated payables solutions.
5. Wealth Management & Trust Services: Investment management, estate planning, retirement planning, and trust administration services operating since 1969 serving over 900 individual and business investment customers.

Pricing tiers

Go-to-market motion2 records

Distribution channels5 records

Marketing channels8 records

Core offering

Frandsen Bank & Trust is a community bank providing personal banking (checking, savings, money market, HSA, IRAs, CDs), business banking (checking, savings, treasury management), mortgage lending, commercial and agricultural loans including SBA and Farmer Mac programs, and wealth management and trust services. The bank distributes these through nearly 40 community branches across Minnesota, North Dakota, South Dakota, and Wisconsin, complemented by online and mobile banking channels with local decision-making authority in each market.

Product overview

Frandsen Bank & Trust is a community bank offering a unified, multi-channel banking platform with distinct product lines for personal, business, mortgage, and wealth management customers. The core banking products include personal checking (Real Results Checking with up to 6.17% APY, My Checking, Money Market, Health Savings Accounts) and business checking/savings accounts (Business Checking, Small Business Checking, Community Group Checking, Business Money Market, Business CDs). Mortgage products span traditional mortgages, cabin/land financing, construction loans, and home improvement loans. Treasury Management services (ACH, wire transfers, Positive Pay, Remote Deposit Capture, Merchant Card Processing, Integrated Payables) are add-on modules for business customers. The Wealth Management & Trust division and Frandsen Investment Services (offered through LPL Financial) extend the platform into advisory services. All products are accessible through online banking, mobile apps (iOS/Android with Apple Pay and Google Pay), and in-person at branch locations across Minnesota, North Dakota, South Dakota, and Wisconsin.

Differentiator

Problem solved

Functional benefit

Brands

• Frandsen Financial Company: Parent holding company of Frandsen Bank & Trust.
• Frandsen Investment Services

Products and services

• Real Results Checking
• My Checking
• Money Market Account
• My Savings
• Health Savings Account (HSA)
• Young Adult Savings (Penny's Savings Club)
• IRA Savings and CDs
• Business Checking
• Business Interest Checking
• Small Business Checking
• Community Group Checking
• Business Money Market
• Business Savings
• Business Certificate of Deposit
• Traditional Mortgage
• Cabin Financing
• Hunting and Recreational Land Financing
• Construction Loan
• Home Improvement Loan
• Mortgage Refinance
• SBA Financing
• Farmer Mac Loans
• Business Loans
• Commercial Real Estate Loans
• Equipment Loans
• Line of Credit
• Treasury Management Services
• Wealth Management and Trust Services
• Frandsen Investment Services
• Personal Online and Mobile Banking
• Business Online and Mobile Banking
• Visa Debit Card

Quantifiable outcome

• 99% of mortgage loans stay with the bank for in-house servicing
• +2 more outcomes

Named customers5 records

Segments5 records

Ideal customer profiles5 records

Technology focussed No

API detail

Has API

No

API docs

API detail

Core technology

AI maturity

App detail

Integration8 records

AI capability2 records

Feature3 records

Partnerships

Two partnerships are on record, tiered minor.

• Grand Forks Children's MuseumminorOthersCommunity donation recipient. Received $25,000 donation from Frandsen Bank & Trust as part of community investment initiative.
• Southern Minnesota Initiative FoundationminorOthersReceived $14,000 donation from FB&T in partnership with Federal Home Loan Bank of Des Moines for community development.

Scale indicators9 records

Recent moves5 records

Expansion highlights5 records

Direct peers

• Dacotah Bank: Dacotah Bank is a community bank headquartered in South Dakota with branches across the Dakotas and Minnesota. Closely comparable as an ag-focused community bank with similar service lines and target customers.
• Bell Bank: Bell Bank is a family-owned Upper Midwest community bank with branches in Minnesota and North Dakota. Closely comparable business model emphasizing SBA lending, business banking, and relationship-based service.
• Choice Financial Group: Choice Financial Group is a community bank operating across North Dakota and Minnesota with similar ag banking, SBA, and small business focus. Comparable in size and target market.
• Bremer Financial Corporation: Bremer is a regional Upper Midwest community bank operating across Minnesota, North Dakota, and Wisconsin. Directly comparable as a privately-held, relationship-focused community bank with similar business, ag, and wealth management lines.

Broad incumbents

• Heartland Financial USA / Dubuque Bank & Trust: Heartland Financial is a much larger bank holding company with community bank subsidiaries across the Midwest. Comparable in business model but operates at significantly greater scale.
• Associated Bank: Associated Bank is a regional bank operating across the Midwest with full personal, business, mortgage, and wealth services. Larger and broader but serves overlapping geographic and customer segments.
• Old National Bank: Old National Bank is a regional bank with Midwest roots offering similar personal, business, mortgage, and wealth management services. Comparable in product breadth, much larger in scale.

Regional players

• Cornerstone Bank (Cornerstone Financial): Cornerstone Bank is a community bank operating in Minnesota and the Dakotas with similar personal, business, mortgage, and ag banking products. Comparable in size and footprint.
• Plains Commerce Bank: Plains Commerce Bank is a community bank in the Dakotas with full personal and business banking services. Comparable in size and regional Upper Midwest focus.
• First Bank & Trust (FB&T): First Bank & Trust is a community bank operating across the Upper Midwest with similar personal, business, and mortgage products. Comparable scale and footprint.

Market position

Strengths5 records

Weaknesses5 records

Competitive moat5 records

Key risks6 records

Key highlights7 records

Customer concentration

• Facebookfacebook.com/frandsenbank
• LinkedInlinkedin.com/company/frandsenbank
• Instagraminstagram.com/frandsenbank

Compliance3 records

Revenue estimate

Valuation estimate

Number of profiles

Profiles8 records

Subsidiaries1 record

Funding overview

Funding rounds

Investors

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

M&A1 record

Investments

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

Frequently asked questions about Frandsen Bank & Trust