Hometown Bank

What Hometown Bank does

HomeTown Bank, N.A. is a privately held national banking association headquartered in Galveston, Texas, operating continuously since 1966 (originally as Bank of Galveston, National Association, rebranded in 1999). As of December 31, 2025, the bank reported $1.0 billion in total assets, $686.0 million in loans, $904.5 million in deposits, $90.6 million in total equity, and 119 full-time equivalent employees, with seven full-service branches spanning Galveston Island (2), Friendswood (2), League City, Alvin, and Pearland, plus a stand-alone deposit-enabled ATM in downtown Galveston. Its core business spans consumer and small-business banking, including checking, savings, money market, CDs, IRAs, residential mortgages, home equity, auto/boat, personal, and commercial loans (including construction, real estate, and lines of credit), supported by business cash-management services such as ACH origination, Positive Pay, and Remote Deposit Capture.

The bank operates a standard community bank technology stack layered with consumer digital features: the HTB Mobile App (iOS and Android), HomeTown Internet Banking, and SMS-based Text Banking (454545) handle account access, bill pay, and mobile deposit. Add-on integrations include Zelle peer-to-peer payments via Early Warning Services, Card Suite Lite for debit card controls, a one-time-code Customer Verify security feature, Financial Calculators, and eStatements. The bank holds a national bank charter, FDIC insurance, Federal Reserve System membership, and Federal Home Loan Bank membership, with capital ratios significantly exceeding regulatory minimums (Tier I Leverage 10.58% vs 4.00% required; Total Risk-Based Capital 15.32% vs 8.00% required).

HomeTown Bank generates revenue primarily through net interest income on its $686 million loan portfolio (consumer installment, commercial including construction, residential real estate, second mortgages, home improvement, home equity, and letters of credit), with secondary income from deposit and transaction fees (NSF, stop payment, wires, cashier's checks, safe deposit box rentals), ACH origination, Remote Deposit Capture ($250 installation plus $50/month), business service fees, and CD/IRA spreads. The go-to-market model is sales-led relationship banking across physical branches, complemented by digital self-service acquisition via the online account opening platform launched under the Personal Banking tab. The bank targets individual consumers, small-to-medium businesses (sole proprietors, partnerships, LLCs, corporations), and non-profit/attorney (IOLTA) customers within Galveston, Brazoria, and Harris counties.

Name

Hometown Bank

Legal name

HomeTown Bank, N.A.

Website

https://hometown.bank

Company type

Private

Founded year

1966

Operating status

Operating

Headcount range

51–100 employees

Short description

HomeTown Bank, N.A. is a privately held community bank headquartered in Galveston, Texas, operating seven branches across the Texas Gulf Coast with $1.0 billion in assets. It serves individual consumers, small-to-medium businesses, and non-profits with deposit products, consumer and commercial lending, digital banking, and treasury management services.

Ownership category

akta.pro rank

Product category

Community Banking

NAICS

Commercial Banking (52211)

SIC

National Commercial Banks (6021)

akta.pro primary industry

Small Business Banking (Microbusiness/Sole Proprietor) (FSABAAAI)

akta.pro secondary industry

Bank Branch / Retail Purchase Mortgages (FSALAAAA)

Keywords

• Community banking
• Personal banking
• Business banking
• Consumer lending
• Mobile banking

Headquarters

HQ city

Galveston

HQ country

United States

HQ region

North America

Offices8 records

Markets served

GTM type

B2B and B2C

Offering type

Services

Cost components

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

Revenue model

1. Interest Income: Primary revenue stream from interest earned on loans including consumer installment (automobile), commercial (including real estate construction), residential real estate, second mortgages, home improvement, home equity, and letters of credit. Interest paid on deposits including checking, money market, savings, IRA, and time certificates of deposits.
2. Fee Income: Various service fees including insufficient funds ($30), stop payment ($30), returned deposited items ($5), wire transfers (outgoing $25, incoming $5, international $65), safe deposit box rentals, cashier's checks, and business services including ACH origination, positive pay, and merchant services.
3. Business Banking Services: Revenue from business checking accounts with tiered fee structures, ACH origination fees, positive pay services, merchant remote deposit capture, and wire transfers.
4. Investment Products: Revenue from Certificate of Deposit accounts and Individual Retirement Accounts (Traditional and Roth) with various term options.

Pricing tiers

Go-to-market motion1 record

Distribution channels6 records

Marketing channels5 records

Core offering

HomeTown Bank, N.A. is a community bank offering personal and business deposit products, consumer and commercial loans, and digital banking tools. Core offerings include checking and savings accounts, money market accounts, certificates of deposit, IRAs, residential and commercial mortgages, home equity and home improvement loans, auto/truck/boat loans, business loans and lines of credit, merchant services, and digital channels (online, mobile, Zelle, text, and ACH origination), delivered through seven branches on the Texas Gulf Coast.

Product overview

HomeTown Bank is a community bank offering a multi-channel banking platform with digital and physical service delivery. The core digital banking platform comprises HomeTown Internet Banking (online), the HTB Mobile App (iPhone/Android), and Text Banking, all enabling account management, bill payment, and Mobile Deposit. Key add-on services include Zelle peer-to-peer payments, Card Suite Lite debit card controls, Financial Calculators, eStatements, Online Bill Pay, and 24/7 Customer Assistance Line. Deposit products span Personal Checking accounts (Preferred Choice Checking, Preferred Choice Plus, Simple Choice, Seniors, Personal Regular, Christmas Club) and Business Checking accounts (Small Business, HomeTown Business, Analyzed Business, Non-Profit). Savings products include Savings Personal, Money Market Business, Maximizer Money Market, NOW Business, and IOLTA. Investment products feature Certificates of Deposit (91-day to 60-month terms plus Jumbo CDs) and Individual Retirement Accounts (Traditional/Roth with Premium tier options). Lending products include Home Mortgages, Home Improvement, Home Equity, Auto/Truck/Boat, Personal Loans, and Business Loans (acquisitions, construction, expansion). Business services encompass Online Business Banking, ACH Origination, Positive Pay, Merchant Remote Deposit Capture, Wire Transfers, and Merchant Services referral. Additional services include Safe Deposit Boxes, ATM Banking, Wire Transfers, Cashier's Checks, Drive-Up Facilities, and Direct Deposit.

Differentiator

Problem solved

Functional benefit

Products and services

• Personal Checking Accounts Personal checking accounts for individual consumers including interest-bearing (Preferred Choice Checking, Preferred Choice Checking Plus, Preferred Choice Checking Plus 55, Simple Choice Checking, Seniors Checking) and non-interest-bearing (Personal Regular Checking, Christmas Club) variants with tiered monthly fees, minimum opening deposits, and bundled identity-protection and rewards benefits.
• Personal Savings Account Personal savings account with $300 minimum opening balance, quarterly interest compounding, and no withdrawal limits, available to individual consumers via online account opening.
• Business Interest-Bearing Accounts Interest-bearing accounts for businesses including Money Market Business ($2,500 minimum, tiered rate), Maximizer Money Market Business (requires linked non-interest-bearing business checking), NOW Business (for sole proprietors and non-profits), and IOLTA (Interest on Lawyers' Trust Accounts with interest above $1,500 minimum remitted to Texas Equal Access to Justice Foundation).
• Business Non-Interest Checking Accounts Business checking accounts including Small Business Checking ($100 minimum, 150 free items/month), HomeTown Business Checking ($5,000 minimum to avoid $25 monthly fee, 300 free items/month), Analyzed Business Checking ($200 minimum, unlimited check writing, earnings credit allowance), and Non-Profit Checking ($200 minimum).
• Certificate of Deposit (CD) Time-deposit certificates with terms ranging from 91 days to 60 months and a $1,000 minimum opening, plus Jumbo CDs with $100,000 minimum for larger balances; includes a 17-month Secure Rate CD allowing a one-time rate adjustment after seven months.
• Individual Retirement Account (IRA) Traditional and Roth IRAs offered as certificates with terms from 12 to 60 months; Premium-tier IRAs require a $50,000 minimum and pay enhanced rates on 18-, 24-, and 36-month terms.
• Home Mortgage Long-term residential mortgage financing with competitive rates, potential closing-cost and appraisal-fee advantages, and locally made approval decisions for owner-occupied and investment residential properties.
• Home Improvement Loan Secured financing for home improvements such as pools, room additions, and kitchen remodeling with extended repayment terms and locally made underwriting decisions.
• Home Equity Loan Loan secured by home equity up to 80% loan-to-value minus existing mortgage balance; proceeds may be used for any purpose and interest may be tax-deductible.
• Auto, Truck, and Boat Loans Direct vehicle financing for new and used automobiles, trucks, and boats, with new-vehicle terms up to 60 months and pre-arrangement options that may improve purchase negotiations.
• Personal Loans Unsecured personal loans for debt consolidation, vacation, and other personal purposes, with locally made credit decisions.
• Business Loans Commercial lending products for local businesses including business acquisitions, construction loans, modernization financing, real estate purchases, expansion financing, and revolving lines of credit, all underwritten locally by the bank's Chief Loan Officer and branch lenders.
• HomeTown Internet Banking 24/7 online banking platform providing balance checks, transaction history, internal and external fund transfers, mobile deposit, and bill pay for personal and business customers.
• HTB Mobile App
• Text Banking SMS-based banking via text to 454545 supporting balance inquiries (BAL), last-five transactions (LAST), fund transfers (TRANS), and service deactivation (STOP).
• Zelle Peer-to-Peer Payments Peer-to-peer money transfer service integrated into the HTB Mobile App, allowing free, near-real-time transfers to friends and family using email or U.S. mobile number; Zelle QR code functionality is available for contactless transfers.
• Online Business Banking Comprehensive business banking platform providing 24/7 account access, activity reporting, internal account sweep, balance alerts, check imaging, transaction search, and ACH origination for small and mid-sized business customers.
• Merchant Remote Deposit Capture Back-office check deposit solution using high-speed image scanning equipment and software that lets business customers make deposits without visiting a branch.
• ACH Origination ACH origination enabling direct-deposit payroll processing, ACH credits for accounts payable, and ACH debits for accounts receivable collection for business customers.
• Positive Pay Check fraud prevention service that validates each presented check against the business's uploaded issued-check list and routes exceptions to the customer for approval before payment.
• Merchant Services Payment processing referral service that connects business customers seeking card-acceptance services with Clearent by Xplor.
• Debit MasterCard with Card Suite Lite Controls Issued Debit MasterCard with daily ATM withdrawal limits up to $1,000/day and point-of-sale limits up to $3,000/day, supported by Card Suite Lite, a mobile app for card controls, transaction alerts, and security settings.
• Business Debit Cards New debit card product for HomeTown Bank business checking customers, available November 2025.
• Safe Deposit Boxes Annual safe deposit box rentals in six sizes (3x5 through 10x10), with a 20% discount on annual fees for senior customers aged 55 and over.
• Wire Transfer Services Outgoing ($25), incoming ($5), and international ($65) wire transfer capabilities supporting real-time funds movement for consumer and business customers.
• Customer Assistance Line (CAL) 24/7 automated telephone banking service available at 1-877-771-1225, providing balance, loan-payment, and CD information via touchtone input.

Quantifiable outcome

• Capital ratios significantly exceed regulatory minimums: Tier I Leverage 10.58% (required 4.00%), Tier I Risk-Based Capital 14.35% (required 6.00%), Total Risk-Based Capital 15.32% (required 8.00%)
• +2 more outcomes

Segments3 records

Ideal customer profiles3 records

Technology focussed No

API detail

Has API

No

API docs

API detail

Core technology

AI maturity

App detail

Integration3 records

Feature6 records

Partnerships

Seven partnerships are on record, tiered core and minor.

• Lighthouse ServicescoreImplementation/ SI/ Consulting PartnerThird-party whistleblower hotline service provider. HomeTown Bank uses Lighthouse Services for anonymous reporting of ethics violations and concerns through their platform at lighthouse-services.com/htbna, with dedicated phone lines for English and Spanish reporting.
• Clearent by XplorminorChannel Partner/ Reseller/ DistributorMerchant services partnership for referring customers to Clearent by Xplor for payment processing services. HomeTown Bank refers business customers seeking payment processing solutions to this partner.
• Early Warning Services (Zelle)coreTechnology or IntegrationLicensed Zelle peer-to-peer payment service integrated into the HTB Mobile App and online banking. Over 2,300 banks and credit unions participate in the Zelle network, enabling customers to send and receive money with enrolled users typically within minutes.
• Federal Reserve SystemcoreOthersHomeTown Bank, N.A. is a member of the Federal Reserve System, providing access to Fed services, payment systems, and regulatory oversight.
• Federal Home Loan BankcoreOthersHomeTown Bank is a member of the Federal Home Loan Bank, providing access to advance funding and community lending programs.
• FDIC (Federal Deposit Insurance Corporation)coreOthersHomeTown Bank's deposit accounts are insured under the Federal Deposit Insurance Act up to applicable limits, providing deposit insurance protection to customers.
• Texas Equal Access to Justice FoundationminorOthersInterest on Lawyers' Trust Accounts (IOLTA) program where accrued interest from IOLTA accounts is remitted to the Foundation to provide grants for civil legal aid to low-income Texans.

Scale indicators9 records

Recent moves7 records

Expansion highlights5 records

Broad incumbents

• Bank of America: Bank of America operates a substantial Texas retail and SMB banking franchise including Houston-area branches, competing for HomeTown's core consumer and small business customers.
• Cadence Bank: Cadence Bank is a regional bank with substantial Texas operations offering consumer, SMB, and commercial banking services that compete directly with HomeTown in the greater Houston market.
• Texas Capital Bank: Texas Capital Bank is a Dallas-based commercial bank serving Texas businesses including the Houston/Galveston corridor, competing with HomeTown for commercial and SMB relationships at a larger scale.
• Wells Fargo: Wells Fargo has extensive Texas Gulf Coast branch coverage and competes for retail deposits, mortgages, and small business banking across HomeTown's geography at greater scale.
• Amegy Bank (Zions Bancorporation): Amegy Bank, part of Zions Bancorporation, is a Houston-based commercial and community bank that competes directly with HomeTown across consumer, SMB, and commercial banking in the Texas Gulf Coast.
• JPMorgan Chase: JPMorgan Chase operates the largest US branch network with substantial Houston-area presence, competing for both consumer deposits and SMB relationships with a much broader product set.

Direct peers

• Prosperity Bancshares: Prosperity Bancshares is a Texas-based community bank holding company operating hundreds of branches across Texas, offering comparable deposit, lending, and small business banking services.
• Moody National Bank: Moody National Bank is a Galveston-headquartered community bank with overlapping geography, similar size profile, and shared Moody family board connections to HomeTown Bank.
• Frost Bank: Frost Bank is a Texas-headquartered community/regional bank with deep presence in the Houston–Galveston market, offering a similar relationship-banking model with consumer, mortgage, and SMB products.
• Independent Bank Group: Independent Bank Group operates community banks across Texas including the Houston metro, with consumer and commercial banking products that overlap with HomeTown's offerings and customer segments.

Market position

Strengths5 records

Weaknesses5 records

Competitive moat4 records

Key risks6 records

Key highlights6 records

Customer concentration

• Xx.com/hometownbankna
• Facebookfacebook.com/HomeTownBank
• LinkedInlinkedin.com/company/hometown-bank-n-a-
• Instagraminstagram.com/hometownbank

Compliance5 records

Revenue estimate

Valuation estimate

Number of profiles

Profiles13 records

Funding overview

Funding rounds

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 Hometown Bank