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Frost Bank: 2022 Home Equity Review

Frost Bank is headquartered in San Antonio and was founded in 1868. It is one of the 50 largest banks in the US, with more than 4,700 employees and 170 financial centers.

Frost Bank logo with blue background

frost bank

Frost was ranked first in customer satisfaction in the JD Power Retail Banking Report for Texas. In addition to home loans, Frost offers banking and investment services, as well as other types of loans such as personal loans. Although Frost only serves customers in Texas, it offers competitive interest rates for its home equity loans and lines of credit with mortgage guarantee, or HELOC, for residents of the Lone Star State. To get a home loan with Frost, you must first open an escrow account with the bank.

Frost Bank: at a glance

Types of loans offered Home Equity Loan HELOC

annual interest rate range

From 5.75%

From 5.34%

loan amounts

From $2,000

From $8,000

credit score requirements



payment conditions

seven to 20 years

10-year draw, 10-year refund

average approval time



Frost Bank is best suited for Texas homeowners who don’t need a large loan. You can apply for a home equity loan or a HELOC with Frost, as long as it is for your primary residence. Mobile homes do not qualify.

Homeowners can borrow up to 80% of their home’s value when they get a home equity loan or HELOC with Frost Bank.

What we like

  • Minimum rates: Many of the bank’s fees are waived for home loan customers, such as application and prepayment fees.
  • Flexible payment options: You can choose to repay your home equity loan in various terms ranging from seven to 20 years, giving you more options that can fit your budget.
  • Auto Pay Discount: You’ll receive a 0.25% discount on your rate if you sign up for AutoPay and a Frost account.

what we don’t like

  • Limited Availability: Both the home equity loan and HELOC options are only available to homeowners in Texas.
  • You must be a Frost Bank customer: To qualify for a loan, you must join Frost and open a deposit account. You must also sign up for auto pay if you want the 0.25% discount.

Home Equity Loan Options

Frost Bank offers home equity and HELOC loans, as well as mortgages and refinancing. For both the home equity loan and HELOC options, the maximum amount you can borrow is 80% of the value of your home.


With Frost, there are no application, annual, or prepaid fees. The $15 monthly service charge for a bank account also does not apply to home equity loans or HELOCs.

how to rate

As mentioned, you need at least 80% available home equity to qualify for a home loan with Frost Bank. Your property must be in Texas and be your primary residence. Frost does not list its minimum credit score required, but most lenders prefer that you have a score of 700 or higher to receive the best rates. However, some lenders will accept lower credit scores depending on other financial factors, such as the amount of equity in your home.

In addition to your equity and credit score, you’ll need to show proof of income and have a reasonable debt-to-income, or DTI, ratio. Most lenders prefer a DTI ratio of 36% or less, but no more than 43%.


You will need to provide some basic personal information when you start your loan application. Applying online or by phone only takes 15 minutes, depending on the bank.

You will need to provide identifying information, including your contact information, government-issued identification, such as a state-issued driver’s license, and your Social Security number. You will also be asked to provide specific details about your income and household, so make sure your documents, such as pay stubs, homeowner’s insurance, and mortgage statements, are available.

Customer service

You can contact Frost Bank 24 hours a day, seven days a week by phone and on their website, or go to a local branch during business hours. When it’s time to close on your home equity loan (as long as it’s $500,000 or less), you’ll need to go to a physical branch to sign the paperwork, as required by Texas law.

Live phone support:

  • Home Loans: 866-376-7889
  • General inquiries: 800-513-7678

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