Why Your Money Might Be Leaving Texas: New Podcast Exposes Deposit Drain

The latest episode of The Building Texas Show, hosted by Justin McKenzie, premieres October 21, 2026, with a sharp focus on whether Hill Country deposits stay local or flow to national banks. McKenzie sits down in Fredericksburg with John Wells, Market President for Texas Regional Bank, to explore where community money actually goes. Wells, who began his career at Chase and later worked at Compass Bank before building Texas Regional Bank’s Fredericksburg market over five years, draws a clear distinction between national and community institutions. “All that money, all the deposits that are going into those banks are going straight to New York,” Wells says, explaining that national banks funnel local deposits into large loans in Chicago, New York, and Los Angeles, rather than reinvesting in the community. He contrasts this with community lenders like Texas Regional Bank and Security State Bank, which put earnings back to work locally.

The episode, titled Why Your Money Might Be Leaving Texas (And Where It Goes), also examines Fredericksburg’s rapid evolution into a national destination, including the arrival of the Waldorf Astoria, while grappling with tourism-led growth beyond peaches, antiques, and German heritage. Wells and McKenzie discuss relationship banking versus rate shopping, the importance of keeping an attorney, CPA, and banker on speed dial, and local efforts to combat Hill Country brain drain through Fredericksburg ISD’s incubator and CTE programs, the Chamber’s role under Jim McCulla, and student pitches heading to the Texas Venture Fest in Mason. Wells, incoming chair of the Fredericksburg Chamber of Commerce, credits Dan Kemp and David Pedragon of Security State Bank as servant leaders who helped fund the Fredericksburg High School incubator, and points to Little League jerseys with hometown bank logos as a visible test of community backing. The conversation also touches on his wife’s work as sales director at Insight Gallery, the influx of remote executives from Austin and San Francisco, and the housing-affordability gap constraining young families. The episode is available on YouTube, Facebook, Instagram, LinkedIn, and all major podcast platforms.