[freebeard]

I had all my money in Iowa once because I did a nationwide search for the best rewards checking account, and it was West Bank (Iowa). No problem because I do all my banking online, and have my pay direct deposited. I've never even written a check (except in high school in a life skills class).

The interesting case is North Dakota

https://en.wikipedia.org/wiki/Bank_of_North_Dakota

Organization
Under state law, the bank is the State of North Dakota doing business as the Bank of North Dakota. The state and its agencies are required to place their funds in the bank, but local governments are not required to do so.

History
The Bank of North Dakota was established by legislative action in 1919 to promote agriculture, commerce and industry in North Dakota. Though initially conceived by populists in the Non-Partisan League, or NPL, as a credit union-style institution to free the farmers of the state from predatory lenders, the bank's functions were largely blocked by out-of-state financial actors refusing to buy the bonds the bank issued to finance its lending, lending that would have provided competition to the commercial banks. The business-backed Independent Voters Association then pursued shutting down the bank politically. The recall of NPL Governor Lynn Frazier effectively ended the initial plan, with BND taking a more conservative central banking role in state finance.

They tried.