Effects of high-frequency cyclic loading on the banded ferrite–pearlite steel were analyzed through crack initiation and propagation. Interfaces of ferrite and pearlite colony with a small angle deviation from the loading axis were verified to be the most potential sites to fabricate the microcracks caused by the high strain gradient. The initial crack extension inside ferrite grain was driven by shear stress in model II along the direction with a 45° angle to the loading axis. Banded pearlite colony and the high-angle grain boundaries were considered as the dominant factors that promote the fatigue resistance of the material through arousing crack deflection in short crack propagation range and crack branching in long crack propagation range to reduce the crack propagation driving force in the crack tip. P–S–N curves were used to quantify the dispersion of fatigue lifetimes and evaluate the effect of elevated volume content of pearlite colony on the fatigue performance of the material.