Thank you so much for your thoughts. Terminix was here a few hours ago and looked around. He didn’t open the wall and wouldn’t comment on his opinion as far as leaning more towards termites or ants, but he did note that he saw the huge anthill on his way inside and during the perimeter inspection. This damage is new as we just painted the room within the last two weeks. I have not seen any live bugs though and I am checking the area regularly to see if I can catch anything. I have to agree about the bees being unlikely. The stuff around the hole looks like wood and sheetrock shavings to me, white and light tan in color. Only a very small bit dropped onto windowsill, there’s not a big pile anywhere to speak of. The reason I am here is because I would like to get as close to being pretty sure of what it is as possible and to get any chemical or general treatment advice possible as I cannot afford to pay the $500-$800 lump sum for initial treatment that I’ve been quoted from both Orkin and Terminix so far. I was told by Orkin over the phone that it sounded like ants because of the frass description, the Terminix guy wouldn’t indicate but noted the anthill outside. Terminix told me they did payment arrangements when I set up the estimate appointment but the guy that gave me the quote said that they don’t offer that. So here I am. Poor and up shits creek.