HSA Bank Fees

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HSA Bank Fees

Postby runnergirl » Wed May 01, 2013 9:35 am

Anyone using HSA Bank for their HSA? In January, I deposited $6450 into an HSA with them. I kept $5000 in a minimally paying savings account and transferred $1450 into their investment account with TD Ameritrade. I have been charged a monthly fee of $3 since then. My understanding was that $3000 in the savings account waives the $2.50 per month charge and that $5000 in the savings account waives the $3.00 investment account fee. I put in a call to them and haven't heard back.
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Re: HSA Bank Fees

Postby compounder » Wed May 01, 2013 11:15 am

My understanding was always that you need to maintain a daily balance of at least $3k in HSA Bank to avoid the fees and at least $5k daily balance in your HSA Bank TD Ameritrade investment account to avoid the fees. You're right though, it is not clear from the fees page. You might try calling again to plead your case.

http://www.hsabank.com/hsabank/Accounth ... sc_lang=en
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Re: HSA Bank Fees

Postby MoneyOCD » Wed May 01, 2013 11:23 am

That is interesting, I also thougt that $5k needs to stay in HSA bank to avoid all fees and have total 10k in 2 accounts earning nothing right now.

Please let us know what they will tell you.
If that is $3k in HSA bank and $5k in TDA - I need to transfer 2k more per account to ATD.
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Re: HSA Bank Fees

Postby billern » Wed May 01, 2013 11:33 am

I bet you got hit with the $3 fee for the first month since you started with less than $5K and that the fee in the first month reduced your balance below $5K for the remaining months.

The only month I got his with the $3 investment fee was the last month I had a balance under $5K on one day during the statement period.
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Re: HSA Bank Fees

Postby runnergirl » Wed May 01, 2013 12:04 pm

billern wrote:I bet you got hit with the $3 fee for the first month since you started with less than $5K and that the fee in the first month reduced your balance below $5K for the remaining months.

The only month I got his with the $3 investment fee was the last month I had a balance under $5K on one day during the statement period.


I didn't start with less than $5K though did I? I deposited $6450 in early January. A week or so later, transferred $1450 into TD-Ameritrade. Would that reduce my daily balance because I started at $0 in the first few days of the month? Confused as to "average daily balance."
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Re: HSA Bank Fees

Postby sperry8 » Wed May 01, 2013 12:22 pm

I emailed about this and they told me you needed $5k in both accts (HSA and TD) to waive fees. Their answer made no sense, since the website clearly discusses a $3k fee waiving fees.
Certainty is a requirement of ignorance.
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Re: HSA Bank Fees

Postby jhh9327 » Wed May 01, 2013 1:09 pm

billern wrote:I bet you got hit with the $3 fee for the first month since you started with less than $5K and that the fee in the first month reduced your balance below $5K for the remaining months.

The only month I got his with the $3 investment fee was the last month I had a balance under $5K on one day during the statement period.


I agree this is the likely answer. I was charged a fee the month my account opened. I do believe they give you a "zero" for any days of the month your account was not even open when calculating the average daily balance, which is annoying. I've always kept about $25 more than the minimums required since just in case they impose some fee (just or not) on my account.
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Re: HSA Bank Fees

Postby letsgobobby » Wed May 01, 2013 1:34 pm

I haven't had any TDA fees but I get the $3 HSA fee each month. I keep $5 in HSA and have about $3000 in TDA.

Yes, that's a painful 1% load over the course of my first year. What am I going to do about it? Keep $5000 or $3000 at HSA Bank earning nothing? That'll cost more than $36 in expected returns.
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Re: HSA Bank Fees

Postby Spirit Rider » Wed May 01, 2013 2:24 pm

It might be that the monthly fee is based on the average daily balance of an existing account cycle. Maybe the account cycle starts on the 1st or maybe the 10th. If you deposited well after the starting date of the cycle, your average daily balance could easily have been below $5K.
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Re: HSA Bank Fees

Postby Art Vandelay » Wed May 01, 2013 4:37 pm

runnergirl wrote:Anyone using HSA Bank for their HSA? In January, I deposited $6450 into an HSA with them. I kept $5000 in a minimally paying savings account and transferred $1450 into their investment account with TD Ameritrade. I have been charged a monthly fee of $3 since then. My understanding was that $3000 in the savings account waives the $2.50 per month charge and that $5000 in the savings account waives the $3.00 investment account fee. I put in a call to them and haven't heard back.


I am new to HSA Bank as well, and what you wrote was also my interpretation of the fee schedule. Coincidentally, I was also assessed $3 for the investment account for my first month with them, although my 'average daily balance' at HSA Bank was higher than the $5,000 threshold. I called to inquire and she refunded the fee. I hadn't considered though that the $5,000 minimum might be required to be held at TDA to avoid the investment fee, and $3,000 minimum at HSA Bank to avoid the monthly account maintenance fee. Looking back, I am pretty sure I hadn't transferred funds to TDA at that point. I currently have $5,000 at HSA Bank, and more than $5,000 at TDA, and haven't been assessed any further fees.

Edited to add: I just pulled up my statement, the month that I was assessed the $3 investment fee, I had all of my funds at HSA Bank, with an average daily balance greater than $5k. I hadn't yet transferred anything to TDA.

MoneyOCD wrote:
Please let us know what they will tell you.
If that is $3k in HSA bank and $5k in TDA - I need to transfer 2k more per account to ATD.


Same here.

Good luck!
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Re: HSA Bank Fees

Postby MooreBonds » Wed May 01, 2013 10:25 pm

letsgobobby wrote:I haven't had any TDA fees but I get the $3 HSA fee each month. I keep $5 in HSA and have about $3000 in TDA.

Yes, that's a painful 1% load over the course of my first year. What am I going to do about it? Keep $5000 or $3000 at HSA Bank earning nothing? That'll cost more than $36 in expected returns.


I've had an investment account and HSA account with HSA Bank for a few years, and always keep just a few dollars in cash in the account and the rest in the investment account to bring in a bit more income than the annoying $5.50/month in fees.
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Re: HSA Bank Fees

Postby cafranci » Thu May 02, 2013 1:18 pm

jhh9327 wrote:
billern wrote:I bet you got hit with the $3 fee for the first month since you started with less than $5K and that the fee in the first month reduced your balance below $5K for the remaining months.

The only month I got his with the $3 investment fee was the last month I had a balance under $5K on one day during the statement period.


I agree this is the likely answer. I was charged a fee the month my account opened. I do believe they give you a "zero" for any days of the month your account was not even open when calculating the average daily balance, which is annoying. I've always kept about $25 more than the minimums required since just in case they impose some fee (just or not) on my account.

This is right. It happened to me as well. I called and complained, and they acted surprised that I was upset about it but reversed the fee after some discussion. It's really not a great way to start a relationship with a customer, but they feel that the extra income is worth it, they don't know how to disable the fee easily, or few people complain. Maybe all of the above.
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Re: HSA Bank Fees

Postby runnergirl » Fri May 10, 2013 9:54 am

update - I talked to them and they reversed the fees for Jan-April. For some inexplicable reason, they refused to refund the fee for May. It was too much trouble to stay on the phone any longer so I didn't argue the $3. What's important is that the balance is now above $5000 and they will no longer charge fees as long as the balance is above $5000 in the savings account.
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