Fidelity HSA questions

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VictoriaF
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Fidelity HSA questions

Post by VictoriaF » Sun Oct 20, 2019 8:05 pm

I have an HSA account at the HSA Bank and I am considering moving my funds to another custodian. After seeing several recommendations of Fidelity, I have a few questions:

1. How easy is it to establish an HSA account at Fidelity?
- Right now, I have an IRA with them but no consumer accounts.

2. Does Fidelity charge any fees?
- HSA Bank is considered a low-fee provider, but they are charging me $2/month maintenance fee.

3. How easy is it to get reimbursed for out-of-pocket expenses?
- I don't use a debit card.
- I pay for my eligible expenses with credit cards, and then HSA Bank reimburses me via ACH to my bank.
- Does Fidelity have a similar feature?

4. Can I keep HSA funds in Fidelity Government Cash Reserves (FDRXX) currently yielding 1.64%?
- Are there any limitations on where HSA assets must be held within Fidelity?

5. Any other advantages or disadvantages of Fidelity?

Victoria
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Re: Fidelity HSA questions

Post by indexfundfan » Sun Oct 20, 2019 8:13 pm

VictoriaF wrote:
Sun Oct 20, 2019 8:05 pm
I have an HSA account at the HSA Bank and I am considering moving my funds to another custodian. After seeing several recommendations of Fidelity, I have a few questions:

1. How easy is it to establish an HSA account at Fidelity?
- Right now, I have an IRA with them but no consumer accounts.

2. Does Fidelity charge any fees?
- HSA Bank is considered a low-fee provider, but they are charging me $2/month maintenance fee.

3. How easy is it to get reimbursed for out-of-pocket expenses?
- I don't use a debit card.
- I pay for my eligible expenses with credit cards, and then HSA Bank reimburses me via ACH to my bank.
- Does Fidelity have a similar feature?

4. Can I keep HSA funds in Fidelity Government Cash Reserves (FDRXX) currently yielding 1.64%?
- Are there any limitations on where HSA assets must be held within Fidelity?

5. Any other advantages or disadvantages of Fidelity?

Victoria
1. It's as easy as opening any account.

2. It has the same fee schedule as a regular brokerage account, i.e. you can get free trades and the Fidelity Zero mutual funds. There are no monthly fees.

3. I haven't done any reimbursement but you can easily transfer the money out or get a debit card. Fidelity does not limit you from using your money; you are expected to track the qualified expenses yourself.

4. Sure, you can put your money into any investment. It's just like a regular brokerage account.

5. Fidelity has one of the best HSA offering. What are you wait for? :-)
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Re: Fidelity HSA questions

Post by BuddyJet » Sun Oct 20, 2019 8:57 pm

Withdrawals can’t currently be ACH online but you can write yourself a check.

https://www.fidelity.com/static/moneymo ... ways.shtml

I see it as a minor issue when looking at the other savings and wide investment options.
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Re: Fidelity HSA questions

Post by WildBill » Sun Oct 20, 2019 9:22 pm

Howdy

Moved my HSA from Optum to Fidelity about 6 months ago. Tired of the $3/mo continuing charge.

1 - Easy to do by opening account on line and asset transfer. Fidelity customer service is excellent and if any snag give them a call. My transfer of assets was seamless and transparent.

2 No fees

3 - Pull money out of the account to reimburse yourself. Sounds like the easiest way with your setup is to have them send you a check, but it depends on how you set it up. I do a transfer to my existing Fidelity MM fund in my taxable account.

4 - Any fund you want. I use their 0% ER index funds

5 Fidelity customer service, which I have always found to be excellent

W B
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Re: Fidelity HSA questions

Post by willthrill81 » Sun Oct 20, 2019 9:28 pm

I opened a Fidelity HSA this year and have done a couple of transfers from my employer-sponsored HSA with Health Equity. I haven't sought for reimbursement for expenses yet, but everything else has been as smooth as silk. I highly recommend them.
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Re: Fidelity HSA questions

Post by shepherd » Sun Oct 20, 2019 9:42 pm

Make sure you are prepared for a wait. I started the transfer process to Fidelity over 3 weeks ago from Benefit Wallet and it is still not complete. I believe the delay is only on the Benefit Wallet side.

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Re: Fidelity HSA questions

Post by NoblesvilleIN » Mon Oct 21, 2019 9:21 am

I moved my HSA to Fidelity a couple of years ago when the company I was working for changed providers (to Fidelity) and again in January of this year after I retired (the company sold the division I worked for in July 2019 and the new company used a different provider). I only worked 6 months for the new company prior to retirement. The transfer in January took a few weeks, all on PayFlex's side (the new provider). Fidelity was seamless.

The Fidelity HSA comes with a debit card that I use to pay providers. Now that I'm retired, I've started using the account for deductibles and prescriptions. I'm not sure of your aversion to debit cards, but this has worked for me. Note: I would normally use a credit card for the safety, but this in not available with any HSA that I am aware of. I have not tried any other form of payment. I have used the debit card at point of sale (prescriptions at the drugstore), on provider's websites (to pay my what insurance doesn't), and over the phone at a provider that only has PayPal on their website - I'm not comfortable adding my HSA debit card to our PayPal account. I have not tried to reimburse myself, I've always been able to pay the provider directly from the HSA in one form or another.

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Re: Fidelity HSA questions

Post by StandingRock » Mon Oct 21, 2019 9:29 am

shepherd wrote:
Sun Oct 20, 2019 9:42 pm
Make sure you are prepared for a wait. I started the transfer process to Fidelity over 3 weeks ago from Benefit Wallet and it is still not complete. I believe the delay is only on the Benefit Wallet side.
I transferred my HSA from a local credit union to Fidelity earlier this year and it went quick, just a few days. I agree that it is probably on Benefit Wallet side.

Overall the process was easy. I haven't taken any distributions. They sent me a debit card and I just assume I would use it to remove the money.

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Re: Fidelity HSA questions

Post by an_asker » Mon Oct 21, 2019 9:36 am

indexfundfan wrote:
Sun Oct 20, 2019 8:13 pm
VictoriaF wrote:
Sun Oct 20, 2019 8:05 pm
I have an HSA account at the HSA Bank and I am considering moving my funds to another custodian. After seeing several recommendations of Fidelity, I have a few questions:

1. How easy is it to establish an HSA account at Fidelity?
- Right now, I have an IRA with them but no consumer accounts.

2. Does Fidelity charge any fees?
- HSA Bank is considered a low-fee provider, but they are charging me $2/month maintenance fee.

3. How easy is it to get reimbursed for out-of-pocket expenses?
- I don't use a debit card.
- I pay for my eligible expenses with credit cards, and then HSA Bank reimburses me via ACH to my bank.
- Does Fidelity have a similar feature?

4. Can I keep HSA funds in Fidelity Government Cash Reserves (FDRXX) currently yielding 1.64%?
- Are there any limitations on where HSA assets must be held within Fidelity?

5. Any other advantages or disadvantages of Fidelity?

Victoria
1. It's as easy as opening any account.

2. It has the same fee schedule as a regular brokerage account, i.e. you can get free trades and the Fidelity Zero mutual funds. There are no monthly fees.

3. I haven't done any reimbursement but you can easily transfer the money out or get a debit card. Fidelity does not limit you from using your money; you are expected to track the qualified expenses yourself.

4. Sure, you can put your money into any investment. It's just like a regular brokerage account.

5. Fidelity has one of the best HSA offering. What are you wait for? :-)
+1 for each response (including #3).

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Re: Fidelity HSA questions

Post by an_asker » Mon Oct 21, 2019 9:38 am

shepherd wrote:
Sun Oct 20, 2019 9:42 pm
Make sure you are prepared for a wait. I started the transfer process to Fidelity over 3 weeks ago from Benefit Wallet and it is still not complete. I believe the delay is only on the Benefit Wallet side.
The transfer process is not the same as setting the account up, which can be done with a zero balance within a day (or at worse, a few days - I don't recall it taking too long, but cannot guarantee it happened in a day).

Transfers do take a couple of weeks or so.

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Re: Fidelity HSA questions

Post by oldcomputerguy » Mon Oct 21, 2019 9:50 am

VictoriaF wrote:
Sun Oct 20, 2019 8:05 pm
I have an HSA account at the HSA Bank and I am considering moving my funds to another custodian. After seeing several recommendations of Fidelity, I have a few questions:

1. How easy is it to establish an HSA account at Fidelity?
- Right now, I have an IRA with them but no consumer accounts.
If you already have an account at Fidelity, it's very easy. Just log in as you normally would, then go to this link. They pull your personal information over from your existing account(s), so you just have to confirm it, then work your way past the "I have read and understand the Terms ..." steps, and you're done.

I believe Fidelity can also help you pull an existing HSA over from another provider, although I haven't yet personally tried this.
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Re: Fidelity HSA questions

Post by oldcomputerguy » Mon Oct 21, 2019 9:52 am

NoblesvilleIN wrote:
Mon Oct 21, 2019 9:21 am
The Fidelity HSA comes with a debit card that I use to pay providers.
Did they send this to you automatically, or did you have to request it? I have had an HSA set up at Fidelity since early this year, but I have never received a debit card on the account. (I do have one associated with my CMA, though.)
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Re: Fidelity HSA questions

Post by RickBoglehead » Mon Oct 21, 2019 9:53 am

oldcomputerguy wrote:
Mon Oct 21, 2019 9:52 am
NoblesvilleIN wrote:
Mon Oct 21, 2019 9:21 am
The Fidelity HSA comes with a debit card that I use to pay providers.
Did they send this to you automatically, or did you have to request it? I have had an HSA set up at Fidelity since early this year, but I have never received a debit card on the account. (I do have one associated with my CMA, though.)
You have to request it. I don't want it, so I haven't asked for it.
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Re: Fidelity HSA questions

Post by oldcomputerguy » Mon Oct 21, 2019 9:59 am

RickBoglehead wrote:
Mon Oct 21, 2019 9:53 am
oldcomputerguy wrote:
Mon Oct 21, 2019 9:52 am
NoblesvilleIN wrote:
Mon Oct 21, 2019 9:21 am
The Fidelity HSA comes with a debit card that I use to pay providers.
Did they send this to you automatically, or did you have to request it? I have had an HSA set up at Fidelity since early this year, but I have never received a debit card on the account. (I do have one associated with my CMA, though.)
You have to request it. I don't want it, so I haven't asked for it.
Thanks. I don't need it either, just wanted to make sure there wasn't a card floating around out there that we were supposed to receive but didn't. (My wife's HSA provider sent her a MasterCard debit card to access her HSA, and we have yet to use it. It's sitting in the safe.)
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Re: Fidelity HSA questions

Post by tfb » Mon Oct 21, 2019 10:39 am

NoblesvilleIN wrote:
Mon Oct 21, 2019 9:21 am
I'm not sure of your aversion to debit cards, but this has worked for me.
Sometimes the amount gets adjusted. If you are paying at the time of service and it turns out to be an overpayment, getting the money back to the HSA can be a hassle. So it's better to pay by other means, let the dust settle, and then reimburse yourself.
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Re: Fidelity HSA questions

Post by LawyersGunsAndMoney » Mon Oct 21, 2019 11:07 am

shepherd wrote:
Sun Oct 20, 2019 9:42 pm
Make sure you are prepared for a wait. I started the transfer process to Fidelity over 3 weeks ago from Benefit Wallet and it is still not complete. I believe the delay is only on the Benefit Wallet side.
BenefitWallet to Fidelity took forever for me.

Also FYI, if you're using BW for pre-tax employer money and then transfering to Fidelity, BW will close your account automatically if it drops below a certain amount (I believe it was $100).

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Re: Fidelity HSA questions

Post by NoblesvilleIN » Mon Oct 21, 2019 12:12 pm

tfb » Mon Oct 21, 2019 11:39 am

NoblesvilleIN wrote: ↑Mon Oct 21, 2019 10:21 am
I'm not sure of your aversion to debit cards, but this has worked for me.

Sometimes the amount gets adjusted. If you are paying at the time of service and it turns out to be an overpayment, getting the money back to the HSA can be a hassle. So it's better to pay by other means, let the dust settle, and then reimburse yourself.
Ah... I see your point. Other than the dentist (which I'm not using the HSA for at this time) and the drugstore (which gets the cost from insurance at time of filling the prescription), I've not had to pay at time of service. The doctors (primary and a specialist), lab, and image center that I have used all bill me after the insurance has made their adjustments. With the ACA HDHP that I'm on, I've not run into copays yet. Even with 4 doctor's visits (2 med checks and 2 follow-ups with the specialist) per year, 4 blood draws and 2 imagings; I'm under $2,000 after adjustments (deductible is around $6,500). I count myself very lucky.

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Re: Fidelity HSA questions

Post by fujiters » Mon Oct 21, 2019 12:31 pm

tfb wrote:
Mon Oct 21, 2019 10:39 am
NoblesvilleIN wrote:
Mon Oct 21, 2019 9:21 am
I'm not sure of your aversion to debit cards, but this has worked for me.
Sometimes the amount gets adjusted. If you are paying at the time of service and it turns out to be an overpayment, getting the money back to the HSA can be a hassle. So it's better to pay by other means, let the dust settle, and then reimburse yourself.
Also, a minimum of 2% back when paying with credit card.
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Re: Fidelity HSA questions

Post by pyld76 » Mon Oct 21, 2019 1:22 pm

VictoriaF wrote:
Sun Oct 20, 2019 8:05 pm
I have an HSA account at the HSA Bank and I am considering moving my funds to another custodian. After seeing several recommendations of Fidelity, I have a few questions:

1. How easy is it to establish an HSA account at Fidelity?
- Right now, I have an IRA with them but no consumer accounts.

2. Does Fidelity charge any fees?
- HSA Bank is considered a low-fee provider, but they are charging me $2/month maintenance fee.
My understanding it that it is “free as in beer” for the account and the fees you pay are identical to a Fido brokerage account in all other respects. I’ve never paid them so much as commission (before that became moot). I can’t speak to the ease of opening the account as mine was “batched” by my megacorp.
VictoriaF wrote:
Sun Oct 20, 2019 8:05 pm

3. How easy is it to get reimbursed for out-of-pocket expenses?
- I don't use a debit card.
- I pay for my eligible expenses with credit cards, and then HSA Bank reimburses me via ACH to my bank.
- Does Fidelity have a similar feature?
Fido will provide you a debit card on your request. You can skip requesting one. Despite some inaccurate advise upthread, you can have Fidelity reimburse you by ACH/EFT and/or by paper check (my source is having personally done both. The link above actually supports this when read it it’s entirety, to wit the part about “ In addition to transferring funds online” is referring to ACH to your bank account).

VictoriaF wrote:
Sun Oct 20, 2019 8:05 pm
4. Can I keep HSA funds in Fidelity Government Cash Reserves (FDRXX) currently yielding 1.64%?
- Are there any limitations on where HSA assets must be held within Fidelity?
You can keep funds in anything you can hold in a Fido brokerage account. I don’t know if you can use the fund you reference as the sweep and/or cash management fund in the HSA. My employer funded HSA requires the HSA “sweep” be kept in an FDIC ensured “cash management” account. This might not be the case for individually registered HSAs.
VictoriaF wrote:
Sun Oct 20, 2019 8:05 pm

5. Any other advantages or disadvantages of Fidelity?

Victoria
You can hold basically any asset, including basically any low cost ETF, Fidelity’s zero cost funds, treasuries, etc for free. They also do bill pay from the HSA should you want to do so.

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Re: Fidelity HSA questions

Post by aristotelian » Mon Oct 21, 2019 2:02 pm

BuddyJet wrote:
Sun Oct 20, 2019 8:57 pm
Withdrawals can’t currently be ACH online but you can write yourself a check.

https://www.fidelity.com/static/moneymo ... ways.shtml

I see it as a minor issue when looking at the other savings and wide investment options.
The first sentence of that link is "In addition to transferring money online..."

I would add +1 to all that has been said. Fidelity HSA is genuinely no fee and easy to set up. If you are going to get charged any outgoing transfer fees, you might ask Fidelity to reimburse you. It worked for me.

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Re: Fidelity HSA questions

Post by anon_investor » Mon Oct 21, 2019 4:03 pm

aristotelian wrote:
Mon Oct 21, 2019 2:02 pm
BuddyJet wrote:
Sun Oct 20, 2019 8:57 pm
Withdrawals can’t currently be ACH online but you can write yourself a check.

https://www.fidelity.com/static/moneymo ... ways.shtml

I see it as a minor issue when looking at the other savings and wide investment options.
The first sentence of that link is "In addition to transferring money online..."

I would add +1 to all that has been said. Fidelity HSA is genuinely no fee and easy to set up. If you are going to get charged any outgoing transfer fees, you might ask Fidelity to reimburse you. It worked for me.
Curious if you had other assets at Fidelity or were you just transferring the HSA? To see if it was your large existing account or just the HSA transfer that help you get the fee reimbursed by Fidelity.

Also, was that fee put back into your HSA, or separately issued to you in a taxable account?

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Re: Fidelity HSA questions

Post by H-Town » Mon Oct 21, 2019 4:09 pm

BuddyJet wrote:
Sun Oct 20, 2019 8:57 pm
Withdrawals can’t currently be ACH online but you can write yourself a check.

https://www.fidelity.com/static/moneymo ... ways.shtml

I see it as a minor issue when looking at the other savings and wide investment options.
This is not true. I transfer funds out of HSA via ACH pretty easily. See number 4 in the link you provided.

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Re: Fidelity HSA questions

Post by aristotelian » Mon Oct 21, 2019 5:09 pm

anon_investor wrote:
Mon Oct 21, 2019 4:03 pm

Curious if you had other assets at Fidelity or were you just transferring the HSA? To see if it was your large existing account or just the HSA transfer that help you get the fee reimbursed by Fidelity.

Also, was that fee put back into your HSA, or separately issued to you in a taxable account?
No other assets at Fidelity and the account was only $10k at the time. However, this was within the first couple of weeks that they introduced the HSA program so it may have been a one time thing. It was definitely credited to the HSA because I dont have any other Fidelity accounts.

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Re: Fidelity HSA questions

Post by clammyhands » Mon Oct 21, 2019 6:02 pm

I switched over from HSA Bank to Fidelity a few weeks ago. I was being charged $5.50 per month by HSA bank, and it was starting to get annoying. When I opened the account with HSA Bank over 5 years ago, they seemed to be the lowest cost. I was thrilled to find that Fidelity was offering them.

With HSA Bank, I had a linked TDAmeritrade brokerage account. That was the most frustrating part of the transfer. All assets had to be liquidated. It doesn't seem like you have that problem. In addition, HSA Bank charged me a $25 account closure fee adding insult to injury. I'm glad to be out of there.

1. How easy is it to establish an HSA account at Fidelity?
- Super easy. The most difficult part was on HSA Bank's end due to the added complication of having a linked TDAmeritrade account. You don't have that problem it seems.

2. Does Fidelity charge any fees?
- None whatsoever

3. How easy is it to get reimbursed for out-of-pocket expenses?
-I haven't delved into this yet. I'm recording all of my out-of-pocket expenses with the intention of getting reimbursed much, much later in life.

4. Can I keep HSA funds in Fidelity Government Cash Reserves (FDRXX) currently yielding 1.64%?
- I believe my core account is in SPAXX within my HSA, but I don't have any cash in there to verify that. It's all tied up in investments.

5. Any other advantages or disadvantages of Fidelity?
-Their support is great. Much better than HSA Bank. It seems like they have less of the HSA bells and whistles that HSA Bank has (like medical receipt tracking, etc.) but I never used that stuff. I also love having all of my investment accounts in one shop. The HSA was always the outlier account given not many brokerages offer them.

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Re: Fidelity HSA questions

Post by anon_investor » Mon Oct 21, 2019 7:47 pm

aristotelian wrote:
Mon Oct 21, 2019 5:09 pm
anon_investor wrote:
Mon Oct 21, 2019 4:03 pm

Curious if you had other assets at Fidelity or were you just transferring the HSA? To see if it was your large existing account or just the HSA transfer that help you get the fee reimbursed by Fidelity.

Also, was that fee put back into your HSA, or separately issued to you in a taxable account?
No other assets at Fidelity and the account was only $10k at the time. However, this was within the first couple of weeks that they introduced the HSA program so it may have been a one time thing. It was definitely credited to the HSA because I dont have any other Fidelity accounts.
Interesting, something to at least ask about if I ever do transfer my HSA to fidelity, if I change jobs, since my employer currently pays for the monthly fee at Payflex and I have access to institutional shares of Vanguard index funds, no need to transfer right now.

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Re: Fidelity HSA questions

Post by jhfenton » Tue Oct 22, 2019 7:32 am

anon_investor wrote:
Mon Oct 21, 2019 7:47 pm
aristotelian wrote:
Mon Oct 21, 2019 5:09 pm
anon_investor wrote:
Mon Oct 21, 2019 4:03 pm

Curious if you had other assets at Fidelity or were you just transferring the HSA? To see if it was your large existing account or just the HSA transfer that help you get the fee reimbursed by Fidelity.

Also, was that fee put back into your HSA, or separately issued to you in a taxable account?
No other assets at Fidelity and the account was only $10k at the time. However, this was within the first couple of weeks that they introduced the HSA program so it may have been a one time thing. It was definitely credited to the HSA because I dont have any other Fidelity accounts.
Interesting, something to at least ask about if I ever do transfer my HSA to fidelity, if I change jobs, since my employer currently pays for the monthly fee at Payflex and I have access to institutional shares of Vanguard index funds, no need to transfer right now.
Fidelity also reimbursed a transfer fee for me, but I was also one of the first folks to transfer in. I opened my account the day after their announcement. If you read through the initial Fidelity HSA thread, they seemed to have a policy change after a few weeks and stopped reimbursing transfer fees. I don't know what their policy is now.

I tried, but I could not get them to give me any free trades to allow me to sell the existing ETFs and reinvest in Fidelity mutual funds. My HSA was about $50K, and my 401(k) is at Fidelity, but I didn't have any other assets there.

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Re: Fidelity HSA questions

Post by VictoriaF » Tue Oct 22, 2019 1:00 pm

NoblesvilleIN wrote:
Mon Oct 21, 2019 9:21 am
The Fidelity HSA comes with a debit card that I use to pay providers. Now that I'm retired, I've started using the account for deductibles and prescriptions. I'm not sure of your aversion to debit cards, but this has worked for me. Note: I would normally use a credit card for the safety, but this in not available with any HSA that I am aware of.
I don't have a strong aversion to debit cards and use them to withdraw cash from ATM when traveling. But one of my retirement hobbies is collecting miles and points on my credit cards. I pay for my health-related expenses with credit cards, earn points, and then get cash reimbursement from HSA Bank. It appears that I will be able to get cash back for my expenses from Fidelity, too, but in a different form.

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Re: Fidelity HSA questions

Post by VictoriaF » Tue Oct 22, 2019 1:11 pm

pyld76 wrote:
Mon Oct 21, 2019 1:22 pm
VictoriaF wrote:
Sun Oct 20, 2019 8:05 pm
4. Can I keep HSA funds in Fidelity Government Cash Reserves (FDRXX) currently yielding 1.64%?
- Are there any limitations on where HSA assets must be held within Fidelity?
You can keep funds in anything you can hold in a Fido brokerage account. I don’t know if you can use the fund you reference as the sweep and/or cash management fund in the HSA. My employer funded HSA requires the HSA “sweep” be kept in an FDIC ensured “cash management” account. This might not be the case for individually registered HSAs.

...
You can hold basically any asset, including basically any low cost ETF, Fidelity’s zero cost funds, treasuries, etc for free. They also do bill pay from the HSA should you want to do so.
Thank you for detailed responses. My question about using FDRXX was because brokerage companies have different offerings for 401(k) plans and direct investments, and I thought that there could be HSA-specific funds. I am glad that there are no restrictions.

Victoria
WINNER of the 2015 Boglehead Contest. | Every joke has a bit of a joke. ... The rest is the truth. (Marat F)

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Re: Fidelity HSA questions

Post by VictoriaF » Tue Oct 22, 2019 1:14 pm

aristotelian wrote:
Mon Oct 21, 2019 2:02 pm
Fidelity HSA is genuinely no fee and easy to set up. If you are going to get charged any outgoing transfer fees, you might ask Fidelity to reimburse you. It worked for me.
This is very helpful! HSA Bank's fee schedule shows a $25 fee for closing an account. I'll check if Fidelity would reimburse it. I guess I have to call them before setting up an account.

Victoria
WINNER of the 2015 Boglehead Contest. | Every joke has a bit of a joke. ... The rest is the truth. (Marat F)

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Re: Fidelity HSA questions

Post by VictoriaF » Tue Oct 22, 2019 1:19 pm

clammyhands wrote:
Mon Oct 21, 2019 6:02 pm
I switched over from HSA Bank to Fidelity a few weeks ago. I was being charged $5.50 per month by HSA bank, and it was starting to get annoying. When I opened the account with HSA Bank over 5 years ago, they seemed to be the lowest cost. I was thrilled to find that Fidelity was offering them.
...
Thank you for sharing your first-hand experience of switching from HSA Bank to Fidelity. It's very helpful,
Victoria
WINNER of the 2015 Boglehead Contest. | Every joke has a bit of a joke. ... The rest is the truth. (Marat F)

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Re: Fidelity HSA questions

Post by VictoriaF » Tue Oct 22, 2019 1:22 pm

jhfenton wrote:
Tue Oct 22, 2019 7:32 am
Fidelity also reimbursed a transfer fee for me, but I was also one of the first folks to transfer in. I opened my account the day after their announcement. If you read through the initial Fidelity HSA thread, they seemed to have a policy change after a few weeks and stopped reimbursing transfer fees. I don't know what their policy is now.

I tried, but I could not get them to give me any free trades to allow me to sell the existing ETFs and reinvest in Fidelity mutual funds. My HSA was about $50K, and my 401(k) is at Fidelity, but I didn't have any other assets there.
OK, now I am mentally prepared not to be reimbursed by Fidelity for the $25 HSA Bank account closing fee, but I'll try to talk to Fidelity anyway.

Victoria
WINNER of the 2015 Boglehead Contest. | Every joke has a bit of a joke. ... The rest is the truth. (Marat F)

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Re: Fidelity HSA questions

Post by dh » Tue Oct 22, 2019 1:44 pm

VictoriaF wrote:
Tue Oct 22, 2019 1:00 pm
NoblesvilleIN wrote:
Mon Oct 21, 2019 9:21 am
The Fidelity HSA comes with a debit card that I use to pay providers. Now that I'm retired, I've started using the account for deductibles and prescriptions. I'm not sure of your aversion to debit cards, but this has worked for me. Note: I would normally use a credit card for the safety, but this in not available with any HSA that I am aware of.
I don't have a strong aversion to debit cards and use them to withdraw cash from ATM when traveling. But one of my retirement hobbies is collecting miles and points on my credit cards. I pay for my health-related expenses with credit cards, earn points, and then get cash reimbursement from HSA Bank. It appears that I will be able to get cash back for my expenses from Fidelity, too, but in a different form.

Victoria
Hi, Victoria. Like you, I put everything on my credit card to receive the rewards. While I haven't yet, I will simply reimburse myself by moving the money from my Fidelity HSA to my checking account.

My HSA is the only account I have with Fidelity and I am happy with the ease of setting up my HSA.

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Re: Fidelity HSA questions

Post by clammyhands » Tue Oct 22, 2019 2:39 pm

VictoriaF wrote:
Tue Oct 22, 2019 1:22 pm
jhfenton wrote:
Tue Oct 22, 2019 7:32 am
Fidelity also reimbursed a transfer fee for me, but I was also one of the first folks to transfer in. I opened my account the day after their announcement. If you read through the initial Fidelity HSA thread, they seemed to have a policy change after a few weeks and stopped reimbursing transfer fees. I don't know what their policy is now.

I tried, but I could not get them to give me any free trades to allow me to sell the existing ETFs and reinvest in Fidelity mutual funds. My HSA was about $50K, and my 401(k) is at Fidelity, but I didn't have any other assets there.
OK, now I am mentally prepared not to be reimbursed by Fidelity for the $25 HSA Bank account closing fee, but I'll try to talk to Fidelity anyway.

Victoria
Per my note above, I transferred to Fidelity from HSA Bank a few weeks ago. Based on comments in this thread I called them this AM and asked to get the HSA Bank $25 closure fee reimbursed. They agreed to do it no questions asked!

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Re: Fidelity HSA questions

Post by Soaker » Thu Dec 19, 2019 10:53 pm

an_asker wrote:
Mon Oct 21, 2019 9:38 am
shepherd wrote:
Sun Oct 20, 2019 9:42 pm
Make sure you are prepared for a wait. I started the transfer process to Fidelity over 3 weeks ago from Benefit Wallet and it is still not complete. I believe the delay is only on the Benefit Wallet side.
The transfer process is not the same as setting the account up, which can be done with a zero balance within a day (or at worse, a few days - I don't recall it taking too long, but cannot guarantee it happened in a day).

Transfers do take a couple of weeks or so.
For a transfer from Further to Fidelity I did the online part over the Veterans Day weekend and mailed the associated paperwork to Fidelity on Tuesday, November 12.

Once the account was opened by Fidelity their transfer status page showed an Estimated Completion Date of December 23. I thought, well that must be the worst-case scenario.

My Further account was finally debited for the full amount on Tuesday, December 10, so four full weeks after my mailing date.

As of today, December 19, the Fidelity account continues to show a $0.00 balance with the Estimated Completion Date remaining December 23. I guess they have a pretty good idea how long that wagon train takes after all.

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Re: Fidelity HSA questions

Post by MotoTrojan » Thu Dec 19, 2019 11:26 pm

shepherd wrote:
Sun Oct 20, 2019 9:42 pm
Make sure you are prepared for a wait. I started the transfer process to Fidelity over 3 weeks ago from Benefit Wallet and it is still not complete. I believe the delay is only on the Benefit Wallet side.
I have been waiting a month, called Avidia bank, and was told they have no record of it. Fidelity is sending a follow up... frustrating after how quickly Vanguard and Apex (M1) were at transferring.

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Re: Fidelity HSA questions

Post by VictoriaF » Fri Jan 03, 2020 1:02 pm

Thank you, All, for your comments. Here is my report:

I waited until the year end to get all 2019 reimbursements from HSA Bank. Today, I have opened an HSA account with Fidelity. I logged on to my existing IRA account and open an HSA account. I followed Fidelity's menu options, but the link listed earlier in this thread, https://www.fidelity.com/open-account/a ... l-expenses , is even better. I requested to transfer my entire cash account from HSA Bank to Fidelity. To facilitate the process, I uploaded to Fidelity my recent HSA Bank statement.

The default fund to hold HSA money is Fidelity Government Cash Reserves (FDRXX), the fund I wanted to use.

Fidelity's on-line system showed that the transfer is expected to take 2 weeks to be completed by January 17, 2020.

I also requested to link the new Fidelity HSA account to my checking account in another institution for EFTs. Again, to facilitate the process, I uploaded to Fidelity my recent statement from that institution.

Fidelity's on-line system showed that linking an account will take 4-7 business days.

If everything goes well, by January 17th, my HSA money should be in the Fidelity HSA, and I can start making withdrawals into my checking to compensate for my out-of-pocket eligible expenses.

Victoria
WINNER of the 2015 Boglehead Contest. | Every joke has a bit of a joke. ... The rest is the truth. (Marat F)

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Re: Fidelity HSA questions

Post by rterickson » Tue Jan 14, 2020 5:56 pm

MotoTrojan wrote:
Thu Dec 19, 2019 11:26 pm
shepherd wrote:
Sun Oct 20, 2019 9:42 pm
Make sure you are prepared for a wait. I started the transfer process to Fidelity over 3 weeks ago from Benefit Wallet and it is still not complete. I believe the delay is only on the Benefit Wallet side.
I have been waiting a month, called Avidia bank, and was told they have no record of it. Fidelity is sending a follow up... frustrating after how quickly Vanguard and Apex (M1) were at transferring.
I wasn't super happy with my experience with Avidia Bank.

I retired October 1 and opened my rollover HSA at Fidelity the same day. My final HSA deposit was posted to Avidia from my October 5 paycheck, and I had to wait several days for the deposit to show up, per usual. On October 11 I transferred my investment balance to the cash side and waited for it to post, but 10 days later it was still missing. When I called Avidia, they didn't have any record of my transfer, but they did acknowledge that it was missing, and sure enough the money showed up a couple of days later.

I completed the transfer paperwork with Fidelity Nov. 5.

On December 5 Fidelity messaged my that there was an issue, and to contact them. When I did, they said Avidia needed to get direction directly from me. When I called Avidia, they denied any knowledge of the Fidelity request, and asked me to fax them the paperwork. A few days later, Avidia emailed me that they received the request, but it was not complete.

So I called Fidelity back and requested that they forcefully go after the account. They agreed to try.

On Dec. 30, Avidia completed the transfer to Fidelity. Then on Dec. 31 they deposited $1.91 in interest to my (old) Avidia account. :oops:
They also emailed me to let me know that if I wanted to close my account, I should complete and submit a non-existent form from their web portal.

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Re: Fidelity HSA questions

Post by Artsdoctor » Tue Jan 14, 2020 7:01 pm

VictoriaF wrote:
Fri Jan 03, 2020 1:02 pm
Thank you, All, for your comments. Here is my report:

I waited until the year end to get all 2019 reimbursements from HSA Bank. Today, I have opened an HSA account with Fidelity. I logged on to my existing IRA account and open an HSA account. I followed Fidelity's menu options, but the link listed earlier in this thread, https://www.fidelity.com/open-account/a ... l-expenses , is even better. I requested to transfer my entire cash account from HSA Bank to Fidelity. To facilitate the process, I uploaded to Fidelity my recent HSA Bank statement.

The default fund to hold HSA money is Fidelity Government Cash Reserves (FDRXX), the fund I wanted to use.

Fidelity's on-line system showed that the transfer is expected to take 2 weeks to be completed by January 17, 2020.

I also requested to link the new Fidelity HSA account to my checking account in another institution for EFTs. Again, to facilitate the process, I uploaded to Fidelity my recent statement from that institution.

Fidelity's on-line system showed that linking an account will take 4-7 business days.

If everything goes well, by January 17th, my HSA money should be in the Fidelity HSA, and I can start making withdrawals into my checking to compensate for my out-of-pocket eligible expenses.

Victoria
I'd be surprised if you encounter problems. We opened our HSA accounts at Fidelity at the beginning of last year, and then at the end of the year, transferred over my spouse's HSA from HSA Administrators without a glitch (Fidelity reimbursed the fee). Now, I've started the transfer of my HSA account from HSA Administrators to Fidelity.

It's easy to set-up checking account links at Fidelity. You might consider opening a brokerage account at Fidelity for your checking needs, although you might already have everything you need. You travel quite a bit so having an ATM card which has no service charges is always welcome. The more you keep at Fidelity, the more automated your transfers can be between accounts.

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Re: Fidelity HSA questions

Post by guitarman555 » Tue Jan 14, 2020 7:34 pm

I've had my HSA at Fidelity for over a year now and am happy. I don't use it to reimburse myself or anything at this point, I'm treating it like an untouchable IRA for the future, I save for my current medical expenses in a high yield savings. I have my entire HSA invested at Fidelity. I'm glad I don't have to pay any monthly fees for the "privilege" of investing, like I was going to have to do at my old HSA provider.

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Re: Fidelity HSA questions

Post by MotoTrojan » Sun Jan 19, 2020 2:03 pm

rterickson wrote:
Tue Jan 14, 2020 5:56 pm
MotoTrojan wrote:
Thu Dec 19, 2019 11:26 pm
shepherd wrote:
Sun Oct 20, 2019 9:42 pm
Make sure you are prepared for a wait. I started the transfer process to Fidelity over 3 weeks ago from Benefit Wallet and it is still not complete. I believe the delay is only on the Benefit Wallet side.
I have been waiting a month, called Avidia bank, and was told they have no record of it. Fidelity is sending a follow up... frustrating after how quickly Vanguard and Apex (M1) were at transferring.
I wasn't super happy with my experience with Avidia Bank.

I retired October 1 and opened my rollover HSA at Fidelity the same day. My final HSA deposit was posted to Avidia from my October 5 paycheck, and I had to wait several days for the deposit to show up, per usual. On October 11 I transferred my investment balance to the cash side and waited for it to post, but 10 days later it was still missing. When I called Avidia, they didn't have any record of my transfer, but they did acknowledge that it was missing, and sure enough the money showed up a couple of days later.

I completed the transfer paperwork with Fidelity Nov. 5.

On December 5 Fidelity messaged my that there was an issue, and to contact them. When I did, they said Avidia needed to get direction directly from me. When I called Avidia, they denied any knowledge of the Fidelity request, and asked me to fax them the paperwork. A few days later, Avidia emailed me that they received the request, but it was not complete.

So I called Fidelity back and requested that they forcefully go after the account. They agreed to try.

On Dec. 30, Avidia completed the transfer to Fidelity. Then on Dec. 31 they deposited $1.91 in interest to my (old) Avidia account. :oops:
They also emailed me to let me know that if I wanted to close my account, I should complete and submit a non-existent form from their web portal.
I had the same experience of Avidia needing to hear from me to process it. Finally got it through with several unhelpful emails. I’m dreading my next transfer; I’m going to research the annual distribution/contribution rollover (can’t recall exact name) and may try that next.

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