HSA bank selection

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ericinvest
Posts: 47
Joined: Sat Jun 14, 2014 10:57 am

HSA bank selection

Post by ericinvest » Wed Jan 17, 2018 11:36 pm

I'm planning to open an HSA account for 2018. Questions,
1. Do you have recommendation for custodian bank? I heard of Optum, BOA and HSA Bank, but am not sure which is better in terms of low admin fee, being easy to use (provide check & debit card etc), and having good investment options.
2. Can I use it as an investment account, i.e, I still pay medical expense out of pocket, but use HSA to grow the investment?
Thanks!

KATNYC
Posts: 433
Joined: Fri Apr 07, 2017 4:34 pm

Re: HSA bank selection

Post by KATNYC » Thu Jan 18, 2018 12:30 am

After significant research, we opened a family HSA with newcomer to HSA's Lively for a $2.50 per month fee (pro-rated based on when you open the account). The online features, investment options, transparent fees and simplicity of signing up and contributing funds was the driving factor. It's basically an investment vehicle since we have always and will continue to pay medical expenses out of pocket. Lively allows you to invest the very first dollar you contribute.

Other options for us were:
HSA Authority ($1,000 minimum to invest but you can invest 100%, higher fees than Lively)
Health Savings Administrators (higher fees than Lively, custodial fee and admin fee)

Signed up with Lively at 7:24 pm after a few questions were answered in chat.
Account was live same day at 11:25 pm.
I emailed about 2017 activation (asked in chat earlier how to do this) and then set up my second TD Ameritrade account (can be linked to primary TD account).
2017 activation was done by 11:33 pm.
When you sign up, in 2018, only a 2018 $6,900 contribution limit screen shows up.

I am checking with my employer to see if I can set up a payroll deduction for Lively to save on payroll taxes.
If not, I will schedule bank transfers. Options are weekly, biweekly and monthly. There are no specific date options to select i.e. January 18, January 29.

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Last edited by KATNYC on Thu Jan 18, 2018 1:56 am, edited 1 time in total.

ericinvest
Posts: 47
Joined: Sat Jun 14, 2014 10:57 am

Re: HSA bank selection

Post by ericinvest » Thu Jan 18, 2018 1:03 am

Thanks KATNYC! I saw Lively uses TD Ameritrade for investment, does it mean I need create a TD Ameritrade account, and Lively works as user interface with HSA features?

How do I use Lively to pay medical bills? Does it provide debit card and checks?

Thanks!

seawolf21
Posts: 177
Joined: Tue Aug 05, 2014 7:33 am

Re: HSA bank selection

Post by seawolf21 » Thu Jan 18, 2018 1:31 am

SelectAccount is $1/month and offers Schwab self directed (PCRA) but you need $11K minimum balance to open it. Schwab commissions also cheaper is trading equity/ETF.

KATNYC
Posts: 433
Joined: Fri Apr 07, 2017 4:34 pm

Re: HSA bank selection

Post by KATNYC » Thu Jan 18, 2018 1:49 am

ericinvest wrote:
Thu Jan 18, 2018 1:03 am
Thanks KATNYC! I saw Lively uses TD Ameritrade for investment, does it mean I need create a TD Ameritrade account, and Lively works as user interface with HSA features?

How do I use Lively to pay medical bills? Does it provide debit card and checks?

Thanks!
I opened a TD account via a Lively link. I already had a TD account but had to set up a second one, which I can link to my primary TD account.
You contribute to the Lively account and invest the funds via the TD account using the TD interface.
Lively sends a debit card. You also link your checking/savings account.

There is no need to log into Lively at all except to transfer new HSA money from Lively into the TDA account.
The HSA-TDA account is the same as any other TD account but you cannot directly deposit HSA money into it or directly withdraw HSA dollars from it.
Last edited by KATNYC on Thu Jan 18, 2018 3:03 pm, edited 1 time in total.

KATNYC
Posts: 433
Joined: Fri Apr 07, 2017 4:34 pm

Re: HSA bank selection

Post by KATNYC » Thu Jan 18, 2018 1:55 am

seawolf21 wrote:
Thu Jan 18, 2018 1:31 am
SelectAccount is $1/month and offers Schwab self directed (PCRA) but you need $11K minimum balance to open it. Schwab commissions also cheaper is trading equity/ETF.
$1,000 must always remain in your SelectAccount Base Savings Account.

jon7417
Posts: 23
Joined: Mon Jul 01, 2013 12:18 pm

Re: HSA bank selection

Post by jon7417 » Thu Jan 18, 2018 3:41 am

I use select account and keep 1k minimum required in cash and rest invested. Only $30/year for this option and i use VG Target Retirement in their basic investing account (not the Schwab brokerage option).


Jeep512
Posts: 38
Joined: Fri Oct 13, 2017 4:34 am

Re: HSA bank selection

Post by Jeep512 » Thu Jan 18, 2018 8:33 am

Another happy Lively owner. Moved there from my credit union just a few months ago. Pretty easy to signup.

aristotelian
Posts: 4027
Joined: Wed Jan 11, 2017 8:05 pm

Re: HSA bank selection

Post by aristotelian » Thu Jan 18, 2018 8:35 am

Very happy with Lively as well.

runner3081
Posts: 1253
Joined: Mon Aug 22, 2016 3:22 pm

Re: HSA bank selection

Post by runner3081 » Thu Jan 18, 2018 11:09 am

I have both Fidelity and ELFCU. No issues with either, minimal fees on both (none on the ELFCU with a 2.5K balance)

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