Banks that offer HSA accounts

Not every bank offers HSA accounts, and the ones that do often have different rules about fees, investment options, and minimum balances. The largest banks—Chase, Bank of America, Wells Fargo, and Citibank—do not offer HSAs directly. Instead, you will find HSA accounts through smaller regional banks, credit unions, and dedicated HSA custodians that specialize in these accounts.

The most common places to open an HSA are Fidelity, Lively, HealthEquity, and Optum Bank. These companies exist primarily to hold HSAs and other tax-advantaged accounts. Many employers also partner with one of these custodians and offer the account as part of their benefits package, which means you may already have access through your job without shopping around.

If you want to open an HSA on your own—outside of an employer plan—you can also use some regional banks and credit unions. Examples include Charles Schwab, Alliant Credit Union, and Connexus Credit Union, though availability and features vary by location and membership status. The key is to check whether the institution you choose charges monthly maintenance fees, requires a minimum balance, and offers the investment options you want.

Key Takeaways

  • Major national banks like Chase and Bank of America do not offer HSAs; you will need to use a dedicated HSA custodian, a smaller regional bank, or a credit union.
  • Fidelity, Lively, HealthEquity, and Optum Bank are the largest HSA providers and often available through employer health plans.
  • If your employer offers an HSA, that account is usually already set up with one of these custodians, so you may not need to shop for one yourself.
  • Monthly fees, minimum balance requirements, and investment options vary widely, so compare the specific account terms before opening.
  • Credit unions and regional banks may offer HSAs, but you will need to contact them directly to confirm availability in your area.

HSA custodians that operate nationwide

Fidelity is one of the largest HSA custodians in the United States. It offers HSA accounts with no monthly maintenance fee, no minimum balance requirement, and access to a wide range of investments including mutual funds and stocks. Fidelity accounts can be opened online, and the company provides a debit card for direct spending from your HSA balance.

HealthEquity is another major player, particularly common in employer plans. It charges no monthly fee for basic accounts and offers both a savings option (where money sits in a cash account) and an investment option (where you can buy mutual funds). HealthEquity also provides a debit card and a mobile app for tracking spending.

Lively, owned by Deseret Mutual Benefit Administrators, focuses on HSAs and has no monthly fees or minimum balance. Lively accounts come with a debit card and allow investments in mutual funds once your balance reaches a certain threshold, typically $1,000 to $2,000 depending on the investment option you choose.

Optum Bank, part of UnitedHealth Group, is frequently offered through employer health plans, especially those with UnitedHealthcare insurance. Optum accounts have no monthly fee and include a debit card. Investment options are available but may be more limited than at Fidelity or HealthEquity.

Regional banks and credit unions with HSA accounts

Charles Schwab offers HSA accounts to customers who meet certain requirements, typically including having a Schwab brokerage or bank account. Schwab HSAs have no monthly fee and provide access to stocks, mutual funds, and other investments. However, you will need to already be a Schwab customer or open a related account to use their HSA.

Alliant Credit Union, based in Illinois but open to members nationwide, offers HSAs with no monthly maintenance fee and no minimum balance. Alliant members can invest HSA funds in the credit union's investment options once the account reaches a certain balance. You must be a member of Alliant to open an HSA there.

Connexus Credit Union, also open to members nationwide, provides HSAs with no monthly fee. Like Alliant, Connexus requires membership before you can open an HSA account. Both credit unions are known for low fees and straightforward account structures.

Many smaller regional banks offer HSAs, but availability is limited to their service areas and membership base. If you bank locally, call your bank directly to ask whether they offer HSA accounts. Some banks partner with third-party HSA custodians, meaning your account is technically held by the custodian but managed through your bank's interface.

How to find the right HSA account for your situation

Start by checking whether your employer offers an HSA through a benefits plan. If so, the account is usually already set up with a custodian like HealthEquity, Optum, or Fidelity, and you simply enroll during your benefits enrollment period. This is the fastest route and often requires no shopping.

If you are self-employed or your employer does not offer an HSA, compare accounts based on three factors: monthly fees, minimum balance requirements, and investment options. Fidelity, Lively, and HealthEquity all have no monthly fees and no minimums, making them good starting points. If you want to invest your HSA funds rather than keep them in cash, confirm that the custodian offers mutual funds or other investments at a balance level you can reach.

Check whether the account comes with a debit card, since you will need one to pay for may be able to access medical expenses directly. Most major custodians include a debit card, but some regional banks or credit unions may not. Also verify that the custodian offers online account access and a mobile app if you plan to track spending or make transfers frequently.

If you already bank with a credit union or regional bank, ask whether they offer HSAs or partner with an HSA custodian. Using your existing bank can simplify account management, though it may not offer the same investment options as a dedicated HSA provider.

Fees and costs to watch for

Monthly maintenance fees are the most common cost. Most major custodians charge nothing, but some smaller banks or credit unions may charge $2 to $5 per month. Over a year, this adds up, so prioritize no-fee accounts if you have a choice.

Investment fees are separate from monthly maintenance fees. If you invest your HSA balance in mutual funds, you will pay the fund's expense ratio—the annual cost to hold that fund. This is typically 0.1% to 0.5% per year and is charged by the fund itself, not the HSA custodian. Compare expense ratios if you plan to invest.

Minimum balance requirements can lock you into keeping a certain amount in cash rather than investing. Some custodians require $1,000 to $2,500 in the account before you can invest the excess. If your HSA balance is small, this requirement may prevent you from investing at all. Fidelity and Lively have no minimums, so you can invest from day one.

Debit card replacement fees, wire transfer fees, and overdraft fees vary by custodian. Read the fee schedule before opening an account, especially if you plan to use the debit card frequently or transfer money between accounts.

Opening an HSA account outside of an employer plan

To open an HSA on your own, you must be enrolled in a high-deductible health plan (HDHP) and not covered by other health insurance that disqualifies you from HSA contributions. You will need to verify your HDHP enrollment with your insurance company or employer before applying.

Most custodians let you open an account online in 10 to 15 minutes. You will provide your name, Social Security number, address, and proof of HDHP coverage. Some custodians ask for a copy of your insurance card or a letter from your employer confirming your plan type.

Once your account is open, you can contribute money immediately. If you are self-employed or not covered by an employer plan, you will need to track your contributions yourself and report them on your tax return. Custodians do not automatically report self-directed contributions to the IRS, so keep records of all deposits.

If you open an HSA outside of an employer plan, you are responsible for ensuring you remain HSA-may be able to access throughout the year. If you lose your HDHP coverage or gain other health insurance that disqualifies you, you must stop contributing immediately. Contributions made after you lose may be able to access are subject to taxes and penalties.

Switching HSA custodians

You can move your HSA balance from one custodian to another through a trustee-to-trustee transfer. This process takes 5 to 10 business days and does not count as a withdrawal or contribution, so there are no tax consequences or contribution limits affected.

Contact the new custodian and ask them to initiate the transfer. Provide your current account number and the name of your current custodian. The new custodian will request your balance from the old custodian and deposit it into your new account. You do not need to withdraw the money yourself.

Some custodians charge a transfer fee of $25 to $50, though many waive this fee if you are moving a large balance. Ask about fees before you start the transfer. Once the transfer is complete, you can close your old account.

Frequently Asked Questions

Can I open an HSA with any bank?

No. Most large national banks do not offer HSAs. You will need to use a dedicated HSA custodian like Fidelity or HealthEquity, a smaller regional bank, or a credit union that specifically offers HSA accounts. Check with your bank directly if you are unsure.

Do I have to use the HSA my employer offers?

No. If you do not like the custodian your employer chose, you can open your own HSA with a different provider and contribute the same amount. However, if your employer contributes money to the account, you may need to use their custodian to receive those contributions. Ask your benefits administrator about this before switching.

What happens to my HSA if I change jobs?

Your HSA stays with you and belongs to you, not your employer. You can keep the account open with the same custodian, or you can transfer the balance to a new custodian if your new employer uses a different one. The money is always yours to keep.

Are there HSA accounts that do not charge any fees?

Yes. Fidelity, Lively, and HealthEquity all offer HSA accounts with no monthly maintenance fees and no minimum balance requirements. These are good choices if you want to avoid fees entirely. Some credit unions also offer no-fee HSAs, but availability depends on your location and membership.

Can I invest my HSA money, or does it have to stay in cash?

Most custodians let you invest your HSA balance in mutual funds, stocks, or other investments once you reach a certain balance, usually $1,000 to $2,500. Fidelity allows investments from day one with no minimum. If you want to invest, confirm the custodian offers this option before opening an account.