Health savings accounts offer banks and credit unions the ability to capture low-cost, sticky deposits.
Financial institutions are missing out on core deposits because they can’t offer an HSA deposit product their customers love.
Banks leverage First Dollar's platform to quickly offer compliant HSAs, FSAs, HRAs, and LSAs within their existing digital experience.
A higher federal funds rate makes it more expensive for banks to lend money, which has downstream impacts on their revenue. Fewer consumers and businesses will take out loans (e.g., the recent housing market), and fewer mergers and acquisitions will occur.
With a higher federal funds rate, banks enjoy a higher yield from their deposits. However, deposit growth has slowed, even with recent increases. With a higher federal funds rate and a lower deposit growth rate, banks are looking for new deposit sources.
A mature HSA market has never experienced a high federal funds rate. Introduced in 2003 by the Medicare Modernization Act, HSAs have grown steadily year over year. With qualified expenses for withdrawals, HSAs offer today's banks the promise of low-cost, enduring deposits.
With its non-bank trustee status, First Dollar can help financial institutions offer an HSA while still holding the deposits on balance sheet.
We offer the full health wallet, which means you can compete and win benefit deals for FSAs, HRAs, HSAs, LSAs, and more.
Every Health Wallet and Health Wallet Manager event has an API, from the consumer experience to the administrative workflows and core bank functions.
Customize your Health Wallet solution with your logo, colors, sending domain, and brand identity—down to the last detail. Or don't! We support a variety of brand configurations.
We're here to help you win. That's why we offer Tier 1 and Tier 2 customer support options to meet your organization's needs.
