HSA Opportunity Still Knocking Will CUs Answer The Call?
WASHINGTON -- According to data collected by Callahan & Associates during the last quarter of 2007, the majority of credit unions still aren't offering Health Savings Accounts.
HSAs are tax-free savings accounts that can be used to pay for medical expenses including prescription and over the counter drugs incurred by individuals, spouses or dependents. These accounts are accompanied by high-deductible comprehensive insurance policies that cover preventive care and larger medical bills. Unused HSA money rolls over from year to year and can then be used to pay for medical care up to the plan's deductible.
As of 12/31/2007, 424 credit unions hold an average HSA account balance of $307,289.
Experts have been touting HSAs as the biggest service offering since IRAs with HSAs estimated to reach 11.2 million by 2010. Here is a look at the average HSA balance being held at those credit unions opting to offer the product.