Fiserv CU Processors Ready for HSA Rollout

BROOKFIELD, Wis. – As consumer demand for health savings accounts rises, Fiserv’s Credit Union & Industry Products Group is ready for the credit union rollout. Its seven core processors-AFTECH, CUSA Technologies, GalaxyPlus, IntegraSys, Summit Information Systems, USERS Incorporated and XP Systems-are offering HSA solutions that are fully integrated with the core system. The functionality enables credit unions to open and maintain HSAs, with most processors supporting a variety of account types, such as share drafts, money markets and certificates, as well as a variety of delivery vehicles, such as Internet banking and ATM and debit cards. The collaboration of its credit union processors on the design and specifications of the HSA functionality is part of Fiserv’s strategy of rolling out new products at the group level, offering tangible benefits to all Fiserv credit union clients. “By leveraging our development resources across the group, we’re able to respond more quickly to changing needs in the marketplace and help our credit union clients to remain competitive,” said Tom Neill, president of the Fiserv Credit Union & Industry Products Group. “We felt time to market was particularly important in the area of HSAs, which have the potential to help credit unions attract new deposits and strengthen and expand member relationships.” 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. Financial Research Corporation estimates there are currently 1.2 million HSA accounts representing $2 billion in assets, projecting total HSA assets to reach $48 billion by 2010. In a recent FRC survey, 34% of independent financial advisors reported recommending HSAs to their clients over the past 12 months.