Many credit unions aren't joining the Health Savings Account boom, and it could cost them dearly as regulatory pressures on fees fuel the need to beef up income from retail investment activities, one expert said.
Consumers are pouring money into HSAs, which allow people with high-deductible health plans to set aside pretax money to pay healthcare expenses. As of June, they hold over $28 billion in 14.5 million accounts, according to Minneapolis-based research firm Devenir. In 2014 alone, HSA assets jumped a full 25%.
Credit union members seem to want the accounts, too – credit union HSA assets spiked 28.9% in 2012, 23.7% in 2013 and 20.8% in 2014 – but just 810 credit unions actually offer them. Together they hold a combined $988 million, which was a mere 4% of the HSA market at the end of 2014, Devenir reported.
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