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Fidelity HSA, anyone switch yet?

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  • Lithium Lithium 
    Participant
    Status: Physician
    Posts: 863
    Joined: 02/15/2016

    Saturna’s HSA transfer fee evidently went down from $75 to $35.  So I think I’ll be switching.  My devious plan was to keep $1 in a NTF mutual fund and trade it once a year to dodge the inactivity fee, but apparently there is a minimum required to get away with that.  So adios Saturna.

    #178441 Reply
     Andrew 
    Participant
    Status: Physician
    Posts: 39
    Joined: 12/02/2016

    I can not find reliable information on how to do transfer in kind. I was suggested I need to liquidate investment first.  So I am waiting for post.

    #178454 Reply
     GasFIRE 
    Participant
    Status: Physician
    Posts: 135
    Joined: 01/08/2018

    I can not find reliable information on how to do transfer in kind. I was suggested I need to liquidate investment first.  So I am waiting for post.

    Click to expand…

    Since we moved DW HSA from HSA Bank to Fidelity, I’ll take a stab at this. To do a transfer-in-kind at Fidelity you’ll need to fill out this form:

    https://www.fidelity.com/bin-public/060_www_fidelity_com/documents/customer-service/transfer-assets-to-fidelity.pdf

    We filled out this form in addition to the HSA application form. However, her HSA investment account was the Devenir Investment Account which had HSA Bank’s mutual fund investment menu, but it’s not a brokerage. That account had to be liquidated before transfer. OTOH, earlier in this thread WCI posted this:

    https://www.whitecoatinvestor.com/forums/topic/fidelity-hsa-anyone-switch-yet/page/3/#post-178432

    It looks like he was able to transfer in kind because his HSA Bank investment account used the TDA brokerage account. I’m sure his promised future blog post will be enlightening. Since both Devenir and TDA are options for your investment account at HSA Bank I’ll assume there are different rules for transfer in kind depending on which account you use.

    #178539 Reply
    Liked by adventure
     Mistborn 
    Participant
    Status: Physician
    Posts: 15
    Joined: 09/29/2018
    WCICon18

    Transferred from Lively/TDA in kind direct transfer, just had 3k in SPTM from 2018 contribution. Was quite easy, took about 2 weeks and this was over the holiday, I did have to call Fidelity about 1 wk in and tell them to Re-initiate the transfer then it worked fine. The initial txf is blocked by TDA until they get it ok’d with Lively, so Fidelity has to Re-initiate after that. I did get charged a $50 transfer fee from TDA, I emailed Lively today to see if it could be reversed.

    Just going to leave that money in SPTM for now may pay the $5 trading fee sometime to switch it. Put my 2019 money in today and placed it in FZROX. So easy to move money out of my Fidelity Cash Management account into the HSA and was available to invest the same day.

    #178542 Reply
     Andrew 
    Participant
    Status: Physician
    Posts: 39
    Joined: 12/02/2016

    I am 99% invested through HSA/TDA so i should be able to do transfer in kind.

    In the section number 2 ” Account Being Transferred” did you fill out  TDA or HSA account number??

    I have 100$ in cash in HSA rest is inveted in VTI through TDA. So i am not sure if i have to fill out 2 forms for HSA and TDA ??

    Thanks

    #178558 Reply
     Redwings13 
    Participant
    Status: Resident, Physician
    Posts: 14
    Joined: 09/05/2017

    I spoke with fidelity about a transfer of assests in kind from lively/TD Ameritrade. They said it shouldn’t be a problem, but the transfer won’t be complete until 1/9/19. I sent paperwork in early December. We will see. In other news, I did contribute to fidelity HSA for 2019, and chose FZROX as well.

    #178561 Reply
     Mistborn 
    Participant
    Status: Physician
    Posts: 15
    Joined: 09/29/2018

    You would need to transfer HSA and TDA separately or send the HSA money to TDA account first. To do in kinda transfer from TDA you use your TDA account numbers and just use the online tool through Fidelity.

    #178640 Reply
     Mistborn 
    Participant
    Status: Physician
    Posts: 15
    Joined: 09/29/2018

    Redwing if you haven’t called Fidelity recently, I would call them and check the status, most people have had to call and request the ly Re-initiate the transfer as the initial transfer is rejected by TDA. The Fidelity rep I got didn’t really know why it wasn’t going through but I just kinda guided him and told him he needed to Re-initiate the request and it then went through in about 5 business days

    #178641 Reply
     Redwings13 
    Participant
    Status: Resident, Physician
    Posts: 14
    Joined: 09/05/2017

    I called Fidelity again on 1/4 and had them re-initiate the request. I contacted lively today and they said they have received the request. I assume that the re-request to transfer is what actually made it move forward @mistborn. Thank you.

    #179366 Reply
     ginmqi 
    Participant
    Status: Physician
    Posts: 76
    Joined: 01/20/2016

    So happy to just hear about this news. (Wish I found out sooner since this happened back in november…I need to do better with keeping up with these kinds of news…)

    I’m running as fast as I can away from Optum and do a trustee to trustee transfer of my HSA over to Fidelity…and invest in their new 0-fee index funds and with the HSA triple tax advantage?!??!?!  Seems like a huge win!

    I’ve seen and read comparisons of HSA accounts for individuals and have been really saddened by the poor choices and am so happy that a big player in the investment industry have jumped into the individual HSA business and likely given their huge economies of scale…they can afford basically a no-fee HSA.

    It’s probably also a “loss leader” so to speak as they draw more people into Fidelity.

    #179952 Reply
     Mistborn 
    Participant
    Status: Physician
    Posts: 15
    Joined: 09/29/2018

    Fidelity certainly can’t be making much money in my HSA, strictly buying their us total zero fund FZROX, so no trading fees or expense fees at all. Likely some money made on security lending but that’s it l think.

    I emailed Lively about the TDA $50 txf fee a week ago, and magically $50 appeared in my now empty TDA account, that should just get sent over to Fidilety and my transfer will be completed.

    #180039 Reply

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