Health Savings Account
Our Health Savings Account (HSA) is a simple way to make the most of your health care dollars.
An HSA allows people with High Deductible Health Plans to pay for qualified medical expenses – such as prescription medication, doctor’s fees or dental care. In addition, contributions and earnings on your HSA carry over from year to year, letting you build up tax-advantaged savings for future medical expenses.
To find out if you qualify for an HSA, check with your insurance provider or employer.
Benefits
Our HSA is an interest-earning account offering a low $25 minimum opening deposit and no monthly maintenance fee.
Other benefits include:
- No set-up fee
- Free standard HSA checks
-
Easy access to your account via:
- Checks
- Debit card
- Online
- Automated Phone Banking
- Convenient local branch locations
Contributions & Distributions
You can make contributions to your HSA at any time. The federal government sets annual contribution limits and all contributions are considered to be made in the current year. You can even make a prior year contribution until April 15th of the current year.
You can make distributions – or withdrawals – from your account at any time. Customers are responsible for recording transactions* and making sure withdrawals are eligible. Merchants Bank doesn’t charge penalties for distributions; however, IRS penalties may apply.
If you are disabled, you may qualify for special distribution requirements. Check with your insurance provider to find out if you qualify.
*You cannot use your Health Savings Account for transactions that you will be reimbursed for by your insurance provider.
Connect With Us
Questions?
-
What can I use my HSA for?
What can I use my HSA for?
You can use your funds for doctor's bills, prescriptions, eye care and more.
-
Do I get separate checks and cards for this account?
Do I get separate checks and cards for this account?
Yes you get both checks and cards.
-
What happens if I spend it on the wrong things?
What happens if I spend it on the wrong things?
You are responsible for making sure any distributions from the account meet eligibility requirements. IRS penalties may apply if a distribution is not eligible.
-
What happens if I don’t use the funds?
What happens if I don’t use the funds?
Funds that aren't used can be rolled over into the following year.
-
Can I use my HSA for expenses I will be reimbursed for by my insurance company?
Can I use my HSA for expenses I will be reimbursed for by my insurance company?
No, you cannot use your HSA for any expenses you will be reimbursed for directly by your insurance company.
-
Do I need to live or work in Vermont to open an account or loan?
Do I need to live or work in Vermont to open an account or loan?
Merchants Bank opens accounts or loans for people living or working in Vermont or communities adjacent to our offices.
Online Bill Payment
Pay your bills and do your banking all from your computer–anytime of day or night, any day of the week. Try our free demo or sign up online today.
Bi-Weekly Mortgages
Make one half of your monthly mortgage payment every two weeks and you reduce your principal, interest paid and length of repayment. Learn more.
Mortgages
Our range of residential mortgages are maintained and serviced in-house-keeping our Vermont economy healthier. Check today’s rates and get started.