Mercantile Bank Hsa

Mercantile Bank Hsa

What is an HSA?

A Health Savings Account (HSA) delivers added benefits to employees with an existing qualified high-deductible health insurance plan. Employees can use their HSA to support costs not covered by an existing employer-administered insurance plan. Prescriptions, co-pays and deductibles are just some of the eligible expenses that a Mercantile Bank HSA can help.

  • A Mercantile Bank HSA combines a bank account with a High Deductible Health Plan (HDHP) featuring an annual deductible.
  • The HDHP covers catastrophic illness and injury claims for individuals and their families.
  • The HSA is used to cover routine expenses until the deductible is met.
  • Both individuals and employers may contribute money to an HSA.
  • Balance of the account grows tax-deferred from year to year.
  • HSAs are fully portable and can move from job to job.

HSA Account Holders

Helping families manage healthcare costs.

Opening a Mercantile Bank HSA is a great first step for families and individuals seeking to control their own personal healthcare costs. Explore the many financial benefits you will realize when you open an HSA from Mercantile Bank.

Mercantile Bank HSA Products

HSA Checking Account: A checking/transactional account with tiered interest rates.


HSA Certificate of Deposit: A long-term savings option for those with less need for liquidity.

HSA Investment Account: Through a strategic partnership with Devenir, the national leader in HSA investment options, Mercantile Bank of Michigan is offering its HSA account holders the option of investing in several “best in class” mutual funds. The funds cover a variety of nationally recognized fund families and asset classes and are self-managed by the HSA account holder.*

*Investment options are not FDIC insured, may lose value, and are not guaranteed by the Bank.

Benefits of HSA


The many benefits of administering your own HSA make it the right choice for so many different people and scenarios. While every situation is unique, the following represent some of the key benefits associated with a Mercantile Bank HSA.

  • Ease of Contributions: Contributions can be made via direct deposit from your paycheck, making a contribution in person at any Mercantile Bank location, using our online banking tools to either deposit a check or make a transfer from another Mercantile account or by initiating an electronic transfer using Mercantile’s online banking from your bank account.
  • Ease of Withdrawals: Mercantile Bank HSA account holders receive a Mercantile Bank HSA debit card that can be used to cover eligible expenses from your healthcare provider just like traditional debit cards. Providers can swipe the card and the total of the eligible expenses are automatically deducted from your account. No transfers and no balancing accounts.
  • Ownership of Account: Unlike “Flex” accounts that are funded yearly and operate under a “use it or lose it” scenario, HSAs and the accumulated balance of funds remain the property of the employee and continually “roll over” every year without penalty or risk of loss. This way, HSA customers can increase the account balance by earning interest on funds that are not applied to a qualified medical expense.
  • Build on the Value of Your Account: Mercantile Bank HSAs provide some of the most competitive interest rates available.
  • Tax Advantages Abound: Contributions made to your HSA are 100% tax deductible just like an IRA (up to the legal limit). If your employer offers payroll deductions, you can make contributions to your account in pre-tax dollars when the allocated deduction is removed prior to taxes being applied. Contributions can also be made as an above-the-line deduction that allows you to reduce your taxable income by the amount you pay into your HSA saving you money every pay period. Please consult with your tax advisor regarding the tax benefits of Health Savings Accounts.
  • Going Mobile: Because you own your HSA plan, it follows you everywhere. Whether you are making a career change, moving to another state, or temporarily find yourself between jobs, the money in your HSA is yours to keep and apply toward all approved out-of-pocket healthcare costs you may incur.
  • Future Benefits: Even as you age and consider retirement, your HSA will deliver big dividends. HSA funds can be used toward qualified long-term care premiums as well as Medicare premiums and out-of-pocket expenses. Your funds can even be accessed to cover future living expenses after the age of 65 (taxed at your future income tax rates.)