WATERBURY, Conn., Jan. 13, 2015 /PRNewswire/ -- Webster
Financial Corporation (NYSE: WBS), the holding company for
Webster Bank, N.A., today
completed its acquisition of the health savings account (HSA)
business of JPMorgan Chase Bank, N.A., a subsidiary of JPMorgan
Chase & Co. (NYSE: JPM). The transaction, announced on
September 23, 2014, solidifies HSA
Bank, a division of Webster Bank, as
a leading administrator and depository of health savings accounts.
Based in Sheboygan, Wis., HSA Bank
is one of the oldest, most experienced HSA providers in the
nation.
Webster acquired approximately 785,000 accounts, including
approximately $1.3 billion in
deposits and $185 million in other
assets under administration. Webster's HSA Bank division now has
approximately 1.6 million accounts with over $4 billion in assets under administration,
including $3.2 billion in deposits.
As a result of this acquisition and in alignment with its strategy,
HSA Bank has added key partnerships with multiple large employer
HSA clients as well as two of the five largest health insurance
providers in the U.S.
"HSA Bank has been a fast-growing source of deposits for Webster
with a 10-year compound growth rate of nearly 30 percent," said
James C. Smith, chairman and chief
executive officer of Webster. "The acquisition significantly
augments a source of stable, low cost, long duration deposits to
fund ongoing loan growth. HSA Bank employs industry-leading
technology that enables consumers to 'own your health' and provides
consumers, employers and insurance carriers an experienced,
reliable partner to assist them in managing health care costs."
Chad Wilkins, president of HSA
Bank, said, "We welcome our new accountholders, employers and
carriers to HSA Bank. Since pioneering health savings accounts in
2004, HSA Bank has earned a reputation as a leader in
consumer-directed health care by setting a high standard for
customer service and providing customers with a robust online
presence and a broad range of savings and investment options."
About HSAs – First marketed in 2004, HSAs increasingly
are finding favor among employers and consumers. As of
June 30, 2014, there were 11.8
million HSAs holding assets totaling more than $22.8 billion, increases of 29 percent and 26
percent, respectively, from a year earlier, according to Devenir,
an investment advisor and consultant. HSAs provide a tax-advantaged
way for consumers to pay and save for current and future medical
expenses. Besides being pre-tax, contributions to an HSA are fully
portable and can remain in the account and grow until withdrawn.
Eligibility to participate in an HSA is not subject to an income
ceiling. Annual contributions in 2015 are limited to $3,350 for an individual and $6,650 for a family. Withdrawals to pay for
qualified medical expenses are not taxable as income, and HSAs do
not require accountholders to take minimum annual distributions
upon reaching age 70 nor are they subject to ordinary income taxes
upon death.
About Webster
Webster Financial Corporation is the holding company for
Webster Bank. With $22 billion in assets, Webster provides business
and consumer banking, mortgages, private banking, trust and
investment services through 164 banking offices; 314 ATMs;
telephone banking; mobile banking; and the Internet. Webster Bank owns the asset based lending firm
Webster Business Credit Corporation; the equipment finance firm
Webster Capital Finance Corporation; and provides health savings
account trustee and administrative services through HSA Bank, a
division of Webster Bank
headquartered in Wisconsin. Member
FDIC and equal housing lender. For more information about Webster,
including past press releases and the latest annual report, visit
the Webster website at www.websterbank.com or follow us on LinkedIn
http://linkedin.com/company/webster-bank and Twitter
https://twitter.com/WebsterBank. For more information on HSA
Bank, visit www.hsabank.com.
Media
Contact
|
Investor
Contact
|
Bob Guenther,
203-578-2391
|
Terry Mangan,
203-578-2318
|
rguenther@websterbank.com
|
tmangan@websterbank.com
|
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SOURCE Webster Financial Corporation