Health Savings Account (HSA) — First BanCorp

A Health Savings Account (HSA) with First BanCorp is a smart, flexible way to save for current and future medical expenses while enjoying tax advantages and long-term growth potential. Designed for individuals and families enrolled in a qualifying high-deductible health plan (HDHP), this HSA combines the immediate benefits of tax-deductible contributions with the long-term advantages of tax-free withdrawals for qualified medical expenses and potential investment growth. With clear account management tools, personalized service, and options to invest for the future, First BanCorp’s HSA supports both everyday healthcare needs and retirement planning.

Why choose a First BanCorp HSA?

• Triple tax advantage: Contributions are tax-deductible, earnings grow tax-deferred, and qualified withdrawals are tax-free.
• Control and flexibility: Funds belong to you — they roll over year to year and remain available even if you change employers or health plans.
• Investment potential: Save for short-term expenses or invest for long-term growth to help cover healthcare costs in retirement.
• Convenient access: Manage your account online, track expenses, and use debit access for qualified purchases when eligible.
• Personalized support: First BanCorp provides guidance on contribution limits, qualified expenses, and beneficiary designations to help you make informed decisions.

Key features

First BanCorp’s HSA is built to be both practical and strategic. Core features include:

• Eligibility: Available to individuals and families covered by a qualifying HDHP and not enrolled in Medicare or claimed as a dependent on another person’s tax return.
• Contribution flexibility: Make contributions year-round up to annual IRS limits. Contributions can come from you, your employer, or other third parties.
• Tax reporting and documentation: Receive clear year-end statements and tax forms to simplify tax filing and recordkeeping for medical expenses.
• Rollover and portability: Unused funds roll over automatically each year. Your HSA stays with you, even if you change jobs or insurance plans.
• Beneficiary designation: Name a beneficiary to ensure funds are handled according to your wishes in the event of death.

How funds can be used

HSA funds can be used for a wide range of qualified medical expenses, including deductibles, copayments, prescriptions, dental and vision care, and certain therapies and medical devices. Withdrawals for qualified expenses are tax-free. Non-qualified withdrawals are subject to income tax and may incur penalties if taken before age eligibility rules are met. First BanCorp provides guidance and resources to help you determine which expenses are eligible, and to maintain accurate records for tax purposes.

Investment options and long-term strategy

Beyond using HSA funds for near-term medical costs, many account holders choose to invest a portion of their balance to build a health care nest egg for retirement. First BanCorp offers investment‑linking options that allow eligible account balances to be invested in mutual funds or other vehicles, depending on the available program. Investing your HSA can potentially increase the purchasing power of your savings over time, helping to offset rising medical costs in later years. Speak with a First BanCorp representative to explore the specific investment choices and the account thresholds required to access them.

Fees, transparency, and security

First BanCorp is committed to transparent pricing and secure account management. Details about any applicable maintenance fees, transaction fees, or investment charges are provided up front so you can weigh costs against potential benefits. Robust online security measures protect your personal information and account assets, while clear statements and account alerts help you stay on top of activity and balances.

How to open and manage your HSA

Opening an HSA with First BanCorp is straightforward. Confirm your HDHP eligibility, review contribution limits for the current tax year, and gather basic personal and tax identification information. First BanCorp offers online tools to simplify enrollment, contribution scheduling, and account transfers. Once your account is open, you can conveniently contribute by payroll deduction (if offered by your employer), direct deposit, or one-time transfers. Online and mobile access allow you to review balances, monitor investment performance, and track reimbursements for qualified expenses.

Who benefits most from an HSA?

HSAs are ideal for individuals and families who want to pair a high-deductible health plan with a tax-advantaged savings vehicle. They are especially valuable for:

• Those seeking immediate tax savings through deductible contributions.
• People who want to build a long-term reserve for healthcare costs in retirement.
• Individuals who value account portability and long-term control over healthcare funds.
• Anyone aiming to optimize tax planning alongside prudent healthcare spending.

Why First BanCorp?

Choosing First BanCorp for your HSA means partnering with an institution that balances personalized service, digital convenience, and the tools needed to manage health care expenses intelligently. Whether you want to save for short-term medical needs, invest for future healthcare costs, or maximize tax-advantaged savings, First BanCorp’s HSA provides flexibility, clarity, and support every step of the way.

Make the most of your healthcare dollars — open an HSA with First BanCorp and take a proactive step toward financial health and peace of mind.

Address Bank: San Juan, Puerto Rico
Bank: First BanCorp
Headquarters: San Juan, Puerto Rico
Products: Retirement & Health
Type: Health Savings Account (HSA)