According to a new American Bankers Association (ABA) survey published February 19, Health Savings Accounts (HSAs) are gaining in popularity among community banks. Although more than half of the banks responding do not offer HSAs, almost 43 percent do offer them, representing a 31 percent increase over last year's survey.

The majority of survey respondents indicated that HSAs have not helped generate more banking relationships. However, almost half responded that HSAs do help retain customer relationships, which may help community banks maintain their competitiveness.

Greater participation by the banking community indicates a growing demand for HSAs, increasing acceptance of HSAs by the banking community, and greater availability of HSA account services for consumers. This trend should enhance the adoption of HSAs across the country. In fact, the ABA cites a recent Celent, LLC, report, "HSAs: Moving Beyond the Growing Pains," which predicts that over the next five years HSA growth will be between 40-50 percent, resulting in 12.5 million accounts by 2012.

Good news indeed for the consumer directed health care industry.