Safety of HSA Funds in Vanguard

[TromboneAl]

I have my HSA money invested with HSAAdministrators.com, and the money is in a Vanguard account.

Are these funds as safe as if I had invested directly with Vanguard?

Let's say HSAAdministrators goes bankrupt, would my money in the Vanguard fund be safe?

Thanks,

 

[Martha]

I have my HSA money invested with HSAAdministrators.com, and the money is in a Vanguard account.

Are these funds as safe as if I had invested directly with Vanguard?

Let's say HSAAdministrators goes bankrupt, would my money in the Vanguard fund be safe?

Thanks,

It looks like HSAAdministrators is just an administrator with Resource Bank as custodian of the funds. The funds are supposed to be held in trust for you by law so if one of these entities filed bankruptcy you would still be entitled to the funds. The problem would be if either HSAAdministrators or the bank misused your money, didn't put it in the Vanguard account, and your money is gone. Then you could be SOL.