Yes, if you have one of the following in place:

1) An eligible MCC code – An HSA/FSA card’s particular plan will define a list of eligible Merchant Category Codes (assigned to your business account, set by the card associations). These merchant categories are defined as health care providers because the services they offer are strictly health care related. MCC examples are below:

  • 5975 – Hearing Aids-Sales, Service, Supply Stores
  • 4119 – Ambulance Services (Dependent on Plan Administrator)
  • 5976 – Orthopedic Goods-Artificial Limb Stores
  • 7277 – Debt, Marriage, Personal-Counseling Service (Dependent on Plan Administrator)
  • 8011 – Doctors-not elsewhere classified
  • 8021 – Dentists, Orthodontists
  • 8031 – Osteopathic Physicians
  • 8041 – Chiropractors
  • 8042 – Optometrists, Ophthalmologists
  • 8043 – Opticians, Optical Goods, and Eyeglasses
  • 8049 – Chiropodists, Podiatrists
  • 8050 – Nursing and Personal Care Facilities
  • 8062 – Hospitals
  • 8071 – Dental and Medical Laboratories
  • 8099 – Health Practitioners, Medical Services-not elsewhere classified

2) 90% Registration – This registration must be completed with SIGIS Organization. This program is limited to drug stores or pharmacies (MCC 5912, 5122) that have stores whose gross sales are at least 90% from prescriptions and over the counter (OTC) eligible healthcare products. If you are interested in participating in the 90% Program, you will need to work with the SIGIS Organization directly for the registration process.

You can get more information at https://www.sig-is.org or contact them directly.

SIGIS Helpdesk Phone number : 925-855-3228

SIGIS Helpdesk Email address: help@sig-is.org

Inventory Information Approval System (IIAS)

Clover does not currently support the IIAS, which is an inventory system that sorts a customer’s basket at the POS into items eligible for HSA/FSA and items that are not. At any non-medical retailer (or one without an eligible MCC defined by the cardholder’s plan), IIAS compliance is required to accept HSA/FSA. IIAS applies to all mass, discount, grocery, chain drug, mail order and some pharmacy merchants. The IRS adopted this requirement in 2006.


HSA/FSA cards are prepaid debit cards (Visa and MasterCard) that can be accepted as Signature Debit or PIN Debit. The cards have no extra level of data associated with them, but they are associated as HSA/FSA to the networks.


Reference Site: https://help.clover.com/faq/will-i-be-able-to-accept-hsa-or-fsa-from-my-customers/

Why work with 1st Merchant?2022-03-13T16:45:21+04:00

At 1st Merchant, our primary goal is to earn your trust and become the last merchant services provider that your business will ever need. We are fully committed to providing the very best solutions and support that will help successfully grow and manage your business well into the future.

Do I have to sign a CONTRACT?2022-03-13T16:45:21+04:00

One of the most important questions about merchant services. There should not be any contracts locking you down. You should have the control of how and when you use a merchant service provider. Stay if you’re happy but leave when the customer service is not cutting it.

What credit cards or type of payment will I be able to accept?2022-03-13T16:45:21+04:00

You will be set up to accept Visa, Mastercard, Discover, American Express, Apple Pay, Google Pay, and Samsung Pay.

How long does the approval process take?2022-03-13T16:45:21+04:00

Process time is approximately 1 day after all required application information is received. Once approved, we will inform you and deliver your equipment.

What is a Point of Sale System?2022-03-13T16:45:21+04:00

A point of sale system typically consists of the software and hardware required not only to accept payments, but also to manage a business’s general day-to-day sales and processes.

Most point of sale systems will allow you to accept payments, process sales, run reports, track inventory, manage employees, reconcile tips and commissions, and even accept gift cards and set up loyalty programs.

Because point of sale systems usually encompass everything a business needs to manage their sale and payment processes, “merchant services” and “point of sale” are often used synonymously

What is a Credit Card Terminal?2022-03-13T16:45:21+04:00

If you’re accepting in-person payments, at the very least, you’ll need a credit card terminal—that is the physical device that you use to swipe, dip, or tap a credit card. This device will connect to your merchant service provider and will facilitate the process required for you to take, verify, and actually receive a payment. Credit card terminals come in a variety of shapes and sizes-from simple magstripe swipers to handheld terminals.

What is a Payment Gateway?2022-03-13T16:45:21+04:00

If your business is accepting online payments, you’ll need to get a payment gateway from a merchant service provider. A payment gateway is a piece of software that works with your website or e-commerce store and allows you to take and process secure credit card payments online.

What is a Merchant Services Provider?2022-03-13T16:45:21+04:00

A merchant services provider is a company that provides a variety of services and products all centered around accepting payments of all types. They set you up with a merchant account, sell terminals, install POS systems, help you fight chargebacks, give you online invoicing capabilities, sales data, and the works. Merchant services providers act as a liaison between your business and the world of payment processing. Ideally, they become your go-to resource for all things payment.

What are Merchant Services?2022-03-13T16:45:21+04:00

Merchant services are authorized financial services that allow a business to accept credit card, bank debit card or mobile payments; transactions using online ordering or point of sales systems.

Still have more Questions?
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