New PayFlex PIN Requirement & Debit Card Activation

PayFlex recently announced changes in how employees will use their debit cards linked to their PayFlex accounts. These accounts include the health savings account (HSA), flexible spending account (FSA), health reimbursement arrangement (HRA), Dependent Care Account and Transit Account.

Employees will need to set up a Personal Identification Number (PIN)

Beginning April 1, 2013, debit cards may be used as “debit” or “credit,” per the Durbin Amendment, which will reduce the amount that merchants have to pay for credit card fees. (Currently, when consumers swipe the PayFlex Card® for payment, they must choose "credit." Under this new law, merchants and consumers have the choice of how they use debit cards.)

This means that merchants who accept debit cards can choose to process these cards as "debit," which requires a PIN to complete the transaction. As a result, each employee will need to obtain a PIN for the debit card. If an employee also has cards for a spouse and/or dependent, they will all use the same PIN as the employee.

This change applies in any location that accepts PayFlex Cards - pharmacies, doctors' offices, other health care locations, day care providers, etc.

To get a PIN, have employees call Card Services on or after April 1, 2013. The number is 1-888-999-0121. Once employees have their PIN, they can start to use it right away.

Beginning May 1, 2013, new New debit cards will not be pre-activated. If employees receive a replacement card (for example, if lost or stolen) on or after May 1, they will have to activate the card before using it. Each card will have an activation label with instructions. It will also have the toll-free number to call.

For any questions regarding this change, please have employees call Member Services (number is found on the back of their PayFlex Card).
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