What if Lively HSA (or another new company) goes under? Is money safe?

[JK]

I currently have my HSA money through Lively based upon recommendations here at WCI and online (this was prior to Fidelity's new HSA offering). Currently I have $0 at Lively as it is all invested through Lively in the TDAmeritrade platform (much like several HSA companies do). I was curious, if Lively were to go bankrupt, is my money in TDAmeritrade "safe" since it is not currently held at Lively? And along the same lines, if I do end up keeping some money around at Lively that isn't invested, is that money subject to complete loss in bankruptcy? I'm just curious to know the bankruptcy rules as some of these newer companies are at higher risk for having issues than the Vanguards/Fidelitys/Schwab's of the world. Thanks!

[spiritrider]

All tax-advantaged contributions and earnings are held in trust accounts. They are not at risk of the custodian's creditors. This is true in your case whether they are held at Lively or TDA