PayFlex Selects First Data for Healthcare Processing Services

PayFlex Systems USA, Inc, a leading administrator of health spending accounts and other tax-advantaged plans, has selected and completed integration with First Data Healthcare Services, part of First Data Corp. First Data will serve as PayFlex’s provider of processing services for its entire suite of healthcare accounts. First Data will deliver healthcare card services, including a state-of-the-art transaction card processing solution that provides a convenient and secure vehicle for members to access their fund contributions at the point of care. Research indicates that participation in healthcare spending accounts increases when the account is paired with a card solution. PayFlex offers a comprehensive approach to benefits administration and selected First Data in order to provide employers with greater flexibility and cost savings.

“Our relationship with First Data makes us a stronger organization and gives us many competitive advantages in the marketplace,” said Mark Huber, chief executive officer, PayFlex. “Our employer clients are continually seeking additional Debit Card product enhancements that add convenience for their card-carrying employees. This relationship enables us to be at the forefront of offering the latest technology that translates into added employer benefits.”

The combination of PayFlex’s expertise in benefit administration and First Data’s superior technology for healthcare processing provides employers with market-leading advancements in auto-substantiation; single-card access to multiple healthcare funds with an optional line of credit; and a seamless relationship providing end-to-end solutions. The PayFlex card will support enhanced features for spending accounts, including real-time pharmacy benefit management, co-pay and over-the-counter substantiation, complex purse prioritization and integration and a healthcare line of credit.

“We are excited to have PayFlex, one of the largest independent administrators of health spending accounts become one of our clients. PayFlex has an impressive list of employers that will now benefit from our combined services,” said Beverly Kennedy, president, First Data Healthcare Services. “We continue to act on our vision of simplifying healthcare processes and reducing administrative costs.”

“The new functionalities offered by First Data are not only very exciting to us, but important enhancements that will support our co-branding endeavors with those Health Plans and Third Party Administrators that choose to outsource and private label with us,” said Rob Butler, chief marketing officer, PayFlex.

The long-term agreement is effective immediately. First Data has begun processing services for PayFlex, including issuing cards, authorizing transactions and verifying account balances. Terms of the agreement were not disclosed.