Recent Issue with Purchases through CVS with FSA Funds
P&A Group was recently notified of a processing error made by CVS stores on FSA eligible items purchased between March 16, 2020 - April 16, 2020. The original transactions were never settled by cvs.com. What that means is that cvs.com submitted a pre-authorization request, which holds the amount for no longer than 5 days. After the 5 days are over, the authorization is automatically reversed, and the funds are no longer held.
CVS corrected the error by re-processing the payments on April 22 and April 23. As a result, participants will now see a new payment date reflected in their Flex accounts for purchases made between March 16 - April 16.
The issues this presents are:
- We have heard from some members who did not have a transaction on April 22nd or 23rd and are concerned about the activity. You may also receive calls from employees.
- The member may already have utilized all of their FSA funds and now there may not be FSA funds to pay for the transaction. NCFlex is working with P&A on how to handle these situations.
- When transactions are forced, the money may be taken out of the incorrect FSA account such as the carryover account or dependent daycare account. P&A will be working to fix the errors that may have occurred.