National City Bank Introduces New Health Savings Account for Individuals with High Deductible Health

CLEVELAND, November -- National City Corporation (NYSE: NCC) has announced the launch of a new retail Health Savings Account (HSA) product available for eligible customers with qualified high deductible health plans. An HSA is an account that provides customers with the convenience and flexibility to pay for healthcare expenses on a tax-advantaged basis. The National City HSA product will be available in National City bank branches, online at http://www.nationalcity.com and through the company's 24- hour customer service line. Late last year, the bank announced it would serve as the custodian to Medical Mutual's HSA-qualified High Deductible Health Plan offerings. Today's announcement signifies National City's expansion into a retail HSA product offering, allowing the company to leverage its strengths in product development, marketing and servicing to provide an additional financial solution to consumers.

"At National City, we believe in making things simple for consumers, and the flexibility these accounts provide is a natural fit for our philosophy," said David Bowen, senior vice president, Retail Product Management at National City." As consumers are offered more control over their healthcare choices, products like the National City HSA allow them to save for healthcare expenses with more confidence and greater convenience. Customers can now open HSA accounts in any National City bank branch, and this is yet another way we are able to serve as a trusted financial advisor and service provider."

HSAs were created as part of the Medicare Prescription Drug, Improvement and Modernization Act of 2003, which became effective January 1, 2004. An HSA works in conjunction with a high-deductible health insurance policy that provides comprehensive healthcare coverage at a lower cost. Once the deductible is met, the insurance policy begins paying medical expenses according to the benefit design.

The National City bank HSA product allows consumers to easily withdraw funds for their healthcare expenses, and all funds deposited into an HSA may be tax deductible and any earnings are tax-deferred. Deposits can be made on a pre- tax or tax-deductible basis, and withdrawals for qualified medical expenses are tax-free. In addition, funds left in the account at the end of the year can be rolled over to grow with any future contributions. With a $50 minimum opening deposit, customers have the ability to withdraw from the account at National City bank branches, online and by phone, as well as by using checks, a debit card or National City bank ATMs. The funds must be used for qualified medical expenses, but customers are not required to submit paperwork to receive reimbursement.

Bowen continued, "To enhance the flexibility the accounts offer, customers will be able to view their HSA account balance online through their National City online bank account. In addition, there are no setup fees, and customers can make unlimited transactions to and from their HSA account."

Customers also have the ability to make periodic deposits electronically or deposit through the ATM, any National City bank branch or by mail. Monthly statements will be mailed to help customers keep track of balances and transactions, and information will be available 24 hours a day through an automated phone system and online banking.

Consumers interested in more information about the National City HSA product can inquire at any National City bank branch, visit http://www.nationalcity.com/hsa or call 866-622-3946.

About National City

National City Corporation (NYSE: NCC), headquartered in Cleveland, Ohio, is one of the nation's largest financial holding companies. The company operates through National City bank branches primarily in Ohio, Illinois, Indiana, Kentucky, Michigan, Missouri and Pennsylvania, and also serves customers in selected markets nationally. Its core businesses include commercial and retail banking, mortgage financing and servicing, consumer finance, and asset management.