Thank you for the reply. I've been researching the topic more myself and found IRS Publication 969 which talks about trustee-to-trustee HSA transfers on page 7.
"If you instruct the trustee of your HSA to transfer funds directly to the trustee of another of your HSAs, the transfer isn’t considered a rollover. There is no limit on the number of these transfers. Don’t include the amount transferred in income, deduct it as a contribution, or include it as a distribution on Form 8889."
Fidelity HSA states its a non-reportable transfer as well.
My bank keeps insisting on these transfers as being rollovers as well but Fidelity received the money directly from the bank. I don't believe it meets the definition of a rollover. I don't want to report it as one because I made 3 trustee transfers last year and rollovers are limited to once a year.
