Why was my Dependent Care claim used to repay a Denied Debit Card transaction from the Health FSA?

Your Health FSA and your Dependent Care FSA are indeed two separate accounts, and the funds are not combined. However, when a Health FSA Debit Card transaction has been denied and needs to be repaid, the amount due can be offset from an eligible Dependent Care FSA claim. It is as if the plan reimbursed you for your Dependent Care claim and then you took that money and repaid your employer from those funds for the money due to the Health FSA. This offset actually reduces work for you, because it removes the middle step and returns your Debit Card to active status.