03/16/2016    Larry Huppin, DPM

Credit Card Guarantee (Eli Eisenberger, DPM)

Just as Labcorp does, we require all of our
patients to put a credit card on file (CCOF) if
we are to bill insurance for them. We have
required this of all patients for just over two
years. The only patients who do not put a credit
card on file are those self-pay patients who pay
in full at time of service.

Using a feature in our practice management system
(Athenahealth), once each year we swipe the
patient’s credit card. Athena’s credit card
partner (Elavon) stores the credit card
information securely. The patient signs a one-
year contract that gives us permission to bill
that card for any outstanding balances. This is
no different than having a hotel swipe your
credit card when you check in but not bill you
until you have checked out.

As soon as insurance has adjudicated their claim,
the patient receives an email informing them that
their credit card will be charged for the
remaining balance in 5 days. If they have any
issue with the bill they can contact us in that 5
day period. If not, their credit card is
automatically charged for the balance due after 5
days. The best part is that it requires no work
on our part once we swipe the card.

The advantages have been tremendous. We no longer
need to send out patient statements. Our average
days in AR for patient balances is 9 days from
the time the balance is transferred to the
patient. And essentially no staff time is spent
collecting patient balances.

Somewhat surprisingly, we have had very little
push-back from patients. They are given the
option to pay in full at time of service if they
do not wish to leave a credit card on file.

As high deductible plans become more common and
patient responsibility increases CCOF becomes a
critical component in running a medical practice
efficiently and profitably. For this reason,
every practice management system should have a
CCOF feature integrated into their programming.
If they don’t I would strongly suggest looking
for another system as a medical practice cannot
operate at its most efficient level without CCOF
functionality.

Disclosure: Other than being a customer, I have
no financial connection to Athenahealth.

Larry Huppin, DPM, Seattle, WA

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