How Balance Transfer Works: A 21st Century Patient Payment Option
As patients become more and more responsible for medical costs, they need payment options that won’t result in financial ruin. At the same time, health systems need to reduce their costs and drive better financial performance while providing patients with constructive solutions for meeting those financial obligations.
That’s what Balance Transfer from VisitPay does. It’s the patient payment option that meets the needs of patients and health systems today.
With VisitPay Balance Transfer, health systems have the option to keep patient financing receivables on their balance sheet or offload them, in a fully automated fashion, to a balance sheet provided by VisitPay through an exclusive partnership with J.P. Morgan.
Here’s how Balance Transfer works:
Based on policies established by their provider, patients can choose to make a payment-in-full for their medical services or choose a long-term financing plan that works for their budget.
When patients choose long-term financing, health systems then have the flexibility to customize the parameters under which each visit may be placed on a payment plan, and the terms offered.
Providers determine when patient obligations remain on their balance sheet, and when they move to VisitPay. These transfers can happen on an automatic, systematic basis. Not all assets have to be transferred either.
Payments can be debited from the patient’s transaction account and immediately brokered to either VisitPay or the provider depending on which entity is holding the underlying asset.
Regardless of which entity owns the debt, the patient billing experience remains branded in the provider’s name, building trust between the patient and provider.
Traditional approaches to off-balance sheet financing can mean high interest rates and servicing fees. Thanks to our unique relationship with J.P. Morgan, VisitPay Balance Transfer offers both low fees and low administration costs all while driving higher payment rates (yield) and significant reductions in bad debt for the provider. And because most of the finance plans are originated and managed directly by the patient in the VisitPay platform, the solution is incredibly efficient for the provider.
The results speak for themselves: health systems can see up to 30% increase in patient payments combined with a 40% jump in patient satisfaction.
By offering the kind of flexibility that suits a patient’s financial means, we help protect patients from collection calls and bankruptcy. At the same time, we improve hospitals’ bottom lines by boosting revenue and yield. And we do it all in a way that makes it easier for the entire health system to pursue its mission to deliver best-in-class care to patients.