If you are a medical professional, there are many opportunities to secure financing for your patients. It gives them more flexibility and accessibility to the care they need. Instead of your patients struggling to pay or find a loan on their own, you can help them by giving a financing option that already works with your practice.
How Medical Financing Works
Medical financing is unique and not operated in the same capacity as typical financing.
For example, loans necessary to buy a car have different stipulations due to the values constantly changing. A car loan is distinct because the automobile serves as collateral to secure a loan. With a medical loan, they are often unsecured with no collateral involved since it is a procedure getting done and it is not a product a patient is purchasing.
That is why multiple types of financing are available, so your patients can use them to pay for their medical procedures. There are loans and payment plans they can get that are unsecured or put up collateral of their own to secure the necessary lending. That is important to understand if you want to help your patients secure financing because your practice needs to ensure patients get the right loan for their needs.
It is important to note that each lender carries diverse terms, APRs, and financing amounts, which means every lender will work differently with each patient and according to the procedure they need. If you start partnering your practice with a lender, you can see which ones will benefit your patients the most and give them the best options.
Get Patients Financing
If you want to get your patients financing options and plans, you can partner with providers specializing in it. When your patients need your services, you can offer them the option of using a loan or a payment plan.
The most common option you can offer your patients is a medical loan from many providers.
Practices are starting to partner with loan providers that can work with them and approve patients quickly for the necessary loans. Medical loans are helpful for your patients when they need assistance. Most of the time, medical loans can be approved faster and with fewer requirements since there might be an emergency at hand requiring an operation immediately.
You can partner with multiple lenders to get your patients the medical/personal loans for their requirements which can be anywhere from $5,000 to $100,000.
When offering loans, you must pay attention to each lender's requirements. If they have strict credit requirements or other challenging qualifying criteria, you might have to find a different lender for your patients. If you choose a lender that makes the process difficult, you might not help your patients as much as you want.
Another option that has become popular in healthcare financing is medical credit cards that patients can use exclusively for medical expenses.
Just like a standard credit card, your patients can charge their procedures to this card and choose to pay it off in one payment or over time. Medical credit cards do not differ much from loans but carry different interest rates and payment terms. Most of these credit cards have higher interest rates than loans, making it more difficult for users to pay off their debt over a long period. Also, some medical credit cards might have term limits on how long the borrower can pay off their debt, forcing your patients to pay it off faster than they actually can.
If your patients want to use these cards, your practice must set up an account to accept payments from them. Setting up an account with these lenders could be a good idea so you can take in more payment options from your patients and give them more flexibility. Give your patients more payment options so you can serve a larger demographic and deny fewer people to use your services.
The other financing plan you can offer to your patients instead of loans is payment plans.
Payment plans usually have a more effortless approval process than loans, making them more flexible than most loans. Loans are the typical option, but payment plans are the lesser-known option that is more helpful to most patients. You can partner with companies that offer payment plans to start helping your patients immediately.
Offering payment plans helps your patients because there’s less stress than a loan might cause them. Many practices offer payment plans on their own to their patients without using a third-party service. Although, that can be difficult to manage and expensive. Offering a payment plan means there is no money upfront besides the down payment, and you get paid when your patient makes their payments. That is something to consider when you want to start offering these plans to your patients, especially when there is help from a third-party service provider.
Similar to loans, you can partner with a company that helps organize these payment plans, so you do not have to for your patients. You can start financing them immediately by setting up these plans with custom terms while using a system like Denefits. With payment plans, your practice can begin to help more patients and turn lost opportunities into more revenue.
Why You Should Offer Financing
Most patients want to avoid financing their medical procedures out of their pockets. There are multiple other reasons to offer patient financing discussed below.
Changing Insurance Policies
Insurance policies change annually, so many of your patients will be paying out-of-pocket. Many policies only cover certain appointments, causing any additional/follow-up appointments to cost your patients money. If you offer services that will require multiple visits, financing solutions might be an option for you to suggest. When you have payment options, you will start helping your patients who may be worrying about what to do.
Growing Your Practice
Offering to finance all of your patients can change how your practice operates, creating more opportunities for you to grow. Offering financing options can help you set yourself apart from your competitors and become the number one choice for patients. On the other hand, if your competitors are already offering a financing option to their patients, you will never want to miss out on leveraging this opportunity for your practice.
Your patients will benefit from the financing plans you offer while you create more opportunities to gain revenue.
Quality Patient Care
When discussing financing, it is always about making it easier for people to pay for things when it is also about the care they are receiving.
When you can help your patients figure out how to pay for the necessary care, you will provide them with better service. They will stress less about paying while you worry less about collecting their money and focus on their treatment. With you and the patient at ease, it can be a smooth experience for both.
Patients hold quality care above everything else when they go to medical practice. When you are known for excellent care, people will tell their friends and families about it. Providing quality care and flexible payment options can make your practice a leading brand in your community.
Start Financing Every Patient
Since most patients require financing, you can start offering payment options to them by partnering with Denefits!
It is a financing software with complete payment solutions to help healthcare businesses and their patients. To be eligible for Denefits’ payment plans, your patients don’t have to go through any credit checks. Regardless of their financial situation, all patients are guaranteed financing.
Denefits has flexible terms and interest rates favorable for patients, giving options that work best for them. You can start financing all your patients for any procedure they need by integrating Denefits into your business.
Get started with Denefits today by downloading the app or visiting the website.