Speed up your practice’s collections: 23% pay within 24 hours

Traditional paper statements often sit unopened on kitchen counters for weeks, delaying payments and creating cash flow issues.

In the ever-evolving healthcare landscape, managing patient collections efficiently is crucial for practice sustainability. One of the most significant challenges medical practices face is promptly collecting outstanding balances from patients. NextPatient's text-to-pay feature offers a modern solution to this common problem. Based on recent implementation discussions with dozens of practices, we've compiled this guide to explain how the system works and best practices for implementation.

Forget monthly billing cycles and paper invoices, start collecting payments once claims are adjudicated.

What is NextPatient text-to-pay?

Text-to-pay is a digital solution that sends automated payment reminders to patients via text message and/or email. These messages include a secure link that patients can click to immediately pay their outstanding balances. The system integrates seamlessly with Nextech practice management software, making it easy to track and manage patient payments.

How text-to-pay works

Integration with Nextech

The system detects balances directly from Nextech, so there's no need for manual data entry or processing. To ensure accuracy, the system only sends notifications for balances that have either an adjustment or payment on file, meaning insurance claims have been processed.

Patient communication

When a balance is detected, the system automatically sends a notification to the patient. Practices can choose to send messages via:

• Text message
• Email
• Both (We recommended both as it increases legitimacy and patient response rates.)

Payment processing

When patients receive a notification, they can click the provided link and pay their balance immediately. Once payment is made:

• The payment is automatically recorded in Nextech
• It appears on the billing tab like any other credit card payment
• Payments can be automatically applied to the oldest outstanding balance

Key advantages

Approximately one in four patients pay their balance within a day of receiving a text message notification. This significantly reduces the need for paper statements, saving both time and money for your practice.

Implementation best practices

1. Use multi-channel communication

Send payment notifications via both text and email. This approach:

• Increases legitimacy in patients' eyes
• Provides multiple opportunities for the patient to see the notification
• Ensures delivery even if one method is overlooked

2. Customize your message

Personalize the notification message to include:

• Your practice name for easy identification
• Contact information for questions
• Reference to EOB (explanation of benefits)
• Mention of forthcoming paper statements (if applicable)
• Instructions for patients on an existing payment plan (if applicable)

3. Set appropriate message frequency

Consider how often you want to remind patients about outstanding balances:

• Every two weeks is reasonable for practices with significant outstanding AR
• Monthly reminders work well for the first 60 days, with increased frequency in month three
• Stop automated reminders at 90 days if you typically send accounts to collections at that point

4. Inform patients about the new system

To prevent confusion or concerns about scams:

• Add notifications on paper statements
• Have front desk staff inform patients during check-in and checkout
• Consider using highlighted or different-colored text on statements to draw attention
• Include practice branding in all communications

5. Use balance thresholds

Set minimum balance thresholds for sending notifications. For example, you can adjust settings to only send automated reminders for balances above $10.

6. Monitor and pause when needed

The system allows you to pause notifications for specific patients who:

• Are on payment plans
• Have disputed charges
• Have requested to stop receiving electronic reminders

Tracking success

NextPatient's text-to-pay feature includes reporting tools to help track effectiveness:

• View open balances awaiting notification
• See a history of sent notifications
• Track which patients have clicked payment links
• Run reports on payments made through the system

Implementation timeline

Implementation is straightforward and typically takes about two weeks:

1. Set up a connection between NextPatient and Nextech Pay
2. Import a small test batch of balances (typically the last week)
3. Review and confirm balances match what's in Nextech
4. Complete larger backfill (usually 90-120 days of balances)
5. Begin sending payment notifications

Results

For Dawes Fretzin Dermatology:

• 23% pay within 24 hours
• 30% pay within 10 days
  
  

NextPatient's text-to-pay feature offers a modern solution to the age-old problem of patient collections. By leveraging digital communication channels that patients use daily, practices can significantly improve cash flow while reducing administrative burden.

The system's integration with Nextech ensures accuracy and efficiency, while customizable messaging and frequency options allow practices to maintain their unique patient communication style.

For practices looking to reduce days in AR, decrease statement costs, and improve overall collection rates, text-to-pay represents a valuable addition to the patient billing toolbox.

If you’re using Nextech, we invite you to schedule a complimentary consultation with one of our product experts in your area. NextPatient solutions are backed by a 60-day guarantee – if you’re not completely satisfied, cancel your service.