Having a Medical Collection Agency near you has no benefits.
A debt collector does not personally go to collect money from your patients, therefore it is immaterial if a patient receives Collection Calls or Letters that have originated from your own city or somewhere from California or New Jersey.
In-fact if you are limiting your search of a Collection Agency located near you, most likely you are missing out on hiring a Collection Agency that could have recovered a lot more money from your patients.
When you need to hire a plumber or a cleaner you go local, but do you know from which city do your monthly Electric or Phone statements are generated. Do you know from which city of America do you get a phone call regarding your Bank Account or regarding your upcoming Flight Status. Do you even care? Debt collection is one of the activity where physical location of the agency really does not matter.
Medical Collections is very tricky, the agency handling your accounts receivable should clearly understand the delicate nature of doctor-patient relationship. Collections should be made in a diplomatic, systematic and amicable manner, in an attempt to preserve the doctor-patient relationship.
Important requirement – Your medical collection agency should be licenced to collect in your state, and apart from English speaking collectors, they should have Spanish speaking debt collectors as well.
If all direct collection efforts fail and a lawsuit is advisable, then nearly all Collection Agencies have a nationwide network of experienced lawyers in pretty much every city of America. It is a part of their standard collections process. Contingency fees is disclosed in advance depending on the complexity of the case.
All medical collection agencies are required to follow all federal and state laws like the Fair Debt Collection Practices Act (FDCPA), Fair Credit Reporting Act (FCRA), Telephone Consumer Protection Act (TCPA) and Health Insurance Portability and Accountability Act (HIPAA) guidelines.
Apart from a higher recovery rate, ask if the collection agency has a secure online portal where you could submit new accounts, run reports and stop the recovery process of an account where a payment has been received. Are their call centers located in USA or in a foreign country. What all steps do they take to protect the personal data of your patients and if they have any 3rd party security certificates to prove that.
Bottom-line, if you are looking for a “Medical Collection Agency near me“, you will likely miss hiring the best debt collection agency in medical field.
In Medical Collections, demand letters sent by a Collection Agency are extremely effective and a low cost solution. Ask your medical collection agency if they offer Collection Letters service or not, they cost roughly $15 an account. Best suited for accounts less than 120 days past due.
Medical collections are relatively more prone to legal action from aggravated patients. To protect your medical practice from running into these lawsuits, your Collection should perform Litigious Patient check. It means if the patient has a history of suing Small Businesses or Medical Practices then the agency should appropriately advice you. Moreover, the agency should be fully insured to protect them-self and your practice in case a lawsuit is filed by a patient.
It is advisable to transfer an account to collections if a patient has not cleared their medical bill within 60 to 90 days and your own staff has not been successful to recover money during this time-frame. Most collection agencies will do intensive medical collections or report to credit bureaus only after 180 days due to various federal and state laws.