Bad Debt Collection Solutions for Healthcare Professionals

Medical Bills 3As most healthcare providers are noticing, patients are increasingly becoming more responsible for a greater share of their medical expenses. This has led to a startling number of debts going to bad debt collection. Fortunately, the debt collection industry is able to assist healthcare professionals in recovering these funds.

Most people wouldn’t consider cash flow to be an issue at the doctor’s office, but that is increasingly the case with practices that don’t have bad debt collection solutions at the ready. The problem lies in the fact that while many more Americans are getting covered with insurance plans, too many of them are taking on insurance with low premiums and high co-pays. To combat the problem, more practices like yours are taking steps to get in front of the late payment behavior and establishing some guidelines to keep patients out of trouble.

Counseling at the point of service and getting more insights into the financial situation of each and every patient is a good start. You can no longer bill patients the way you once did. Why? Because patients were once only responsible for paying about six to 10 percent of their medical bills; now it’s as high as 20 percent on average. This means that as an industry, there are billions of dollars at risk.

Healthcare revenue directors are getting more creative in their billing practices in an attempt to keep accounts current. The proactive approach to billing patients includes contacting patients up to a week or more prior to their office visit and using various tools to determine their ability to stay on top of what they owe. Some have gone as far as bringing in teams of financial counselors to keep the payment planning on the right course.

Today’s billing strategy involves a lot more one-on-one action. Personal attention like this breeds better results. However, practices that get overzealous with their customer contact can be walking a thin line that some patients will perceive as badgering, which can lead to official debt collection practice complaints. Most states have regulators that will come down harshly on practices for overly aggressive collection practices, which is why professionals best handle bad debt collection efforts.

Healthcare providers are trying to give patients more control as well as a greater understanding of the charges on their bill. Patient portals offer a more insightful look at what they’ve being billed for while office consultations spell out exactly what is covered by insurance and what isn’t. With a better understanding of the charges, the patient knows what they’re responsible for and when they should be sending in their payment. Many offices are asking for payment on the day of service as well.

When medical offices partner with Omega-RMS, llc., they’re getting a bad debt collection service with many solutions. Clients enjoy the reporting gateways provided by us. They also like the performance analytics, tools and resources they’ve grown to rely on in their debt recovery process. Check us out today and see how we can improve your cash flow.

Debt Recovery Company Improves Cash Flow

Every business owner has to deal with it at some point – late paying clients and non-payingCollections 9 clients can really put the hurt on your cash flow situation. Many business owners balk at taking on a debt recovery company to give them a helping hand, but their fears are unfounded.

Most companies with an in-house debt recovery solution are actually at more risk than those who outsource their collection efforts. A debt recovery company must adhere to strict rules and regulations that protect consumers and ultimately the businesses that go after bad debt. Unfortunately, most in-house efforts don’t have the resources you’ll find at a professional collection organization, which almost always includes attorneys who are constantly learning about new laws regarding the debt recovery industry.

You know by now that cash flow controls your rate of business growth. In fact, when you have too many clients getting too far behind on their accounts, you might even have a difficult time coming up with payroll and monthly bills like rent and utilities. At this point, you’re just scraping by and business growth isn’t an option.

Maybe you made the mistake of allowing large credit lines to help you increase revenue, but those accounts are consistently late. This becomes problematic really fast when too much of your revenue is tied up in too few accounts that seem to be on their own payment schedule.

Some businesses will combat this with incentives that give clients a break when they pay early. If a good amount of your business is tied to B2B accounts, you know that the average time to pay off a debt is more than 50 days. To give yourself a boost, consider offering incentives and see how much faster these accounts go down to zero.

In many cases, a debt recovery company will offer accounts receivable services, which means you will have the option to sell off your receivables and not have to hassle with billing on these accounts. Not only do you get a break on the paperwork, you get a quick infusion of cash that allows you to invest in growth for once instead of phone calls to late accounts.

The advantage of going with a debt recovery company is that they have the hardware and software to make contact with delinquent accounts and work out a payment arrangement. Very few companies have the in-house staff with the equipment or training to pull this off. In fact, if you’ve got an account that’s 90 days late, there is a really good chance you’ll never see that money by going after it with an in-house strategy. However, with a team of collection professionals on your side, your chances improve tremendously.

Businesses that get over their fear about their public image being tarnished by taking on a collection expert to lend them a hand realize the return on investment very quickly. When Omega-RMS, llc., is brought to the table, you’ll actually see your public image improve. Contact us today and see how we can get you back into a positive cash flow situation.

Past Due Accounts Strain Cash Flow

Collections 9Dealing with customers who can’t pay their bills on time is something every business owner will have to deal with throughout their career. However, there are some tips you can follow to make past due accounts less of a burden on you and your cash flow.

You know it’s important to extend credit to your clients. You develop more customer loyalty and boost your numbers with a credit program. However, there is some risk involved because not everybody pays on time and some people simply refuse to pay at all. You should have a very distinctly defined credit policy that spells out how your credit works and what’s expected of your customers and past due accounts. Make certain your terms are clearly written and that your clients sign off on them.

Some clients move without telling you where they’ve gone, which means your invoices could be going to the wrong house. However, if you use “address service requested” on your envelope, the postal service can locate the person’s new address for you. This comes with a cost, but it’s certainly less than what you’ll gain from finding the new address and come to terms on payment arrangements.

Companies who frequently contact customers who have missed a payment have more success in getting them to become current on their account. If you jump on them really early, you’ll have an even better success rate.

In your credit policy, you should spell out what action will be taken on overdue accounts. This way, the client can’t be offended by any action you take to get what is yours. For instance, if you say a collection agency will be called in on past due accounts two months old, they should know that a professional collection agent will be calling on them soon after their account is 60 days late.

If you have dedicated staff members for collecting debt, you should make certain they are well trained and know about collection laws in your state. This is where a lot of companies get into trouble – they don’t know how various rules and regulations built around protecting consumers are bent or broken, which can result in lawsuits.

One of the best ways to ensure that your cash flow isn’t suffering due to overdue accounts is to bring a professional debt collection agency on board. They will not only have the expertise and training that helps you get your money back, they’ll do it above board and make sure the Fair Debt Collection Practices Act isn’t violated.

When choosing a professional to take care of your past due accounts, make sure they are licensed to do business in every state. You don’t want a company licensed in one or two states to do your collecting as they are not capable of going after all of your overdue accounts.

Omega-RMS, llc., is a collection company that has a proven record of success. Companies that have brought Omega on board not only see their old debt diminish, they’re also able to put their employees back to work growing the business instead of ineffectively chase down debt. Call us today and find out about our effective solutions for debt recovery.

Payment Recovery is Best Left to the Professionals

Regardless of how efficient your system is, you’ll run into payment recovery issues at some point. It’s not unusual for companies to see duplicate payments and overpayments, which means cash flow can be significantlyCash Flow 3 affected. This doesn’t happen to large companies exclusively; even smaller firms can miss the details that will result in payment recovery action later. What can you do to protect yourself?

1. Automated Processes Can go Awry
Your automated business processes can be a big help to you in many of your daily tasks, helping you to make quick work of tedious items. Unfortunately, some automated services don’t recognize duplicated invoices, which means they’ll pay more than once. Another problem area is an automated service that sends payments to the wrong place. You should have a technician cover all the bases and look for areas where these mistakes are leading to payment recovery situations.

2.  Don’t Give Away Money While You Race to Sustain High Performance
Your procure-to-pay process could be at fault, especially if you’re running disparate and inefficient processes. Human error is also a common problem in this arena. You could have discrepancies in your pricing, which is a particular problem with large organizations, but can also happen with the small ones. Overpaying suppliers because of incorrect invoices and/or mistakes made in deductions and allowances are also common problems. Slow down and check over all of your processes to make sure everything lines up.

3. Don’t Underestimate the Value of Bringing in a Third Party for Payment Recovery

Companies lose millions and millions of dollars per year through financial leakages. It’s obvious that even the biggest and best have a problem identifying where the money is escaping, and in some cases, companies don’t recognize leakages until long after the problem started. This can lead to unrecoverable situations and a total loss of that revenue. However, companies that bring in a third party to look at capital and cash flow management procedures can help find the leaks and tighten up loose areas.

It’s not until a professional third party comes in to investigate the situation that the company realizes more transparency in its spending or strategy in its sourcing. Contract management and procurement management are also areas that most companies can’t expect to be experts in, which is why it makes perfect sense to seek help from an outside source that does that kind of work full time.

Payment recovery solutions also include the most common situations where your billing procedures are spot on but your account holders fail to live up to their end of the bargain and pay what they owe. This is also a situation where a professional collection agency can come in and collect debt you thought you’d never see again.

Omega-RMS, llc., has worked with companies small and large across many industries to recover lost revenue. From accounts receivable management to early intercept recovery services to contingent collection services, Omega has solutions that will improve your cash flow and help you grow your business. Contact us today and find out how our professional services will boost your profits.

What Should You do With a Client Default?

Are you doing everything you can to keep your client default rate as low as possible? Regardless of how well you explain the terms of your credit program, there will always be a number of people who pay late, decide not to pay at all or have situations where they need some encouragement to stay out of default.

In the worst-case scenario, the client default situation devolves where they seemingly disappear. They don’t return phone calls; letters to them go unanswered; mail starts to come back undeliverable or a voice message declares that the number is no longer in order. What can you do to protect yourself?

Loyalty 1You don’t want to stop offering credit to individuals because we know that it helps develop customer loyalty, more business and more profits. You also don’t want to see your cash flow suffer due to late accounts and client default. One way to protect your business up front is to searching for prospective customer’s credit history to see how well they have kept up with payments in the past. Questionable prospects should be given a low-line of credit or none at all.

Once your prospect appears to be credit worthy, make sure they sign a document showing that they understand what is expected of them when they have outstanding accounts. Let them know before they even make their first purchase that if you don’t receive payment in your required number of days, you will take further measures to get the account current.
Keep in mind that debts that go beyond 90 days late are the ones that are the most difficult to recoup. Don’t be afraid to get a lawyer in on this as they can draw up the language that spells everything out and perhaps get you paid before others should the client fall miserably behind on their accounts and they have everyone coming at them at the same time for payment.

The obvious choice in finding the ultimate protection is to get a debt collection agency on your side. Your in-house attempts to collect debt can be a costly adventure and extremely time consuming. Instead of taking time away from growing your business, you should let professionals take over the debt collection process for you.

Some business owners get anxious when they are approached about partnering with a professional debt collection agency. They think the agency will use strong-armed tactics that scare away future business. However, this is an unlikely scenario because any collection agency that wants to stay in business will treat debtors like they should be treated – with respect and professionalism. Another thing to remember is that by distancing yourself from the collection procedure is actually a positive in the eyes of the consumer.

Omega-RMS, llc., is a professional debt collection agency that has the trained staff, state-of-the-art technology and experience to get your accounts back to where you want them to be – paid in full. Instead of writing off old debt and thinking it’s a lost cause, give Omega the chance at collecting all of your debt for you.

An Outsourced Collection Experience is Best Handled by Omega-RMS

Collections 15How your brand is perceived by the public is extremely important in not only keeping your current customers, but also in building on those existing consumers and bringing more into the mix. It’s easy to get caught up in a social media storm should something go awry, causing damage to
your brand. This is one possible reason so many companies shy away from partnering with a debt collection company – they’re afraid of the backlash of a negative collections experience.

What they are missing out on is a collection experience far greater than what the average business owner can provide with an in-house collections department and without all the backlash.

There are many rules and regulations regarding the way you can go after debt. To be in compliance, you have to stay abreast of each and every new rule that pops up each year in every state (your level of attention to all of these rules depends on which state your debtors reside in).

Your debt recovery collection experience must focus on compliance. The laws might seem restrictive, but they actually help you do a better job of maintaining a positive customer relationship while also staying out of trouble with government officials.

You’re going to have complaints even when you uphold every letter of the law, but the more you follow a professional code, the less likely you are to have numerous complaints filed against you. In order to ensure that none of your employees are being held accountable for compliance issues, it’s best to outsource your debt collection needs.

Your customers will have a positive debt collection experience if the people trying to collect are well trained. The best collection firms will spend a lot of resources on training, just to make sure your brand is represented well and you avoid any negative impact. The goal is to get your money back, not distance your customer base from you, which is why a well-trained employee in a debt
collection firm is better at going after debt than your employees.

Customer experience has become an extremely important part of the business strategy today. Everyone is focused on a more customer-centric experience. This extends to the debt collection part of the business. Nobody likes to be called about their debt, but the top-notch firms will provide a customer experience that actually enhances your relationship with your customer base, even those who are chronically late on their payments.

If you have been putting off outsourcing your debt collection needs, you should know that you’re putting off improved customer loyalty and satisfaction, improved collection rates and reduced exposure to compliance infractions. You’re also probably putting off having access to professionals who can spot risky accounts well before anyone in your collection department will spot them.

When you partner with quality firms like Omega-RMS, llc., you’re getting involved with a group of professionals that know about training, compliance, customer-centric service and representing your brand with integrity. As a member of the Association of Credit and Collection Professionals, we’ve proven ourselves as ethical and professional stewards of the debt collection industry.
Contact us today to learn about our services and how they can boost your brand as well as your cash flow.

Collection Agencies in Kansas City: How do You Choose?

It doesn’t matter how small or large a company is; when you extend credit to your consumers, you’re increasing the chances that you’ll boost your profits. However, you’re also putting yourself at risk for unpaid receivables. What can collection agencies in Kansas City do for you?

You don’t want to stop offering your customers credit because you know that it improvesEconomy 2 customer loyalty and creates a better environment for attracting more business and repeat business. However, you run the risk of having cash flow issues due to the number of late paying or non-paying customers that take advantage of the credit you extend to them. Perhaps you’ve grappled with the decision to hire a collection agency to help you recover these losses and you’ve finally decided to pull the trigger. How do you decide which of the collection agencies in Kansas City to hire?

You can significantly reduce the number of finalists on your list of collection agencies by weeding out the ones that work in industries other than yours. Only keep the agencies that specialize in your specific industry.

If you have concerns about how the agency will communicate with and handle your customers’ debts, write down a list of questions and concerns you have and carefully monitor how your finalists answer these questions. You want an agency that will be respectful, ethical and professional with your customer base.

Don’t pick an agency that isn’t licensed to practice in all 50 states. Collection agencies have a process called skip tracing, which is completed using a database that assists in tracking people who move without notifying companies like yours where they have open accounts. Without the license to practice in all 50 states, they can’t skip trace as effectively, which means there is less chance of them recovering old debt.

Mistakes can happen, regardless of how reputable the collection agency is, which is why you need to ask your finalists if they are insured. Should a debtor decide to sue, you’ll be protected, as will your collection agency.

Make sure your debt collection agency is clear on how you’ll be charged for their services. Ask about fees that might come up unexpectedly. You shouldn’t have to find out after you’ve signed up with them that they have setup fees to get you started.

A good way to research the background of the agency is to see if it has violated any part of the Fair Debt Collection Practice Act. The act was established to protect debtors from unfair collection practices, and all reputable agencies will follow the act’s every word. Thousands of complaints are filed every year. Make sure the finalists on your list aren’t getting more than their fair share of complaints.

Omega-RMS, llc., has a rich history of keeping in compliance with laws governing debt collection practices in every state. As a member of the Association of Credit and Collection Professionals, Omega employees continually prove to our clients that of all the collection agencies in Kansas City, we are among the most reputable and well respected.

Debt Collection Agencies Work to Improve Your Position

Collections 4Collection agencies are responsible for recouping billions of dollars every year to companies who were never compensated for their services. Organizations that once wrote off many, many dollars from past-due accounts suddenly get an infusion of cash due to the work of the collection agency with whom they partner.

The decision to bring a collection agency on board is not always an easy one. Perhaps you’ve struggled with this dilemma in the past? The worry is that your customer base will react negatively to the collection attempts, spread a bad word or two about your brand, thus destroying your public reputation. However, when you partner with a reputable collection agency, these fears are unfounded. So, what should you look for in a collection agency?

Some of the debt owed to you is partially to blame on your inaction. Debt collection agencies know that instant action is the best response, and because they’re experts in this field, they’ll know when to act on an account that shows all the signs of being a potential problem. You can’t wait 90 days before you start the recovery process and reputable agencies know this.

A good collection agency not only knows when to act but also how to act. The agency that protects your brands as well as your profits is one that knows the laws of every state and abides by them completely. Some agencies are licensed to practice in all states, which means any debt you have tied to a resident of that state can’t be pursued, so try only to partner with one that can be of service to you wherever your clients might reside.

Many companies try to work their debt recovery from an in-house department. While these attempts are noble in their effort to cut costs, it’s actually something that can cost them more money in the long run. In-house collection offices aren’t equipped with the hardware and software that you’ll find in a professional collection office. The employees aren’t trained as well either, which could land you in court should your employee make misguided attempts at collecting debt.

The Fair Debt Collection Practices Act was not passed to make your life difficult, it was passed to protect the consumer. Reputable debt collection agencies embrace this Act because it weeds out the agencies that use unfair, illegal and unethical methods to get debtors to pay. In some cases, the people paying don’t even owe anything. A reputable agency will not only act fairly and ethically, it will do what it can to improve the public perception of the debt collection industry. In doing so, it will represent your company with its best foot forward.

Omega-RMS, llc., is a debt collection agency that trains its employees above and beyond what is required. We also have the latest hardware and software that allows us to track debtors down better than any in-house system you might have tried. To find out how our solutions match your needs, contact us today.