24% of medical groups link 1-2% of payments to virtual credit cards

Virtual credit cards are a growing payment method for health plans and third-party vendors to physician practices, according to Medical Group Management Association's Stat poll.

Virtual credit cards comprise a 16-digit credit card number, which is faxed or emailed to a practice. The practice then runs the number through its credit card system, similar to how a medical group would charge a patient for a deductible and copay, according to MGMA. The practice must also pay all interchange fees, which can range from 2 to 5 percent of the total amount charged.

Here are three findings from the Dec. 19 poll, which included 700-plus responses.

1. Roughly a quarter (24 percent) of respondents said 1 to 2 percent of their payments came from virtual credit cards.

2. Twelve percent of those surveyed said virtual credit cards represented 3 to 15 percent of their payments. Only two percent said they received 16 percent or more of their payments from virtual credit cards.

3. Nearly a third (32 percent) of respondents said they did not receive virtual credit card payments, and another 30 percent were unsure.

More articles on healthcare finance:
20-bed critical access hospital in North Carolina to close Dec. 31
Hospitals face $1.6B in Medicare payment cuts after judge dismisses lawsuit: 6 things to know
Maine hospital attributes Medicare penalty to employee coding errors

© Copyright ASC COMMUNICATIONS 2018. Interested in LINKING to or REPRINTING this content? View our policies by clicking here.


Top 40 Articles from the Past 6 Months