The case for fintech in healthcare

Fintech has transformed many aspects of financial services over the past decade. Technologies such as AI and machine learning, for example, have helped unlock credit access to the previously unbanked. Likewise, fintech is helping to reduce fraud, speed up processes and enhance user experiences—all of which has led to the great unbundling of financial services.

Over the past few years, the healthcare sector has undergone a similar technology upgrade. Investments in this sector tend to focus on bill accuracy and patient engagement, leaving the most pressing need untouched.  

Patient payment responsibility has more than doubled in the past 20 years, and is expected to double again within the next ten. The urgency of this problem cannot be overstated

  • Out-of-pocket costs now average $1,800 for an outpatient visit and continue to rise. 
  • More than 60% of Americans cannot afford a $1,000 emergency expense
  • 31% of adults struggle to afford household bills—up 19% over the previous year 

It's no surprise that nearly 80% of Americans say affordability is the single biggest problem with healthcare today. But it’s not just consumers suffering. Rising healthcare costs have cut into provider revenues, as most hospital systems struggle to collect patient balances.

The case for fintech in healthcare

It’s time for healthcare providers to embrace the fintech successes of other industries. In retail, the “buy now, pay later” model has increased the affordability of big-ticket items by charging customers simple interest or no interest at all. In insurance, algorithms can help insurers calculate risk by individual, leading to a wider range of products and price points. All throughout the business world, fintech has been used to develop digital, automated, and user-friendly financial solutions that work for consumers and businesses alike.

A fintech solution can address the healthcare affordability crisis as well. What’s needed is a solution that works for all patients, not just patients with excellent credit. It should work pre- and post-procedure, with easy integration and no significant IT outlay. It should also help patients by increasing access to healthcare and help providers by reducing overhead. 

A payment solution for healthcare expenses

This vision is alive today. PayZen, a San Francisco-based healthcare fintech, is experiencing exponential adoption of its payment solution: a debit card which offers every patient customized, affordable payment options with no interest or fees. The card works pre- and post-procedure, and is easy to integrate, fully automated, and works with any payment system. 

PayZen's Universal Healthcare Payment Card works by giving each patient a customized plan to afford their out-of-pocket medical costs. The unique approach is underpinned by innovative technology. Using AI, PayZen crunches thousands of financial and medical data points to power its underwriting model and ultimately provide a win-win for patients and providers alike. 

As a result, the company has seen robust engagement and acceptance rates. With PayZen, some providers report an 80% increase in collection rates. Likewise, more than 80% of patients who receive an offer from PayZen end up enrolling in the service. 

To learn more about how PayZen is revolutionizing how patients pay for out-of-pocket medical bills, visit

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