Charging late fees or interest for balances due after XX # of days.

crystalp 7 years ago in Billing/Electronic Modules updated by Kali 7 years ago 3

Does your clinic charge late fees or interest to clients whose balance goes unpaid after a certain # of days? Do you feel this really helps to get payments sooner? Is it more of a hassle administratively? How do these fees or interest show up in a Procentive statement? Please give me any input on this as our clinic is revisiting this part of our policy. Thanks!

We charge a $10 late fee past 31 days and monthly interest charge for 60 plus days past due. Clients/patients sign a billing policy with this info on first appointment. I do think the late charge motivates clients to pay timely. It is labor intensive to go add all of these charges administratively as procentive is not set up to do this automatically. We created specific codes for these charges and this is how it shows up on statement. Honestly, I don't think the interest is worthwhile, but the one time late fee is worth considering. We call clients at the 31 day past due point and offer to waive the late fee, and I would say most will call back or go online and pay to avoid paying that charge.

Thank you Laura. Does anyone else have good or bad experiences with charging late fees or interest on past due accounts?

What is your process to find out which clients are past due? Do you use a report? Collections Module?

We will be implementing charging a late fee. Any information you have on your process would help us figure out what would work best for us! Thanks Laura!