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Debt Collection for Dentists

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Debt Collection Agency For Dentists

When you think of a business that might have non-paying clients, a dental practice might not be the first type of establishment you would think of, but like any company, monies become owed by clients and not all of them pay when they are required to.

We recently did a feature on Top tips for dental practices to avoid unpaid dental fees

When to Act

The dental industry has its own set unpaid debt  problems and in this particular environment, the key is to know exactly when to call in professional debt collecting assistance.

There will be a period of time when the matter is dealt with internally. Typically speaking, unpaid dental patient debts remain internal for up to as much as 120 days. Unfortunately, the longer these amounts are left, there is an ever-diminishing chance that there will be a success in being paid.

Determining Factors

So, just how long do you keep it internal?

The point at which debtor accounts are passed to an external specialised dental collection agency will depend on the amount owed and the recovery rates target by the dental practice in question.

120 days however, is too long. They may be suitable terms for business to business transactions, but by the 4 month point, you are a too far into ‘not going to pay’ territory.

Gather Evidence

Once an account is deemed delinquent and all reasonable attempts have been made to contact the customer and obtain payment, then it is time to call in the professionals.

When you do make initial contact with a collection specialist, it is important to provide as much collaborative evidence of attempts made to date. The amount of calls made and notices posted to the customer will all help a debt collector do their job more efficiently.

In Summary

When it comes to chasing dental patient debt, the shorter the time it takes the better, so don’t let it go on for too long. Reasonable time should be given to the debtor to settle the outstanding balance, but once that point has been reached, action needs to be taken.

Throughout the process, all details of actions taken in pursuit of the debt should be recorded and given, along with the contact details of the patient, to a third party specialist debt collector. The more information you can provide, the better your chances of success.

If your dental practice is suffering with delinquent patient debt, reviewing and tightening up your payment policies can go a long way to rectifying the situation. Put a plan in place for the inevitable non-paying clients and stick to it. Only by doing this can you do what is best for your practice and keep unpaid patient debt to an absolute minimum.

It is very important to remember that no dental practice has ever lost a patient because they were asked to pay what is rightfully and legally owed.

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