Summary: A lockbox solution enables your dental organization to receive patient payments via a third-party company, accelerating the collection process and allowing you to get paid faster.
Dental organizations are continuously on the lookout for ways, not only to enhance patient care, but to improve efficiencies and increase their bottom line. One way is to use a lockbox system, which speeds-up the collection of patient payments and improves cash flow.
Lockbox systems are specifically designed to be efficient, cost-effective systems for processing patient payments. They allow companies, such as your dental organization, to quickly process payments from patients and avoid the lengthy time it takes to manually match payments to invoices.
A lockbox solution will allow your dental organization to receive patient payments via a third-party company such as Wells Fargo, Moneris or Converge for example. The system accelerates the collection process, as the funds are immediately deposited into your company’s account. Ultimately, you get paid faster.
What is a lockbox?
A lockbox is a service, typically provided by banks, that processes customer payments for organizations. Think of it as a “safe holding location” that a business rents to initiate the payment process. Basically, payments are sent to a location accessible by the bank. These are typically PO boxes or other centralized bank mailing addresses. Bank representatives collect the payments – often daily – and begin processing them immediately. The banking staff then applies the funds to the organization’s account.
Lockbox services are designed to trim delays in the processing of financial transactions, ultimately simplifying and speeding-up the collection and processing of accounts receivables. They are commonly used in organizations where high volumes of payments are received.
The benefits of a lockbox solution
Utilizing a lockbox solution can bring multiple benefits to your accounts receivable process. From fast-tracking the deposit of funds to your bank account and streamlining payment processing, to exposing payment errors and reducing patient collections. The potential rewards can ultimately help you to increase efficiencies in your dental organization.
1. Expedites Fund Deposits
A lockbox system deposits payments into your bank account much faster than if your clinic staff were to do it manually. This means the money is in your bank account and accessible to your organization more quickly. Imagine the time in manual labor it takes to match each payment with its corresponding invoice. The lockbox system automates this manual process, freeing-up time for your clinic staff and enabling them to focus on other important issues.
2. Streamlines Payment Processing
A lockbox system, such as axiUm Lockbox for example, can streamline your payment processing. It does so by automatically adding patient payments, while payments received are processed and auto-allocated via an overnight process.
3. Exposes Payment Errors
Lockbox systems can help your dental organization uncover payment inaccuracies, by reporting on errors. For example, axiUm Lockbox generates an exception list of unprocessed payments, allowing you to identify any missed payments.
4. Reduces Collections
Collecting payments from dental patients can be an all-consuming, full-time job for your clinic staff. A lockbox system can help shorten the volume of individual patient collection issues that your employees must deal with.
axiUm Lockbox Payments
Did you know that axiUm has a lockbox module that works with your existing axiUm system? Your dental patients can send their payments to a third-party lockbox company and you receive batch payment files that you load and process in axiUm. During the process, axiUm automatically adds each patient payment line in the Lockbox file that matches with the patient’s chart number. Thus, eliminating the manual process.
Watch our webinar where we discuss several ways dental organizations can more effectively manage their patient payments (with the axiUm Lockbox module) & manage their inbound patient referrals (with the axiUm Inbound Referrals module):
Taking advantage of a lockbox system can help your dental organization increase efficiencies and improve your accounts receivable process. By reducing the amount of time your users spend manually entering patient payments, you can decrease your costs and save your dental institution both time and money.
Request a Demo
Want to see axiUm Lockbox in action? Request your demo today.