Accounts Receivable & Credit

5 min. read

Credit is a benefit to buyers, allowing them to make purchases they otherwise would not have been able to make. As a seller, credit provides you with a marketing tool, encouraging purchases, and is necessary for you to remain competitive. It also tends to even out sales peaks and valleys since people purchase throughout the month, not just on payday.

Start by preparing a written credit policy. This ensures consistency in granting credit and provides for uniform treatment of patients.​

You will need to establish a relationship with a company that offers merchant card processing options. When looking for a credit card processing company consider the following tips:​

1. Understand interchange. An interchange fee is attached to each transaction and is the primary cost of accepting credit cards. It is a percentage of the transaction amount and is paid by you, through your merchant processor, to your customer/patient’s issuing bank. Interchange fees are determined by the payment brands (Mastercard, Visa, etc.) and vary depending on the type of card (e.g., debit, credit, reward). Different card types carry different transaction risks and therefore fees vary.