What We Learned From Helping Over 60,000 Providers Improve Their Billing Process

Learn strategies to improve your medical practice's billing process and discover how BillFlash's integrated solutions can help!

Medical billing process inefficiencies are costly and unwelcome in healthcare, draining an estimated $125 billion annually. Behind the numbers lie real consequences: 80% of medical bills contain errors, leading to delayed reimbursements and frustrated patients. These inefficiencies are more than a financial burden—they strain staff resources, jeopardize patient trust, and create administrative bottlenecks that divert attention from patient care.

So, where's the solution? At BillFlash, we've worked with over 60,000 healthcare providers to reduce A/R days and optimize revenue cycles. The results speak for themselves: practices using our solutions have transformed operations and refocused energy on what matters most—patients.

The Biggest Challenges Providers Face in the Billing Process

Medical and dental billing processes can sometimes overwhelm even the most organized practices. Providers constantly struggle with delayed payments, managing errors, and addressing patient preferences. These challenges also impact the bottom line and reduce staff morale and patient satisfaction. Here are just a few of the biggest challenges providers face in the billing process:

Slow Payments and High A/R Days

When payments take too long to arrive, practices suffer. Small practices, in particular, report that 25% of payments arrive late, jeopardizing their ability to cover payroll and operational costs. This is likely due to the financial burdens many patients are facing. Approximately 14 million U.S. residents have medical debt exceeding $1,000, which has recently increased due to high healthcare costs and inadequate health insurance. Payment delays also disrupt cash flow and create uncertainty in healthcare financial planning. The longer A/R days stretch out, the more working capital gets tied up. Late payments trap many practices in a cycle, delaying improvements that could prevent future payment issues.

Billing Errors

Every incorrect entry or poorly generated patient statement sets off a chain reaction. Staff must manually identify and correct mistakes, then reissue statements while managing other responsibilities. These aren't just administrative headaches that can affect the billing process; they represent a major drain on resources and lost opportunities. 

The impact of billing errors also extends beyond immediate financial consequences. Each mistake can:

• Require hours of staff time for investigation and correction
• Delay payment processing by weeks or months
• Create risks if patient data is handled incorrectly
• Increase in patient questions and disputes
• Increase the likelihood of payment delays

Patient Collection Difficulties

The rise of high-deductible health plans has changed patient collections. Patients bear more responsibility, and many struggle to understand their financial obligations. This confusion leads to delayed or missed payments, creating challenges for practices and patients.

Several factors complicate patient collections:

• Limited price transparency that makes costs unpredictable
• Insurance arrangements that confuse patients about their responsibility
• Financial hardship among patients facing medical bills they cannot pay
• Lack of clear communication about payment options and policies
• Limited payment methods that don't match patient preferences
• Insufficient collections processes for overdue accounts

Administrative Burden and Staff Burnout

Manual billing processes create an unsustainable administrative burden for staff. Teams spend countless hours generating patient statements, tracking payments, resolving disputes, and addressing patient questions. This type of repetitive work takes a toll on a practice's operations and billing process, leading to:

• Higher error rates due to fatigue
• Reduced job satisfaction
• Increased staff turnover
• Decreased overall productivity
• Compromised patient service quality

The cycle of hiring and training replacements adds unnecessary costs and disrupts workflows. When experienced staff members leave, practices lose valuable knowledge that could help prevent errors and resolve billing issues.

Key Lessons From Helping 60,000+ Providers Optimize Their Billing Process

Every challenge in the billing process teaches a valuable lesson—the importance of efficiency, clear communication, and adapting to patient preferences. Over the years, we've learned that the right strategies and tools can turn even the most frustrating billing challenges into opportunities for growth and improvement. Here are some of the lessons we have learned along the way:

1. Automation Is the Key to Faster Payments

Manual billing and patient collection processes often lead to delayed payments, errors, and unhappy patients, straining resources and extending revenue cycles. Automation turns the billing process from a headache into a competitive advantage. Transitioning to automated billing solutions streamlines workflows and minimizes the need for manual intervention. Integrated platforms connecting with practice management systems enable staff to send reminders, process payments, and update records effortlessly. An example is automated patient notifications, such as reminders sent via email or text.

These tools ensure timely, consistent communication with patients about upcoming payments or outstanding balances. Take BillFlash PayReminders, for example. PayReminders eliminates the guesswork of follow-ups by allowing practices to set a specified sequence of reminders—up to three text messages and three emails per month—automatically sent to patients until their balance is paid. Once payment is received, the system removes the patient from the sequence. 

Another way to streamline billing is by shifting the process before a visit occurs, known as pre-visit billing. With this approach, generating a formal bill after the appointment is unnecessary. Patients receive a secure payment link via text or email, directing them to an online portal to collect obligations upfront. Many patients appreciate the clarity of upfront payment requests and gentle reminders, while providers benefit from faster collections and fewer errors. 

BillFlash PreBill is a perfect example of this type of solution. Patients receive a link via text or email, click the secure link, get directed to PayWoot.com, pay their balance, and go to their appointment with billing already taken care of. This automation lets staff send reminders, generate PreBill links, and update records within a platform integrating with 100+ billing applications.

2. Offering Multiple Payment Options Increases Collections

Patients expect the same ease and flexibility in healthcare payments as in online purchases, car rides, or flights. Practices with limited payment options often face delays when patients can't use their preferred payment method. On the other hand, those embracing payment flexibility—credit/debit cards, digital wallets, online portals, and flexible payment plans—increase the likelihood of receiving payment.

The numbers speak for themselves: In 2023, credit card transactions totaled 53.8 billion nationwide, highlighting how deeply ingrained card payments are in everyday life. Patients don't just prefer credit and debit cards—they expect them. Over 80 percent of patients prefer electronic payment methods for medical bills, and the majority want providers to continue offering contactless options, such as mobile wallets and online portals. These preferences reflect a broader demand for convenience, speed, and security in healthcare transactions.

BillFlash Pay simplifies the process by enabling in‐office, online, and phone payment capabilities. Patients can settle bills quickly, whether at the practice or on the go, boosting collection speed and cash flow.

• In-office: Whether a patient pays by debit/credit card, Apple Pay or Google Pay, check, or cash, the process is smooth, and the payment data integrates easily with existing systems, helping to keep everything organized.
• Online: Patients can pay their bills around the clock using our payment portal, PayWoot.com.

By integrating these channels, BillFlash Pay creates a frictionless billing process experience. For example, a patient might receive a PreBill link before their visit and pay their balance via a credit card on their phone—all through the same integrated system.

3. Clear and Timely Communication Reduces Late Payments

When patients understand what they owe and why, they’re more likely to pay on time, but confusion, delays, or inconvenience can still cause late payments. While 74% of patients prefer receiving their bills by mail, over 70% want to pay digitally. This tells us that patients value the familiarity of a paper bill but also like the convenience of digital payments. One effective solution is to include QR codes on mailed bills.

Customizing Your Mailed Bills

A QR code on a patient statement lets patients scan it instantly to access a secure payment portal. This eliminates manual data entry while providing a transparent breakdown of charges. This approach blends the reliability of mailed statements with the convenience of digital payments, enabling patients to pay within minutes. BillFlash improves communication by combining digital and traditional methods for maximum reach.

eBills sent to patients via email or text include an embedded secure payment link for quick payments on PayWoot.com. However, for those who prefer paper statements, mailed bills with QR codes bridge the gap between physical and digital. This approach works well for less tech-savvy patients who may delay payment if the process feels too complicated.

Educational inserts included with bills help minimize confusion. PDF inserts clarify charges, outline payment plans, and share helpful health content, reducing common questions and office calls. Meanwhile, PayReminders—delivered via text and email—offer gentle, consistent prompts until the balance has been paid. 

With customizable eBills via text and email, tailored to each practice, and the ability to automatically import or manually enter patient contact information, practices can streamline communication and ensure bills reach patients quickly and efficiently. By accommodating different patient preferences and maintaining clear, consistent communication, practices can reduce late payments while improving the patient experience.

4. Statement Delivery Still Matters—But It Needs to Be Optimized

The reliance on physical mail presents a unique challenge for the billing process because the issue of returned mail will be more than just a minor inconvenience. Outdated or incorrect patient addresses can result in statements never reaching patients, leaving them unaware of their financial obligations. This delays payments and forces practices to spend extra time and resources finding correct contact information and resending statements. In an industry where cash flow and operational efficiency are critical, these delays can negatively impact a practice's bottom line.

Using services that optimize statement delivery—such as BillFlash Mailed Bills combined with National Change of Address (NCOA) services—can reduce undeliverable mail and speed up collections. BillFlash ensures patient addresses are up-to-date and accurate using NCOA data before mailing statements via First-Class USPS. This helps reduce the likelihood of undeliverable mail.

Research shows that practices using both mailed statements and eBills see significantly faster payments. Combining the reliability of mailed bills with the immediacy of eBills via text and email reduces the average days to payment from 20 to just 9.

5. Proactive Collections Keep Revenue Flowing

With patient collection rates falling to nearly 48%, delays in addressing overdue accounts directly threaten practice revenue. Aging accounts become harder to recover, and manual follow-ups often strain staff resources without guaranteeing positive results. Proactive billing process strategies can reverse this trend. Flagging overdue accounts in real time and triggering personalized reminders can help practices maintain consistent patient communication. A key advantage of integrated collections solutions is that payments flow directly into the provider's account, bypassing traditional collection agencies that retain a percentage of recovered funds. This ensures that practices retain full revenue while resolving balances.

For example, BillFlash Integrated Collections puts providers in a position to:

• Set rules for recommending accounts to collections during routine billing reviews.
• Approve or withdraw accounts as needed, maintaining full control over the process.
• Offer payment plans to patients who cannot pay in full, increasing the likelihood of recovery.

In addition, BillFlash's team of Recovery Specialists—based in the United States and 75% bilingual—ensures language is never a barrier to resolving balances. This fosters better communication and improves collection outcomes.

How BillFlash Can Help You Improve Your Billing Process

Overcome medical billing challenges with a partner who truly understands your needs. BillFlash doesn't just improve your billing process—we simplify it. With proven results from over 60,000 providers, we are dedicated to optimizing your revenue cycle and improving patient satisfaction.

It's not about working harder but working smarter. Are you ready to see the difference? Schedule a demo with BillFlash today to see how our billing, payment, and collection solutions can optimize your revenue cycle.