Medical practices collect patient payments at every visit — copays, coinsurance, deductibles, and balances not covered by insurance. As high-deductible health plans become the norm, the patient-pay portion of your revenue keeps growing. And most patients pay by card.
For a medical practice processing $30,000 to $100,000/month in patient card payments, credit card processing fees take **$9,000 to $42,000 per year** off your bottom line.
The Growing Patient Pay Problem
High-Deductible Plans Mean Larger Patient Balances
The average individual deductible for employer-sponsored plans has risen steadily and now exceeds $1,500. Family deductibles top $3,000. Until those deductibles are met, patients are paying out of pocket — and paying by card.
Elective and Cash-Pay Services
Many practices offer cash-pay services outside insurance: wellness visits, aesthetics, weight management, concierge medicine. These are 100% patient-pay and 100% subject to processing fees.
Patient Payment Plans
Practices offering in-house payment plans for large balances process multiple card transactions per patient — each carrying processing fees and per-transaction costs.
What Medical Practices Pay
| Monthly Patient Card Payments | Effective Rate | Annual Processing Cost |
|---|---|---|
| $30,000 | 2.8% | $10,080 |
| $50,000 | 2.6% | $15,600 |
| $80,000 | 2.5% | $24,000 |
| $150,000 | 2.4% | $43,200 |
Network Offset Pricing for Medical Practices
Patient statements display both a cash/check amount and a card amount:
Patient checkout example:
| Balance | Cash/Check | Card |
|---|---|---|
| Copay ($40) | $40.00 | $41.60 |
| Lab work balance ($185) | $185.00 | $192.40 |
| Specialist visit ($350) | $350.00 | $364.00 |
| Elective procedure ($2,500) | $2,500.00 | $2,600.00 |
Patient Acceptance
Patients are accustomed to pricing transparency. Healthcare already has complex pricing. Showing a clear cash and card price is simpler than an EOB.
Copays are small and routine. The difference on a $40 copay is $1.60. Patients process this without thought.
Large balances incentivize ACH/check. Patients with $1,000+ balances appreciate the option to save by paying with check or ACH.
Front desk scripts make it seamless. "Your balance is $350 by cash or check, or $364 by card — which would you prefer?" One sentence.
Compliance Considerations
Network Offset Pricing applies to the patient's financial responsibility — the payment, not the medical service. It does not affect insurance reimbursement, CPT coding, or clinical billing. The pricing model applies at the point of payment collection, similar to how convenience fees work for patient portals.
Multi-Practice Medical Groups
| Locations | Monthly Volume/Location | Annual Cost (2.6%) | With NOP |
|---|---|---|---|
| 3 | $50,000 | $46,800 | ~$0 |
| 5 | $50,000 | $78,000 | ~$0 |
| 10 | $50,000 | $156,000 | ~$0 |
What the Savings Mean
- New medical equipment and technology
- Additional clinical staff
- Practice renovation and patient experience improvements
- Marketing for patient acquisition
- Provider compensation and retention
$10,000+
in potential annual savings with optimized payment processing.
Get Started
The first step to reducing your processing costs is understanding exactly what you are paying today. Request a free statement analysis and we will show you a side-by-side comparison of your current costs versus what you could save with Network Offset Pricing.