Patient Payment Distribution

Patient payments sitting in Patient Credits (i.e. unassigned balances) are automatically distributed nightly to charges that have already been processed by insurance where the remaining balance is owed by the patient. 

The system looks to allocate the patient’s unassigned payments in the following order:

  • Rule #1: If there is no Date of Service associated with a payment, the funds will be applied to the oldest charge.
  • Rule #2: If the Date of Service on the unassigned payment(s) matches the open charge(s), the payments are applied to the balance.
  • Rule #3: If the payments are greater than the charge balance for that date of service (or if charges have a zero balance), the remaining payments for that DOS will be applied to the oldest charges with a balance due. This will override the Minimum Days to hold Payment value.
  • Rule #4: Any remaining payments after the system has applied Rules 1-3, will be posted to charges closed to the Patient with a remaining balance once the Minimum Days to hold Payment value has passed, from oldest to newest.

Note: As you process a charge deletion, you'll need to move the payment back to unassigned payments, where it will be distributed based on the process listed above. Patient Payments in Unassigned Payments with a current deposit date will not transfer to an open patient balance if the previous month-end has not been closed.

Because these rules can be a bit complex, we've created a comprehensive set of examples. Check them out here: Distribution Rule Examples.

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