Dos and don'ts for patient financing: Increase production with outside financing

With patients who face significant out-of-pocket costs for treatment, the availability of financing often makes the difference between accepting and rejecting your recommendation. By making treatment affordable, an installment payment plan from a reputable lender opens the door for increased practice production. And, at the same time, it reduces the financial risks and collection headaches you'll experience by serving as your patients' "banker."

Feature patient financing as one of several options. Cost of treatment has always been a major barrier for case acceptance. Insurance has changed the picture considerably, but even insured patients still face substantial charges. With a range of payment options -- a discount for full prepayment, a half-now-half-later plan, payment by credit card, and outside financing -- you can motivate more patients to say "yes" to treatment.

Don't hold out for 100% of nothing. Some dentists object to third-party financing because of the service charge. What they don't consider is that this arrangement does following:

• Improves cash flow.
• Reduces risks and costs of collection.
• Makes it possible to generate income that would be lost entirely otherwise.

If you have an all-or-nothing attitude, you'll often end up with nothing.

Roger P. Levin, DDS, is the founder and CEO of Levin Group, the leading dental practice consulting firm in North America. For the complete list of dates and locations where you can attend his latest seminar, visit www.levingroup.com/gpseminars.

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