As healthcare costs continue to rise, medical practices face the challenge of supporting patients with quality medical care while managing administrative burden and financial strain. With many patients citing cost as a barrier to care, the need for transparent, patient-centered financing solutions is becoming more urgent.
In a recent episode of the MGMA Business Solutions Podcast, Claude Royster, Vice President and General Manager of Health and Wellness at CareCredit and Synchrony, discusses how practice leaders can better meet patient needs while strengthening their financial operations.
“One out of every two consumers report that they have delayed care they need due to cost,” Royster highlights. “Over 50% said they struggle with paying for out-of-pocket medical expenses … and three out of four said they would pursue additional medical services if they had the means to pay for them.”
Understanding the Impact on Patients
These figures paint a clear picture: patients are increasingly concerned about financing their care. For medical groups, this means reevaluating not only how they discuss costs with patients but also how they manage those costs behind the scenes.
Royster emphasizes that practices should address patient financing early in the care journey, not just at the point of billing. “I can’t stress enough how important it is to have that conversation early in the patient journey as opposed to the end,” he says. “It takes the burden and the ease off the patient to make those decisions and convert more patients to get the care that they need right away.”
Having early, transparent financial conversations can reduce patient anxiety, minimize cancellations, and improve conversion rates. This requires education for both staff and patients to make informed decisions.
“We have a lot of educational materials out on our website — carecredit.com — to help practices have the financial conversation,” Royster notes. “We explain payment options, how deferred interest works, when payments start — all of those details that matter.”
Reconsidering In-House Financing
Many practices offer in-house financing to give patients flexibility. However, recent industry research shows that only 40% of providers are satisfied with those arrangements, while more than half of patients feel their payment options are too limited.
In-house financing often requires administrative staff to act as lenders — a role that can create additional overhead, slow cash flow, and impact patient-provider relationships.
“Many practices have taken on the responsibility of doing in-house financing or billing,” Royster says. “But we’re a bank — we lend money and we collect money. We want to be that partner so providers can focus on delivering care.”
- By outsourcing financing to a third-party provider, practices may:
- Reduce aging receivables
- Improve efficiency
- Alleviate pressure on front office teams
The Case for Third-Party Solutions
One way to reduce internal burden is integrating with third-party financing partners that are already embedded in platforms practices use every day. Royster pointed to partnerships with ISVs (Independent Software Vendors) as a key strategy.
“We try to integrate our solution into those platforms — whether that’s an EHR, billing system, or patient portal — so patients can pay their bill or apply for financing directly through a tool they’re already using,” he says.
This approach streamlines the payment process, enhances the patient experience, and can lead to improved collections. It also supports patient autonomy by giving them multiple payment options without pressure.
“We want to make it simple. The more seamless the process, the more likely patients are to move forward with care.”
Having the Conversation: Training and Tools
For many providers, talking about money can feel awkward — especially in clinical settings. Royster acknowledges that these conversations can be tricky but emphasizes the importance of staff training and scripting.
“We provide practices with educational tools and resources that explain how to walk through these conversations,” he says. “It’s about making sure they understand the payment options, what deferred interest means, and when payments begin.”
CareCredit’s website offers provider resources that can be used during staff onboarding, team huddles, or when building a more patient-friendly revenue cycle workflow.
Practical Steps for Practice Leaders
To better support patients and protect revenue, practice administrators should consider the following:
- Evaluate your current financing process.
- Are your in-house financing or billing practices helping or hindering patient access and staff workflow?
- Explore integration opportunities.
- Ensure any financing solution integrates with your existing EHR or billing system to reduce staff burden.
- Educate staff and patients.
- Use available resources like those on carecredit.com/providercenter to support financial literacy.
- Have the conversation early.
- Frame financing as part of care planning, not an afterthought.
- Monitor key financial metrics.
- Track collections, accounts receivable, and patient satisfaction to understand the impact of any changes.
In a healthcare environment increasingly shaped by economic pressures, financing options are no longer just a nice-to-have — they are a strategic tool to support both patient well-being and practice sustainability for overall better health outcomes.
“We want to make sure patients don’t delay or devalue the care they want because they’re concerned about cost,” Royster says. “That’s where we come in — to make those conversations easier and give people options that work.”
Resources:
- CareCredit Provider Education Resources
- MGMA Member Community Discussions
- CareCredit Research — How Cost Impacts the Patient and Provider Journey
- Connect with Claude Royster on LinkedIn
- MGMA DataDive — Benchmark data to guide smarter decision-making
- MGMA Sponsored Whitepaper — The Role of Third-Party Financing in the Health Payment Landscape
