TSYS / TransFirst credit card processing provides the following information –
Unfortunately, there is always a chance that a healthcare provider can receive a chargeback. Very seldom, but it does happen, especially for non-card swipe, or non face-to-face transactions. The VISA/MasterCard cardholder rules were developed to protect the cardholder. The burden of proof that the transaction was made by the cardholder is with the merchant (healthcare provider, in this case). Card swiped transactions (which may also have the cardholder’s signature) provides that proof.
The healthcare provider also has rights. The provider can dispute the chargeback; that is, make a case to reverse it back from the cardholder. They simply put in writing to the issuing bank why this chargeback should be reversed.
Examples of valid reversals are:
- The cardholder received a dental service on a particular date, and the ledger records provide proof the treatment was completed
- Cardholder signed the bill/statement of service
- The Healthcare provider has an authorized signature on file
Ideally though, the patient and healthcare provider should try to work out these disputes with each other. The credit card companies are not collection agencies.
It may have been a misunderstanding by the cardholder when the monthly credit card statement was received. Perhaps the cardholder did not recognize the charge or the healthcare provider’s DBA name on the statement. The cardholder may call the card issuing bank to remove it from their bill. These types of issues can be resolved easily with a quick call to the patient.
Note: Chargebacks are always initiated by the cardholder through their card issuing bank; not by the issuing bank at random.
Benefits to the Healthcare Provider for accepting payments via phone, internet or mail:
- Healthcare provider receives their payment faster
- Minimizes healthcare provider’s collection efforts and costs
- Convenient payment option for the patient
NOTE: For more information, please contact TSYS / TransFirst.