From Claim to Cash: Modern Healthcare Payment Solutions for Large Health Systems

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Top Takeaways

  • Fragmented, manual payment processes slow cash, inflate cost-to-collect, and frustrate patients at a time when health system margins and workforces are under pressure.
  • Modern healthcare payment solutions combine patient-friendly, omnichannel payments with deep EHR/PM integration and strong security to improve both collections and satisfaction.
  • Straight Through Processing (STP) automates virtual card reimbursements from “approved” to “deposited + reconciled” in about a day, creating faster, more predictable revenue streams.

Hospitals and health systems are under pressure from every direction. Margins are thin, labor is tight, and more revenue depends on patients who are already stretched financially. At the same time, those patients expect to pay for care the way they pay for everything else: quickly, digitally, and on their own time.

Yet in many large health systems, the way money moves still looks like it did a decade ago: paper statements, mailed virtual cards, disconnected portals, and manual reconciliation between clinical, billing, and payment systems.

That disconnect doesn’t just create back-office headaches. It slows cash, inflates cost-to-collect, and leaves patients frustrated with a financial experience that doesn’t match the quality of care.

Modern healthcare payment solutions give administrators another option. This article explains how combining digital, patient-friendly payment options with deep integration and automation helps strengthen revenue cycle performance and improve patient satisfaction at the same time.

 

Why outdated payment processes hurt the revenue cycle

Legacy payment processes tend to break down in the same places, especially in large, multi-entity systems.

Fragmented tools and manual work inflate cost-to-collect

Many healthcare organizations upgraded payment capabilities piecemeal over time: a portal here, a card terminal there, maybe a lockbox or text-to-pay tool on top of an aging practice management system.

The result is a tangle of:

  • Different processors and gateways by facility or service line
  • Staff keying card numbers from phone calls or mailed virtual cards
  • Spreadsheets to reconcile deposits and remittance files
  • Separate workflows for online, in-person and mailed payments

This fragmentation drives up the cost-to-collect and soaks up scarce revenue cycle staff time that could be spent on denials prevention, underpayment follow-up, or complex accounts.

Slow reimbursement adds volatility you can’t afford

On the payer side, many providers still receive insurer reimbursements via mailed virtual cards. Staff open envelopes, key card numbers into terminals, and manually match deposits to remits days or weeks later.

That “digital in name only” workflow can stretch the window from approval to cash to 30–90 days.

When more revenue already depends on patient responsibility—where collection rates are lower and less predictable—those delays on the “reliable” side of the payer mix create real cash-flow risk.

Confusing, inconvenient bills damage satisfaction and collections

On the patient side, traditional payment processes often feel opaque and outdated. When consumers are confused by their medical bills or encounter problems while paying a medical bill, they’re more likely to delay payment or even allow their bill to go to collections.

That dissatisfaction shows up on your balance sheet as slower collections, more bad debt and higher churn.

 

What modern healthcare payment solutions include

Modern healthcare payment solutions support omnichannel payments, integrate with EHR and practice management systems, and use models like embedded payments and Straight Through Processing (STP) to automate both patient payments and reimbursements while maintaining HIPAA and PCI DSS compliance.

Key capabilities include:

Omnichannel, patient-centric payments

Patients should be able to pay the way that works for them, at the time that works for them. Leading platforms support:

  • Online patient portals and mobile-responsive payment pages
  • Text-to-pay links and email reminders with click-to-pay options
  • In-office terminals and contactless payments
  • Phone payments via IVR or live agents, with secure payment pages instead of card numbers read aloud
  • Paper and check workflows that are digitized quickly on the back end

The right platform lets you honor those preferences without multiplying your internal complexity.

Flexible payment options that reflect real finances

Rising deductibles means more patients are managing larger balances over time. Modern platforms support:

  • Installment plans with clear terms and automated schedules
  • Autopay for recurring balances, including cards or ACH on file
  • Digital wallets such as Apple Pay and Google Pay, which many consumers find both convenient and secure
  • Multiple payment methods per account (e.g., HSA/FSA plus credit card)

Consumers increasingly expect this flexibility from their healthcare providers.

Deep integration with EHR and billing platforms

A payment that doesn’t post correctly might as well not exist. That’s why integration with electronic health records (EHR) systems, practice management (PM) software, and revenue cycle tools is non-negotiable.

Modern payment solutions integrate with leading EHR/PM systems to:

  • Match payments accurately to the right guarantor and encounter
  • Update balances in near real time across channels
  • Reduce re-keying by staff and associated error risk
  • Provide unified reporting aligned with how finance and revenue cycle teams actually work

When payments live outside core workflows, you create more manual work, more exceptions and more doubt about the numbers.

Security and compliance by design

Healthcare sits at the intersection of HIPAA, PCI DSS, and escalating cyber risk. Any payment platform supporting a health system should:

  • Minimize the environment that touches cardholder data through tokenization and encryption in transit and at rest
  • Support HIPAA-aware deployments and clear PHI handling patterns
  • Offer role-based access controls, detailed audit trails, and separation of duties
  • Provide fraud monitoring and anomaly detection on payment accounts and sessions

Well-structured platforms reduce your PCI DSS scope and centralize much of the risk and monitoring workload while clearly defining the shared responsibilities you still own around access and configuration.

 

Making it easier for patients to understand and pay

From a patient’s perspective, paying for care involves two hurdles: understanding what they owe and acting on it. Modern healthcare payment solutions are designed to reduce friction on both fronts.

Fix the bill before you fix the payment button

If patients can’t make sense of their bill, they’re far less likely to pay it. Almost 60% of patients are dissatisfied with how providers communicate healthcare costs, and 56% say understanding what they owe is stressful.

To improve clarity:

  • Present a clear summary of charges, insurance payments and patient responsibility
  • Explain deductibles, coinsurance and write-offs in plain language
  • Avoid common “billing sins” like missing due dates or unclear previous-balance logic
  • Use consistent naming for facilities, departments and providers across statements and portals

Think of each touchpoint—paper, portal, text, email—as reinforcing the same story about what is owed and why.

Offer realistic options up front

Patient-friendly payment options can improve collections without pushing people into unmanageable debt. Practical steps include:

  • Providing a good-faith estimate of out-of-pocket costs before non-emergent services, so patients can plan or discuss financing
  • Presenting multiple payment options at the first bill, including plans, autopay and digital channels
  • Making it easy to enroll in a payment plan or autopay online, without a phone call

When modern embedded payments are part of pre-service and scheduling workflows, patients know their costs and options before they sign consent forms, reducing unpleasant surprises and downstream disputes.

Reduce portal and login friction

Even the best financial communication can’t overcome a clunky portal. Common friction points include:

  • Forgotten usernames and passwords with no simple recovery path
  • Multiple logins (one for clinical data, another for billing)
  • Too many clicks between login and the payment screen
  • Poor mobile performance

Content in the healthcare cluster emphasizes streamlining the login-to-payment journey and designing mobile-first payment flows, while coordinating portal, text and statement experiences so patients encounter a coherent path to payment.

Some organizations also layer in low-friction options like secure pay-by-link experiences (sent via text or email) that don’t require portal logins for one-time payments.

 

Integrating payments with clinical and billing systems

For large health systems, the real power of modern healthcare payment solutions lies in integration and automation—connecting payments across clinical, billing and treasury workflows.

From “payments as a bolt-on” to strategic infrastructure

Historically, payment tools sat on the periphery: a standalone portal, a few terminals, a lockbox relationship. Modern platforms act more like infrastructure:

  • Embedded directly into patient portals, scheduling tools and revenue cycle systems
  • Re-using tokenized payment credentials across channels while keeping raw data out of your environment
  • Aligning reporting structures to revenue cycle KPIs such as days in A/R and patient pay yield

That shift makes it easier to maintain consistent policies and experiences across hospitals, clinics and acquired entities.

Where STP fits

STP is a specific payment automation process that helps healthcare providers receive payments from insurance companies—and patients via their payers—in about one day, directly into their bank accounts.

Instead of sending virtual card details through the mail and relying on manual posting, STP:

  • Keeps the payer’s virtual card model intact
  • Routes virtual card credentials and remittance data electronically to a healthcare-ready processor
  • Automatically processes the cards and deposits funds into the provider’s bank account, typically the day after approval rather than weeks later
  • Surfaces clean remittance data in a platform your teams can use for posting and reconciliation

In revenue cycle terms, STP closes the “last mile” from approved reimbursement to deposited, reconciled cash.

Because STP runs behind the scenes, it doesn’t require disruptive changes to your EHR or PM systems. You gain faster payments and cleaner data, while staff stop acting as human routers for virtual cards.

Bringing patient and payer flows together

Modern healthcare payment solutions can centralize:

  • B2B flows: insurer payments via virtual cards
  • C2B flows: patient payments made through payer portals (e.g., HSA/FSA cards), which also generate virtual cards to the provider

By routing both through a common platform with STP, health systems:

  • Reduce manual touchpoints on two significant revenue streams
  • Gain a more predictable, consolidated view of cash across facilities
  • Lay a stronger foundation for downstream patient billing and collections

 

Measuring impact on collections and patient experience

To earn and sustain investment in payment modernization, large systems need a clear measurement framework that connects capabilities to outcomes.

Revenue cycle and finance metrics

Common metrics to track include:

  • Days in A/R and time from adjudication to cash, especially for virtual card reimbursements
  • Patient collection rate, by channel and balance segment
  • Cost-to-collect, including payment-related call center and posting labor
  • Bad debt and charity care, particularly for self-pay after insurance
  • Exception rates for unmatched or misapplied payments
  • Reconciliation cycle time and month-end close effort

Early adopters of digital payments report better cash-flow management, lower transaction costs and reduced financial risk.

Patient experience and retention metrics

Because billing and payments heavily influence satisfaction, include:

  • Patient portal adoption and payment completion rates
  • Inbound call volume related to billing and payment confusion
  • Complaint themes in surveys or online reviews about the financial experience
  • Churn or leakage associated with negative billing experiences—some studies show a sizable share of patients will switch providers over payment friction

Tracking both financial and patient outcomes helps leaders avoid “false wins” where collections improve but satisfaction drops—and vice versa.

Security and risk indicators

As you consolidate payments and accounts, also monitor:

  • Account takeover attempts and unusual access patterns in portals
  • Chargeback and dispute trends
  • Fraud incidents related to virtual card processing or mailed remittances

Security-focused content in the healthcare cluster recommends a straightforward checklist for payment accounts: strengthening authentication, protecting stored payment methods, monitoring for suspicious activity and working closely with vendors on healthcare-specific controls.

 

Straight Through Processing as a strategic lever for large systems

For large health systems, modern healthcare payment solutions are not just a technology refresh. They’re a way to:

  • Shorten reimbursement cycles from 30–90 days to roughly one day for eligible virtual card payments
  • Reduce manual work and rework across revenue cycle, finance and lockbox operations
  • Offer patients the kind of digital experience they already expect in banking and retail
  • Strengthen your security and compliance posture across cardholder data and PHI

Straight Through Processing sits at the heart of this strategy. It turns insurer and payer-portal payments into fast, predictable, low-touch revenue—freeing your teams to focus on higher-value work and giving patients a more consistent journey from care to final payment.

If your organization is ready to move beyond piecemeal fixes and build a payment foundation that supports both your revenue cycle and your patient experience, it’s time to put STP on the roadmap.

Sign up CSG Forte’s for Straight Through Processing to see how automated, next-day reimbursements and modern payment options can support your revenue cycle performance and patient satisfaction goals.

 

FAQs

What are modern healthcare payment solutions?

Modern healthcare payment solutions are digital platforms that support omnichannel patient payments (online, mobile, text, phone and in-person), integrate with EHR and practice management systems and often use models like embedded payments and Straight Through Processing to automate collections and reimbursements while maintaining HIPAA and PCI DSS compliance.

How does Straight Through Processing (STP) help the revenue cycle?

STP routes adjudicated virtual card payments electronically from payers to providers and processes them automatically, typically shortening the time from approval to deposit from 30–90 days to about one day and delivering clean remittance data for reconciliation.

How do modern payment platforms improve patient satisfaction?

They make bills clearer, support preferred payment methods (cards, ACH, digital wallets) and channels (portal, text, phone, mail) and reduce friction in login and payment flows. Patients get transparency, choice and convenience, which research links to higher satisfaction and lower churn.

What security and compliance standards should healthcare payment solutions support?

Healthcare-ready platforms are designed to minimize cardholder data scope through tokenization and encryption, support HIPAA-aware deployments and centralize many risk and monitoring functions. Providers still retain shared responsibility for access control and PHI handling within their own systems.

How can we measure the impact of payment modernization?

Track days in A/R, time from adjudication to cash, patient collection rates, cost-to-collect, write-offs, billing-related call volume and patient satisfaction or NPS specific to billing and payments.