Why Should Banks Enter the Healthcare Sector with Medical Lending?
JPMorgan Chase just made its biggest buy since 2009 with the $500 million acquisition of InstaMed, a medical payment technology company. This isn’t the first time the bank has shown interest in the health care industry and it certainly won’t be the last.
Valued at $2.5 trillion, health care is a sector of growing interest to banks looking to expand their portfolios. Yet with so many medical lending opportunities, choosing the right entry point can be difficult.
Want to know why patient lending is a great first step for financial institutions wanting to incorporate healthcare services? Keep reading for our top 3 reasons.
A Relatively Easy Entry Point
One of the biggest challenges to banks expanding to a new niche is that you must have expertise in the industry to be successful. In health care, this especially true when dealing with insurance policies.
Patient financing has none of those problems. Since you only serve with patients who need help with out-of-pocket debts, you won’t have to worry about navigating the complex world of health insurance.
More Loan Opportunities
Medical lending for patients opens the door to new lending opportunities in the industry.
When their patients have a positive experience with your bank’s healthcare lending sector, healthcare employees will take notice. This can lead to new loan opportunities like medical practice or equipment financing.
Financial experts are in high demand within the healthcare industry. More and more healthcare employees are getting burnt out and many are blaming it on an overload of non-medical duties.
For instance, collecting unpaid patient debts is a serious problem for many providers. When they can offload collection and statement processing to your bank, they free up time to focus on caring for patients.
Medical Lending: A Win-Win for Banks and Healthcare Providers
Medical lending programs for patients benefit healthcare providers and financial institutions.
You get to expand your portfolio and get your foot in the door with an industry that is constantly growing. Meanwhile, healthcare providers can free up valuable time and decrease the risk of burnout in the workplace.
Epic River’s loan program connects provider-referred patients with our partner financial institutions. Learn more about our patient financing program and how it can help you get an in with the healthcare industry.