Why Did I Receive a Check From Patient Services Account?
Received a check from Patient Services Account? Discover the reasons, how to verify its validity, and what to do with your unexpected payment.
When an unexpected check arrives in the mail from a healthcare entity, it can often lead to confusion regarding its origin and purpose. Many individuals encounter checks issued by a “Patient Services Account” and may question why they are receiving money from such a source. Understanding these accounts and the circumstances that lead to such payments provides clarity. This article aims to demystify these checks, explaining their common reasons and providing guidance on how to handle them.
What is a Patient Services Account?
A Patient Services Account refers to a financial record maintained by healthcare providers, such as hospitals, clinics, or physician offices. This account compiles a detailed summary of medical charges, payments, and financial interactions. It serves as a centralized system for managing billing, processing insurance claims, and handling collections for medical services rendered.
Healthcare organizations use these accounts to track the financial relationship with patients, ensuring proper compensation for services provided. This includes recording payments made by both patients and their insurance companies to keep the balance current and identify any outstanding debts. The term “Patient Services” can also refer to departments or systems within healthcare providers or third-party billing companies that manage these financial transactions, including refunds and adjustments.
Why You Might Receive a Check
Receiving a check from a Patient Services Account most commonly indicates an overpayment or a credit balance on your healthcare account. This often occurs when a patient has paid more than the amount actually owed for medical services, prescriptions, or procedures.
One common reason for a refund is an overpayment, where you might have paid a copayment or estimated patient responsibility upfront, and then your insurance covered a larger portion than initially anticipated. Duplicate payments, either by the patient or their insurer for the same service, also frequently lead to credit balances. If you paid for a service in advance that was later cancelled or not fully utilized, the healthcare provider may issue a refund for the unutilized portion.
Adjustments to charges can also result in refunds if a patient paid for a service that was later reduced in cost due to billing errors, changes in treatment plans, or negotiations with insurance companies. Medical billing errors, such as incorrect coding or charges for services not received, can lead to patients being billed too much, necessitating a refund once the error is corrected. In some instances, a check might stem from a class action settlement related to healthcare billing practices, where patients receive a portion of a legal settlement. Healthcare providers are generally required to return identified overpayments within specific timeframes, often within 30 to 60 days, to avoid legal penalties.
How to Verify the Check
Upon receiving a check from a Patient Services Account, it is prudent to verify its legitimacy before taking any action. Begin by closely examining the check itself for common indicators of authenticity, such as the issuer’s full name and address, professional appearance, and clear routing and account numbers. Be wary of any misspellings, poor print quality, or generic contact information, as these can be red flags.
Cross-referencing the check with your personal healthcare records is an important step. Review your past medical bills, Explanation of Benefits (EOBs) statements from your insurance company, or any previous correspondence from healthcare providers or insurers that might explain a potential refund. This review helps determine if the amount and the stated reason for the refund align with your financial history with the healthcare provider.
If you have concerns about the check’s legitimacy, contact the original healthcare provider or your insurance company directly. It is important to use independently verified contact information, such as phone numbers from their official websites or previous billing statements, rather than any contact details provided on the check itself, which could be part of a fraudulent scheme. When contacting them, avoid providing personal financial information unless you are certain of the recipient’s identity and the purpose of the information exchange.
What to Do with the Check
Once you have verified the legitimacy of the check received from a Patient Services Account, you can proceed with depositing it. It is generally advisable to deposit legitimate refund checks promptly to ensure the funds are secured in your account. Keeping comprehensive records of the transaction, including a copy of the check and any related medical bills or Explanation of Benefits statements, is a sound practice.
These records can be useful for future reference, particularly if there are any questions regarding your medical expenses or for tax purposes, as certain medical expenses may be deductible if you itemize deductions. The Internal Revenue Service (IRS) generally advises taxpayers to retain records supporting their tax returns for at least three years.
If, however, your verification process reveals that the check is suspicious or potentially fraudulent, it is important not to deposit it. Depositing a fraudulent check, even unknowingly, can lead to complications with your financial institution. Instead, report the suspicious activity to relevant authorities, such as the Federal Trade Commission (FTC) at ReportFraud.ftc.gov, or the Office of the Inspector General (OIG) of the Department of Health and Human Services (HHS) if it involves federal healthcare programs like Medicare or Medicaid. You should also notify your financial institution and the healthcare provider or insurer whose name is on the check, providing them with details about the suspected fraud.