Technology
plays a vital role in just about every aspect of our daily lives. The handling of money is no different. Money exchanges seamlessly everyday between
banks, businesses, and people in a variety of ways. Most of these exchanges are handled through
Electronic Fund Transfer (EFT).
EFT is a method
of automated money transfer from one account to another without the direct
involvement of people or paper. EFT is quickly becoming the preferred method of
payment for many businesses, (Kingatua,
2018).
The use of EFT
by third-party payors for the payment of pharmacy claims greatly benefits a
pharmacy’s daily operational demands.
The seamless transactions improve cash flow which allows for more
managed control of the financial aspects of the business.
Receiving
EFT payments from payors gives you better financial control, and offer these additional advantages:
- Shorter payment periods. Money from third-party payors is
typically received 20 days after the adjudicated claim. Using EFT could shorten
this time, giving you access to your money faster.
- Reduction in fraud opportunities.
All EFT transactions are encrypted and offer increased security from breaches. In addition, payments are easier to trace if one does end up missing and since
payments are made electronically pharmacies don’t need to worry about losing or misplacing a paper check.
- Flexible and convenient.
With EFT, there may be significant savings in manual tasks for banking
needs such as depositing paper checks. It’s also environmentally friendly with reduced
paper waste and expense.
The ease and
cost of EFT gives tremendous advantages to those who utilize the service. However,
navigating each payor’s set-up requirements can be complex and time consuming. Pharmacies need to locate the correct
documents, understand the various form requirements, send the documents to each
payor, and track setup completion.
At Net-Rx, we
maintain the most up to date requirements and documents from each payor,
provide set-up packets specific to the vendors you bill, and assist with
processing the paperwork. Our goal is to help drive each pharmacy’s optimum financial
performance. EFT is just one piece of the
puzzle. Let us help you achieve a firm foundation in all aspects of the
business. If you currently receive your third-party
payments through the mail by check and would like to set up EFT services for
your pharmacy, contact us today!
Learn more about how to improve your cash flow and track payments.
Author:
 | Stefanie Austin 
Accounts Receivable Analyst
Joined Net-Rx in June 2017 |
Stefanie, a Nationally Certified Pharmacy Technician for
over 16 years, came to Net-Rx with a vast knowledge of pharmacy operations and
accounting practices. These skills made her an excellent fit for the Accounts
Receivable role within Net-Rx/MHA finance departments. She works with Net-Rx
customers to ensure they are receiving accurate monthly billings and prides
herself in providing top notch customer service. She is a positive team player
that has played a key role in making Net-Rx a great place to work. Stefanie
lives in Woodland, WA with her family and dog, Gunner. When time allows, she
loves to craft, decorate, and spend quality time enjoying the beach.
References
Gaille, L. (2020). 17 Advantages and Disadvantages of
an Electronic Funds Transfer. Vittana personal fiance blog.com, 1.
Kingatua, A. (2018). What is Electronic Funds Transfer
(EFT), uses and benefits. Electronics, Information & Communications
Technology , 1.