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News: Hospitals check credit to see if patients can pay

Patient Access Weekly Advisor, Wall Street Journal, March 19, 2008

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An increasing number of hospitals are scanning patients' personal financial information in an attempt to determine how likely they are to pay their bills, the Wall Street Journal reports.

Some hospitals are contracting with outside services that predict a patient's income and whether he or she is likely to pay a medical bill, while other hospitals are analyzing patients' credit reports, prompting consumer groups to cite privacy issues.

Hospital administrators say the practice helps them identify which patients can afford to pay, and therefore which ones they should pursue for repayment, according to the report in the Wall Street Journal. They claim the information also allows them to see which patients are eligible for assistance programs or charity care, but consumer advocates say the practice creates potential for hospitals to deny or cut back care if they think the patient is unable to pay.

To read the full story in the Wall Street Journal, click here.

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