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Credit card convenience fee okay?/ NEW K&K WEBINAR SIGNUP!!! (HIPAA)

November 10, 2015

Question:

Jennifer,

May I charge a 3% convenience fee for patients paying with credit cards?

Thank you in advance!
Dr. C

Answer:

In NY, a vendor is not authorized to charge a surcharge for credit card payments.  NY Gen Business Law explicitly prohibits same – 
 
NY General Business Law (GBS) Section 518 prohibits surcharges for customers (patients) who elect to pay via credit card in lieu of payment by cash or debit card.  The potential penalty for violating the prohibition on surcharges is a fine of up to $500 and/or imprisonment for up to one year. 

 The Law was very recently upheld-

 http://www.courthousenews.com/2015/09/30/2nd-circuit-upholds-n-y-ban-on-retail-surcharges.htm.

 

You ARE authorized to give patients paying cash a discount. The important thing is the stated price is the stated price, regardless of whether you extend a discount. The State's concern is misrepresentation to consumers.  Now, if you accept insurance and make a rule of discounting, you also could potentially have a concern over misrepresentation of anticipated collections / misrepresentation of charges alleged by an insurance company.   You may just want to stick to charging one price!    
 
Hope this helps!

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Title: Getting ready for 2015 HIPAA Breach Reporting!

Date and Time: Wed, Nov 18, 2015 12:00 PM - 1:00 PM EST
Description:  Its that time of the year again! The time when you report when you've been naughty and inappropriately (directly or indirectly) disclosed patient information. Join K&K to discuss practitioner obligations, and a discussion about WHAT IS A REPORTABLE BREACH???
Register: HERE!

Looking for HIPAA and compliance forms?  
Click here to visit our website.
Have a question or comment for Jennifer?
Contact Jennifer at Jennifer@Kirschenbaumesq.com or  at (516) 747-6700 x. 302.

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Looking for HIPAA and compliance forms?  
Click here to visit our website.
Have a question or comment for Jennifer?
Contact Jennifer at Jennifer@Kirschenbaumesq.com or  at (516) 747-6700 x. 302.
Interested in having Jennifer speak at an event or
at a residency/fellowship program?
Contact Jennifer directly at (516) 747-6700 x. 302 or at Jennifer@Kirschenbaumesq.com
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