PORTLAND, Ore.--(BUSINESS WIRE)--CarePayment, the national leader in patient financial engagement, has expanded its funding agreement with Aequitas Capital to include a total of $200 million of senior debt, supported by $100 million in new financing from Wells Fargo. Wells Fargo is the second of the four largest U.S. banking institutions to provide financing to Aequitas Capital for CarePayment in less than 12 months, supplementing the $60 million credit facility from Bank of America Merrill Lynch, announced last May.
After exponential growth in 2014, CarePayment is seeing demand accelerate even as it prepares to roll out new features and payment products in 2015. CarePayment will draw on the multi-year warehouse securitization facility from Wells Fargo to support this fast-growing demand for its patient financing solutions, which feature payment options with 0.00% APR for the life of the account and no hidden fees or impact on credit reports.
CarePayment more than tripled the number of medical facilities featuring its affordable patient financing to nearly 500 last year. They include Emory Healthcare and DeKalb Medical in Georgia, Michiana Hematology Oncology in Indiana and Longmont United in Colorado as well as Blue Mountain Health, Excela Health and Crozer-Keystone Health in Pennsylvania.
Health systems, hospitals, physician practices and other healthcare organizations are turning to CarePayment as more patients struggle to cover their high deductibles and other rising out-of-pocket medical expenses. Nearly half, or 46%, of Americans say basic medical care costs are a hardship, compared to 36% a year earlier, according to a December 2014 New York Times/CBS News poll. One in four admit skipping medication and 31% avoided needed treatment because they couldn’t afford it.
“The financing from Wells Fargo is a strong vote of confidence for CarePayment and our expanding patient financial engagement programs. We feature a practical, flexible solution for overcoming the healthcare affordability gap,” says Craig Hodges, CarePayment CEO. “With the rise of healthcare consumerism, our financing options also satisfy the higher expectations of patients who want providers to help them cope with financial as well as clinical matters of care.”
Headquartered in Lake Oswego, Oregon, CarePayment is a patient financial engagement company that accelerates provider transition to the new consumer-driven healthcare market. Powered by advanced technology and analytics, our innovative patient financing solutions improve patient satisfaction and loyalty while delivering superior financial results. By partnering with healthcare providers to make affordable financial options available, CarePayment helps patients get the care they need, when they need it, while protecting the financial health of provider organizations so they can continue to offer valuable care to the community. The CarePayment 0.00% APR payment program is compliant with applicable state and federal consumer credit laws, requires no application, and is supported by a friendly US-based customer service staff. Accounts for the program are issued by WebBank of Salt Lake City, UT. Find more information at www.carepayment.com.
About Wells Fargo
Wells Fargo & Company (NYSE: WFC) is a nationwide, diversified, community-based financial services company with $1.7 trillion in assets. Founded in 1852 and headquartered in San Francisco, Wells Fargo provides banking, insurance, investments, mortgage, and consumer and commercial finance through more than 8,700 locations, 12,500 ATMs, and the internet (wellsfargo.com), and has offices in 36 countries to support customers who conduct business in the global economy. With approximately 265,000 team members, Wells Fargo serves one in three households in the United States. Wells Fargo & Company was ranked No. 29 on Fortune’s 2014 rankings of America’s largest corporations. Wells Fargo’s vision is to satisfy all our customers’ financial needs and help them succeed financially. Wells Fargo perspectives are also available at Wells Fargo Blogs and Wells Fargo Stories.