Reporting a Change in Banking Arrangements

Making a change in your practice’s banking arrangements can really be a hassle. You have to account for all the transactions that go into the account as well as those that come out, and prepare to do all those transactions with the new account. Some of these are payroll, automatic transfers or payments and debit card transactions.

Don’t forget direct deposit payments from insurers with which you are enrolled! 

Reporting Banking Changes to Medicare and Medicaid

For Medicare and Medicaid, The Centers for Medicare & Medicaid Services (CMS) requires that, once you are initially enrolled, you must report certain changes – reportable events – to your Medicare administrative coordinator within 30 days. The applicable events include banking arrangement changes as well as changes to practice location, ownership, general supervision and final adverse actions. You have 90 days for other changes to your enrollment application.

It is critical that you report changes on a timely basis. Not reporting the abovementioned changes may affect claims processing, claims payment or even your ability to participate in Medicare.

It’s easiest to report changes to banking arrangements via the PECOS system. You can also use the applicable Medicare Enrollment Application Form CMS-855.

Reporting Banking Changes to Other Insurers

Notify each commercial carrier of the banking change. You can use their online portals to make the change via their electronic data interchange (EDI) provider, or contact the carrier directly to ensure that the payments are moved to the correct bank. Tell them the effective date and include a new voided check or a bank letter. Be sure to update all payers that make direct deposits.

Whether you report the change to CMS or to other insurer, keep your old account open during the update period. It’s a good idea to be prepared to handle paper checks during the transition, as it typically takes 45-60 days for electronic funds transfer updates.

Let Us Manage All Your Payer Enrollment Services

If you require medical credentialingand payer enrollmentneeds for your practice or medical facility, please contact1st Assistant.Our experienced and dedicated specialists will provide all credentialing and enrollment services quickly and will monitor your account for ongoing updates and re-attestations. Heidi Henderson, our company owner and President, is eager to meet you and discuss your payer enrollment needs. Please call us at 512.201.2668 or contact us via the website.