Method of Collecting Delinquent Specialized Debt

Abstract

An internet-based system for organization and collection of specialized debt that is delinquent; an example of specialized debt being healthcare debt.

We claim: 
     
         1 . An interactive internet-based system for conducting competitive bidding on overdue accounts receivable held by at least one healthcare provider, the system comprising: electronic processors, electronic input-output devices for communicating information, a computer database, and a communications network; wherein the computer database is linked to a website on the internet by means of a first electronic input-output device, whereby the website can be accessed by the at least one healthcare provider to send a portfolio of overdue accounts receivable from a software-based revenue cycle management platform to the computer database by means of a second electronic input-output device; whereby the computer database comprises a first software means for sorting the portfolio based on a set of pre-determined parameters, and then ranking the overdue accounts receivable from most collectable to least collectable, and then generating a score for the portfolio, the score based on a “collectability” scale; and whereby the website can be accessed by one or more debt recovery agencies to review the scored portfolio; whereby the computer database is connected to the communications network by means of a third electronic input-output device, the communications network comprising a second software means for allowing the one or more debt recovery agencies to place bids on the portfolio. 
     
     
         2 . An interactive internet-based system according to  claim 1  wherein the website can be further accessed by the at least one healthcare provider to review bids placed on the portfolio; whereby the computer database is connected to the communications network by means of a fourth electronic input-output device, the communications network comprising a third software means for allowing the at least one healthcare provider to contact the one debt recovery agency that wins the right to collect the portfolio of overdue accounts receivable. 
     
     
         3 . An interactive internet-based system according to  claim 2  wherein the right to collect the portfolio of overdue accounts receivable is an exclusive recovery right. 
     
     
         4 . An interactive internet-based system according to  claim 1  wherein the set of pre-determined parameters for sorting the portfolio of overdue accounts receivable comprises: inpatient/outpatient status of service provided, amount of money due, length of time that an account receivable is overdue, and past history of uncollected debt. 
     
     
         5 . An interactive internet-based system according to  claim 4  wherein the set of parameters further comprises for each account receivable: medical information, insurance information, billing information, demographic information, amount of money that the winning bidder receives upon collection of the debt, and instructions for bidding on the portfolio of overdue accounts receivable. 
     
     
         6 . An interactive internet-based system according to  claim 1  wherein the healthcare provider is a member selected from the groups consisting of: a hospital, a physician practice, an urgent care facility, a walk-in clinic, a dental office, a medical practice, doctor's office, an ambulatory surgery center, a chiropractic office, an eye care specialist, a nursing home, a home healthcare agency and a personal care provider. 
     
     
         7 . An interactive internet-based system for conducting competitive bidding on overdue accounts receivable held by at least one healthcare provider, the system comprising: electronic input-output devices for communicating information, a computer database, and a communications network; wherein the computer database is linked to a website on the internet by means of a first electronic input-output device, whereby the website can be accessed by the at least one healthcare provider to send a portfolio of overdue accounts receivable from a software-based revenue cycle management platform to the computer database by means of a second electronic input-output device; whereby the computer database comprises a first software means for sorting the portfolio based on a set of pre-determined parameters, ranking the overdue accounts receivable from most collectable to least collectable, generating at least two subsets from the portfolio of overdue accounts receivable, and then generating a score for each of the at least two subsets of the portfolio of overdue accounts receivable, the score based on a collectability scale; and whereby the website can be accessed by one or more debt recovery agencies to review the scored portfolio; whereby the computer database is connected to the communications network by means of a third electronic input-output device, the communications network comprising a second software means for allowing the one or more debt recovery agencies to place bids on the portfolio. 
     
     
         8 . An interactive internet-based system according to  claim 7  wherein the website can be further accessed by the at least one healthcare provider to review bids placed on each of the at least two subsets generated from the portfolio of overdue accounts receivable; whereby the computer database is connected to the communications network by means of a fourth electronic input-output device, the communications network comprising a third software means for allowing the at least one healthcare provider to contact the debt recovery agency that wins the right to collect the portfolio of each of the at least two subsets generated from the portfolio of accounts receivable. 
     
     
         9 . An interactive internet-based system according to  claim 8  wherein the right to collect the portfolio of overdue accounts receivable is an exclusive recovery right. 
     
     
         10 . An interactive internet-based system according to  claim 7  wherein the set of pre-determined parameters for sorting the portfolio of overdue accounts receivable comprises: inpatient/outpatient status of service provided, amount of money due, length of time that an account receivable is overdue, and past history of uncollected debt. 
     
     
         11 . An interactive internet-based system according to  claim 10  wherein the set of parameters further comprises for each account receivable: medical information, insurance information, billing information, demographic information, amount of money that the winning bidder receives upon collection of the debt, and instructions for bidding on the portfolio of overdue accounts receivable. 
     
     
         12 . An interactive internet-based system according to  claim 7  wherein the healthcare provider is a member selected from the groups consisting of: a hospital, a physician practice, an urgent care facility, a walk-in clinic, a dental office, a medical practice, doctor's office, a chiropractic office, an eye care specialist, a nursing home, a home healthcare agency and a personal care provider. 
     
     
         13 . A method of conducting an auction of delinquent specialized debt over the internet, the method comprising:
 (a) providing a secure website for access by at least two selective buyers of said specialized debt;   (b) obtaining over the website necessary information from the at least two selective buyers; wherein the necessary information comprises: (1) financial statement, (2) years in business, (3) experience with specialized debt, (4) industry affiliations, and (5) references;   (c) rating the at least two selective buyers by use of a calculation that employs the necessary information to obtain a rating number for each of the two selective buyers;   (d) contacting the at least two selective buyers over the website to advise them of their rating number; and   (e) allowing the at least two selective buyers to access a portfolio of specialized debt, provided that their rating number is acceptable.   
     
     
         14 . A method according to  claim 13  wherein the portfolio of specialized debt is prepared according to a method comprising:
 (1) providing a secure website on the internet for access by at least one holder of specialized debt; 
 (2) obtaining over the website at least one segment of the delinquent specialized debt from the at least one holder, wherein the specialized debt is disorganized; and 
 (3) organizing the at least one segment of delinquent specialized debt into a portfolio of specialized debt, wherein the portfolio of specialized debt has a value that is presentable to a community of selective buyers for bidding on said portfolio. 
 
     
     
         15 . A method according to  claim 13  further comprising the steps of:
 (f) accepting bids on the portfolio of specialized debt from the at least two selective buyers; 
 (g) reviewing the bids on the portfolio of specialized debt; 
 (h) determining a winner of the bidding on the portfolio of specialized debt; and 
 (i) contacting the winner of the bidding on said portfolio; whereby steps (f) through (i) are conducted over the internet. 
 
     
     
         16 . A method according to  claim 15  wherein steps (f) through (i) are conducted by the seller of the portfolio of specialized debt.