What Is Patient Financing?

Most patients don’t say “no” to treatment because they don’t want the outcome.

They say no because:

• The full amount is due today
• They weren’t expecting the cost
• They’re embarrassed to talk money at the front desk

Patient financing is a way to break that barrier.

Instead of paying everything upfront, patients can split their treatment cost into smaller monthly payments — often instantly approved at checkout — while your clinic still gets paid quickly.

Why clinics are moving away from “pay in full or nothing”

For years, the default playbook has been:

• ✅ Small procedures → pay at time of service
• ✅ Larger cases → basic in-house payment plans, or
• ❌ “We’ll email you the estimate, let us know if you want to move forward”

That model breaks down when:

• You’re presenting larger treatment plans ($2k–$10k+)
• Patients don’t have available credit or savings
• Staff feels awkward asking, “How would you like to pay today?”

The result?

Treatment is clinically accepted but financially declined.

Patient financing gives you a middle ground: patients still say “yes” to the full treatment plan, but pay for it over time.

How patient financing works (in simple terms)

At a high level:

1. You present the treatment plan

   • For example: $4,800 for aligners and restorative work.

2. You introduce monthly payments

   • “We can also split this into monthly payments starting around $120–$150, depending on the term and approval.”

3. The patient applies in seconds

   • They scan a QR code or receive a secure link.
   • Basic info is collected (no paperwork, no long forms).

4. An instant decision is returned

   • Approved offers are shown with different terms (e.g. 6, 12, 18 months).
   • The patient chooses what works for their budget.

5. You schedule and start treatment

   • Your clinic gets paid according to your agreement with the financing partner.
   • The patient pays their installments over time.

From the clinic’s point of view, this should feel as simple as:

“Present treatment → send link → see decision → book the case.”

Patient financing vs. in-house payment plans

A lot of clinics try to “DIY” financing using internal payment plans.

Here’s how patient financing compares to that approach:

In-house payment plans

Pros:

• Full control over terms
• No external vendor needed

Cons:

• Your team is now a mini collections department
• Failed cards, late payments, and follow-ups eat up time
• Higher risk of write-offs and uncomfortable conversations

Third-party patient financing

Pros:

• Instant approvals and clear terms
• Automated payments and collections
• Predictable process for staff
• Less emotional friction at the front desk

Cons:

• You’ll typically pay a fee or discount rate
• You need to choose a partner that aligns with your patient base

The key question isn’t “Is there a fee?” — it’s:

“Does this help us say yes to more complete treatment and grow the practice, even after fees?”

What this looks like in a real checkout flow

Here’s a simplified version of how a modern financing flow fits into your day-to-day:

1. Treatment plan is ready
   The provider or treatment coordinator builds out the plan in your practice software.

2. Financing is introduced early
   Instead of waiting until the end, staff sets expectations:

   “We’ll walk through the total, and if you prefer, we can also look at monthly payment options.”

3. The patient gets a dedicated link
   This might be:

   • A QR code on an iPad
   • A secure link sent via SMS
   • A link opened by staff on a side screen

4. Approval comes back while they’re still in the chair
   No “we’ll call you later.”
   No asking them to apply at home and “let us know.”

5. Scheduling happens on the spot
   Because the payment plan is already in place, it’s easier to comfortably say:

   “Let’s get your first appointment on the calendar.”

This is where a platform like Luma is designed to live — right inside that checkout moment, not as a separate, disconnected process.

Benefits for your clinic

When patient financing is integrated into your workflow, you’ll usually see benefits in three areas:

1. Higher case acceptance

Patients who might have said, “Let me think about it” can now say:

“I can do $140/month, let’s go ahead.”

Even a small increase in acceptance on larger cases can meaningfully shift monthly production.

2. Smoother front-desk conversations

Patient financing lets your team:

• Present options instead of ultimatums
• Focus on outcomes (“getting you out of pain”) instead of just cost
• Lean on a standardized process:
  • “We always show upfront + monthly options”

This reduces staff stress and builds more trust with patients.

3. More predictable cash flow

Depending on how your financing partner settles funds, your clinic can:

• Receive funds faster and more predictably
• Reduce manual tracking of who owes what and when
• Spend less time chasing overdue payments

You’re essentially trading some margin for speed, volume, and simplicity — which is often a good trade when you’re growing.

When is patient financing a good fit?

Patient financing tends to make the biggest difference when:

• You routinely present larger treatment plans ($2k+)
• You serve patients who don’t have large credit lines or savings
• You want to grow higher-value cases (implants, aligners, cosmetic, etc.)
• Your team feels like they’re having the same “I can’t afford it” conversation multiple times a week

If you’re only doing small, low-ticket procedures, it’s less critical.
But once you start building a pipeline of bigger cases, a clean financing experience becomes a strategic lever — not just a nice-to-have.

How Luma is thinking about patient financing

At Luma, we’re building patient financing tools specifically for dental and cosmetic clinics that want:

• A checkout flow that feels fast and modern
• Approvals that don’t feel like a black box
• A way to introduce payments without awkward pressure
• Clear visibility into which patients are using financing

Our goal is simple:

Make it as easy to offer monthly payments as it is to collect a card on file today.

If you’d like to see what this looks like inside a real workflow, our upcoming posts will walk through:

• How to train your team to talk about financing confidently
• Where to introduce financing in your exam & treatment presentation
• What metrics to track as you start offering payment options