MA 50 Week 4 Spelling and Terminology
Fair Debt Collection Practice Act
1977 federal law that outlines collection practices
Truth-in-Lending Act
also known as the Consumer Credit Protection Act of 1968; an act requiring providers of installment credit to state the charges in writing and to express the interest as an annual rate
balance
amount owed (N); to verify posting accuracy (V); records difference between debit and credit columns
accounts receivable
amount owed to a business for services or goods supplied
cashier's check
bank's own check drawn against the bank's account
voucher check
check with detachable form used to detail reason check is drawn; commonly used in payroll checks
probate court
court that administers estates and validates wills
credit
decreases balance due; column used for entering payments
day sheet
form used with pegboard system to record daily patient transactions
encounter form
formerly known as a charge slip or superbill. A copy of this is given to the patient after seeing the provider. It identifies the procedures performed, diagnoses, charges, and when to return
collection ratio
gross income divided by the amount that could have been collected less disallowances
adjustments
increases or decreases to patient accounts not due to charges incurred or payments received
pegboard system
most commonly used manual medical accounts receivable system
traveler's check
often used in place of cash when traveling; available in denominations of $20 to $100; requires a signature at place of purchase as well as signature at the time the check is used
accounts receivable ratio
outstanding accounts receivable divided by the average monthly gross income for the past 12 months
payee
person named on check who is to receive the amount indicated
ledger
record of charges, payments, and adjustments for individual patient or family
posting
recording financial transactions into a bookkeeping or accounting system
petty cash
small sum kept on hand for minor or unexpected expenses
notary
someone with the legal capacity to witness and certify documents; can take depositions
statute of limitations
statute that defines the period in which legal action can take place
accounts payable
sum owed by a business for services or goods received; also unwritten promise to pay a supplier for property or merchandise purchased on credit or for a service rendered
guarantor
the person identified as responsible for payment of the bill
debit
used for entering charges and description of services; column is on the left