Medical Fintech Startup PayZen Raises $15M To Grow ‘Care Now, Pay Later’ Model
Summary
Medical fintech startup PayZen raised $15 million in a Series A round to expand its “care now, pay later” model for hospitals and patients in the United States. The San Francisco-based fintech company sells an AI-backed technology that hospitals, health systems and other large physician groups can use to figure out patients’ ability to pay for their care, whether that be regular visits for a chronic illness, an elective procedure or a much-needed surgery. If money is a problem, the medical provider can have PayZen bridge the gap between its billing department and the patient to set up an interest-free payment plan. Basically, we’re going to make it successful for you to repay it over time, … and, by the way, we approve 100 percent of patients.” The startup’s business model relies on medical providers to pay for the platform and integrate it into their own internal systems. “Medical debt remains the number one source of bankruptcy in the U.S., and as a result, people are avoiding potentially life-saving care,” Chris Scoogins, a partner at SignalFire, said in a statement.