ADA supports No Fees for EFTs Act

Legislation would stop health plans from imposing fees for electronic funds transfers

The ADA is expressing support for the No Fees for EFTs Act, which would block health plans from imposing fees on health care providers, including dentists, for electronic funds transfers. 

The Association said the legislation would reduce the burden dental insurers place on dental providers, and encourage investment in patient care.

In two separate May 2 letters, sent to bill sponsors Sen. Bill Cassidy, R-La., and Rep. Gregory Murphy, R-N.C., the ADA said that the legislation is necessary because many dental insurers charge providers a fee to process an electronic fund transfer. The EFT processing fees amount to a reduction in the contracted rate agreed upon between dentists and plans, the ADA said, reducing dentists’ ability to reinvest in their practices to improve patient care and competitively compensate staff. 

“To address this problem, the No Fees for EFTs Act would prohibit plans from imposing fees on providers for standard EFTs. Passage of this bill would help dentists and other providers have the resources to deliver optimum care for their patients, rather than being burdened by additional onerous requirements from insurance plans,” ADA President Linda J. Edgar, D.D.S., and Executive Director Ray Cohlmia, D.D.S., said in the letter. 

The bill has been introduced in both the House and Senate. In the House, the bill was referred to the Committee on Energy and Commerce and the Committee on Ways and Means. In the Senate, the bill was referred to the Committee on Finance. 

Follow all of the ADA’s advocacy efforts at ADA.org/Advocacy.