Third-Party Administrator (TPA) Cannon Cochran Management Services, Inc. (CCMSI) has partnered with MedRisk and ECHO Health, Inc. to foist Virtual Credit Card (VCC) payments onto providers.

As daisyNews has warned previously, VCC payments incur transaction fees that can result in significant revenue loss, for no tangible benefit to the practice.

Beginning in March 2026, providers will automatically receive VCC payments for CCMSI bills if they are “not currently registered with ECHO to accept payments electronically,” presumably through ECHO’s platform. Providers must actively opt out of VCC to avoid incurring transaction fees that may be as high as 7% of the reimbursement.

We strongly urge all providers to opt out of VCC payments immediately and instead use Electronic Funds Transfer (EFT) or check payments. While CCMSI/MedRisk/ECHO may legally impose administrative legwork on providers who wish to decline VCC payments, payers cannot require providers to accept credit cards. Act now.

ECHO to Providers: Surprise, You’re Paying VCC Fees Now

In the notice to providers above, ECHO announced, on CCMSI’s behalf, that the default payment method for providers who are not signed up for electronic payments will be VCC.

Claiming that it’s part of CCMSI’s “ongoing commitment to simplify and improve payment transactions” for providers, ECHO claims that the TPA is “excited” to offer “quicker reimbursement and more efficient payment reconciliation.” This cheery corporate blather frames the announcement as a convenience for providers.

In truth, it’s anything but.

For group health patients, it may make sense to accept credit card payments for copays. But in workers’ comp, a provider who accepts a credit card from a payer incurs fees on the entire bill.

As daisyBill has warned for years, VCC transaction fees can range from 2% to 7% of the total payment amount. Because VCC payments are considered higher-risk as “card not present” transactions, the fees tend to be on the higher end.

For example, on a $5,000 treatment bill, a 7% fee would cost the provider $350. This money goes to credit card processors, VCC vendors, and, in some cases, the payer (through rebates or revenue sharing). In exchange, the provider gets absolutely nothing of real value.

The "Faster Payment" Fiction

As noted above (and typical of pro-VCC propaganda), ECHO's announcement cites “quicker reimbursement and more efficient payment reconciliation” as benefits of the new payment system. This ignores some key facts:

• States already mandate legal payment deadlines for workers’ comp treatment.
• Payment for electronic bills (e-bills) is generally rapid, regardless of the payment method.

According to daisyData, based on millions of provider bills nationwide, our clients receive payment notice in 9.5 working days on average. In reality, no data supports the idea that providers are better off paying 2%-7% transaction fees in exchange for allegedly faster VCC payment.

Opt Out NOW

As the ECHO message states: "No action is needed to begin receiving [VCC] payments."

That means providers may already be auto-enrolled in VCC payments. As daisyBill has documented with similar VCC programs from Jopari and QuicRemit, running even a single VCC payment can lock a practice into the VCC arrangement, designate VCC as the "preferred payment method," and make opting out significantly more burdensome.

Remember: payers cannot require providers to accept VCC payments. Accordingly, CCMSI and ECHO offer alternatives, including:

• EFT payments from CCMSI only: Providers can enroll here. No fees apply.
• EFT payments from all payers processing payments on the ECHO platform: Providers can enroll here. This may incur fees.
• Paper Check: To receive paper checks, simply opt out of VCC and EFT enrollment.

Providers should instruct staff never to run a VCC payment. If your practice accepts a CCMSI VCC payment, contact ECHO at (800) 398-7798 and instruct them to issue all future payments as EFT or check.

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