If you are short on cash for an elective surgery or dental work you will not have any trouble finding a ton of sources to finance it. Medical credit cards are now very common place, these cards are specifically designed for paying your out of pocket medical expenses, health care related costs and even veterinarian office visits and pet medications. These cards we created to serve the portion of the consumer market that lives month to month and sometimes have trouble meeting the out of pocket costs that seem to be everywhere when it comes to health care.
You should be careful however with medical credit cards. The banks know you are between a rock and a hard place if you need to apply for a medical credit card, so the rates tend to be high for these cards. These cards tend to be marketed towards people with bad credit or lower credit scores, as people with high credit scores can just put medical expenses on their AMEX card for example. The higher interest rates you will pay can cause your somewhat affordable medical procedure to sky rocket in cost.
Emotions often drive us to apply for these cards. Your faced with a medical emergency, one that will not be performed until you can meet the out of pocket expenses. If you are making vital financial decisions while in this state of mind, you might want to take a step back, read the fine print and examine your finances. You need to carefully consider the impact that any medical credit card or medical loan will have on your overall finances, and if you can deal with the loss of cash flow while you are repaying this debt. If you have the financial resources to pay back the debt completely over time then by all means apply for one, just know what you are getting into.
Some medical credit cards will offer you a promotional period of no interest. This could be either helpful or just delay the inevitable credit crash and burn if your finances are not up to the task of making your payments after the promotional period ends. CareCredit, Citibank and Wells Fargo all offer medical credit cards, and some of these providers also offer these promotional interest free periods several times per year. You should however fully read over the terms and conditions. CareCredit was forced to refund $34 million dollars to consumers for failing to adequately explain the terms, so make sure the terms and conditions are crystal clear to you before you commit.
Medical providers not surprisingly approve of the cards, saying they allow much needed access to medical care that many Americans cannot afford, even with Obama care due to expensive co-pays and deductibles. This is especially true for dental care, where many peoples insurances pay for very little in the way of dental work, outside of fillings and teeth cleaning. Many times people can apply for these cards directly in the medical office and get approved the same day. Of course filling out an app on the spot without taking time to think about the resulting debts can have long term consequences. Approval rates are high for these cards, even for those with bad credit, making this a viable option for millions of Americans that are struggling to meet their medical needs.
Some loan providers are starting to offer instant loans for those who need them. These instant loans offer a viable alternative to medical credit cards. Among the chief providers offering this service is American Healthcare Lending, and they do not just go by your credit score, but instead use alternative methods such as checking account history and non traditional services such as Lexas-Nexus.
All in all you have many viable options when it comes to funding your health care needs. Just be sure to read the fine print and base your decisions on facts and not emotions. You should also ensure you can pay back any money borrowed so that your credit score does not take a negative hit due to lack of payment.