How the CareCredit credit card can help pay your medical bills when your health insurance won’t cover the bill

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CareCredit cards are a special type of credit vehicle used for medical expenses not covered by medical insurance. This is not an ordinary credit card and cannot be used for everyday purposes.

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A CareCredit credit card can pay for health and wellness care from more than 250,000 registered providers across the country. It doesn’t have to be a one-time use card – the card can be used anytime, anywhere or any doctor’s office that accepts CareCredit.

The credit card allows short-term financing options of 6, 12, 18 or 24 months with no interest charges on purchases of $200 or more – as long as the minimum payment is met and the full amount is paid before the end of any promotional offer. period. If you miss payments or do not pay the full amount before the agreed term is met in your contract, then interest will be charged.

You can apply for the card without affecting your credit score. As with most short-term finance loans, the biggest impact on credit scores occurs if the full amount is not repaid after the promotional period. Once interest starts accumulating, companies can then report you to credit reporting agencies.

Common medical expenses vary and may include:

  • Pet or veterinary care.
  • Chiropractic care.
  • Plastic surgery.
  • Dentistry.
  • Dermatology.
  • Health system and hospitalization costs not covered by insurance.
  • Hearing aids.
  • Lab tests not covered by insurance.
  • Medical equipement.
  • Vision care.
  • Spa treatments.

Depending on the insurance you currently have, things like dental work and contact lenses (which are often exempt from insurance coverage) can be paid for using the CareCredit card.

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According to the company’s website, CareCredit also extends longer-term healthcare financing in some cases: 24, 36, 48, or 60 month terms with a reduced APR and required fixed monthly payments are offered. “Purchases of $1,000 or more may be eligible for a 24 month offer with an APR of 14.90%, a 36 month offer with an APR of 15.90% or a 48 month offer with an APR of 16.90%. Purchases of $2,500 or more may qualify for a 60-month offer with an APR of 17.90%,” CareCredit details regarding current policies, pending credit approval.

CareCredit can be a great addition to your regular insurance plan if you’re looking to get cosmetic work done – or have certain treatments performed that might be more expensive or exempt from your existing insurance coverage – but don’t want to damaged credit or high interest rates starting from the first payment due.

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About the Author

Georgina Tzanetos is a former financial advisor who studied post-industrial capitalist structures at New York University. She has eight years of experience with concentrations in asset management, portfolio management, private banking and investment research. Georgina has written for Investopedia and WallStreetMojo.