Honoring medical bills can be a significant challenge which is why top shot companies like JPMorgan Chase, GE Capital, Capital One, Citigroup, Humana, UnitedHealth Group, etc. initially launched special credit cards which can help release our financial burden by paying for the high costs of healthcare. While many of these firms have ceased participating in this program, revolving credit lines have evolved to cover the healthcare costs of consumers. CareCredit is one such credit line offering a convenient way of meeting your medical bills. It is a division of Synchrony Financial, the largest provider of private-label credit cards in the U.S. This card is presently accepted by more than 250000 healthcare providers in the United States as a mode of payment for their services.
How Care Credit Works
CareCredit has a similar line of operation as a normal credit card. However, it is used exclusively for covering traditional medical insurance copayments on covered services. You can also use this card for elective medical procedures which do not come under the purview of traditional insurance plans. Examples of some wellness services and medical procedures for which the card can be used are cosmetic surgery, vision care, dental services, dermatology services, and hearing care. The service providers range from dentists to doctors, surgical centers, hearing centers, veterinary services, hair restoration, etc. If you are a CareCredit cardholder, then you can log onto the CareCredit website and enter your zip code to find the local providers accepting the card.
Consumers become eligible to participate in various short-term financing offers by paying with the CareCredit card. These offers enable them to make payments for 6, 12, 18, or 24 months. No interest will be charged provided they spend a minimum of $200 and honor the full bill within the stipulated time. An extended-time period of up to 2 months is available for a minimum purchase of $2500 with low-interest rates of 17.9%.
Applying For a CareCredit Card
- You can pre-qualify for the card by using their online service at CareCredit.com/Apply.
- You can apply over the phone by calling the toll-free number at 800-677-0718. Here you can proceed with the automated system which is available 24*7. Alternatively, you can apply with a live agent Monday to Friday between 9 a.m. and 9 p.m., Eastern Time.
- You can visit in person and apply through more than 250000 healthcare providers and select retail stores accepting CareCredit.
- Applications made via email or fax are not accepted by CareCredit.
Qualifying For CareCredit
You can check if you qualify for a CareCredit card and doing this will not affect your credit score. The following information shall have to be offered to Synchrony to apply:
- Name
- Date of birth
- Address
- Net income
- Social Security Number or ITIN
- Housing information
Credit Score Requirement for CareCredit
Synchrony has not specified the credit score requirement to qualify for CareCredit. Neither do they divulge the name of the credit bureau they use for getting their credit reports! Since these cards work in a way similar to proprietary store credit cards, they have low requirements in the department of credit scores. People with poor or limited credit history can also get easy approval for a CareCredit card.
Limits of CareCredit Card
The credit limit of your card shall be determined by your credit history. The minimum purchase amount is $200 and the higher ceiling of credit limit is $25000 for those with a good credit score. If you have a poor credit history, then CareCredit can make it easy to pay for medical bills. However, a CareCredit card can be expensive if you fail to repay timely.
CareCredit Card Fees
Providers can log on to CareCredit Official site and fill in details like their First Name, Last Name, Email, Phone Number, Business Name, Zip Code, Website, Industry Name, Role (Practice Owner/ Doctor/ Office Manager/ Medical Director or Hospital Manager/ Other), How can we help you (you might be interested in being a CareCredit provider/ you might require an additional location or you need to intimate a change in ownership update) and Questions/ Comments. Filling out all this information will help the CareCredit team members understand your specific requirements which will help serve your business in the best manner. Once you have signed up, the CareCredit team members will take you through the entire program and processing fees so that you can choose the best financing option. Here you can choose between two promotional financing options:
- No interest if paid in full on qualifying purchases of $200 or more for 6, 12, 18, or 24 months when patients or clients pay the full amount due within the end of the promotional period.
- Reduced APR with fixed payments on qualifying purchases of $1000 or more with 14.9% APR for 24 months, 15.9% APR for 36 months and 16.9% APR for 48 months, and 17.9% APR for 60 months on qualifying purchases of $2500 or more until paid in full.
CareCredit Providers have access to different digital tools and marketing materials that can help them promote CareCredit while communicating via websites to mobile devices. Your prospective clients can check whether they qualify for the CareCredit card to apply and pay instantaneously using their mobile device. All they have to do is just scan the custom QR code or click on the link to make the payment. Providers are paid within two business days through an electronic deposit into their bank account minus the processing fee when your patient pays with CareCredit. The processing rate is determined by a few factors including the special financing option used to process the purchase. Even when the cardholder defaults, the healthcare provider receives payment on time given the non-recourse nature of this program which doesn’t hold the provider responsible for a cardholder’s default or delay in payment.
If you incur substantial medical expenses that are not sufficiently covered by health insurance and the provider doesn’t accept any credit card, then you can benefit immensely from a CareCredit card. It is a convenient way to pay for unexpected expenses, deductibles, coinsurance, copays, and similar costs. However, this card functions more like a loan and offers payment plans over different durations during which you can honor the debt by making minimum monthly payments. No interest shall have to be paid during this time. However, you will be charged a steep interest retroactively from the date of purchase of service on your entire original balance if you fail to pay off the entire balance by the end of the term.