Dental financing with a bad credit score is difficult but not impossible. The best news for someone with bad credit but who needs to finance dental health is that they can apply different formulas. Although, the truth is that if you have bad credit, you will have a harder time than if your credit score is good.
How many options are there for dental financing?
We can apply many different options for people who need dental financing. Just as many dental treatments, they can be paid for in different ways. The two most common methods would be to pay in cash, as the customer care is provided, or to pay in installments or deferred.
For cash payments, we can use our funds for dental financing. Also, we can use our savings or different financing tools for deferred payments.
What are dental financing loans?
A dental financing loan is a loan that is used exclusively for the payment of any treatment related to teeth. It is important to note that you can use it for any treatment, from preventive treatments to tooth replacement.
Another important fact is that few personal loans directly relate to dental financing. Therefore, you will usually have to turn to regular personal loans. Remember that most personal loans allow you to finance all needs, including health care and oral health care.
Therefore, with very few exceptions, we refer to any personal loan supporting this feature when discussing a dental financing loan.
| Bad credit history | Good credit history | |
| Ease of borrowing | easy | difficult |
| Need for additional collateral | Rarely | Often |
| More expensive loans | No | Yes |
| Longer loans | Yes | Rarely |
What is deferred payment dental financing?
One of the features that some dental clinics offer their clients is the possibility of deferred payment. Generally, deferred revenue can be applied even without interest if you do not have a large amount. However, the clinic may charge an additional fee for assuming the risk of deferred payment if you have a bad credit score.
In other cases, interest is charged depending on the amount of money deferred, and the repayment terms applied. The most important difference concerning a personal loan is that this financing is usually more convenient. The advantage is that you can do the whole operation from a single place without additional documentation.
On the other hand, the main problem is that when interest rates are applied, they are usually higher than the average for personal loans.
What are your dental financing options with bad credit history?
Even if you have a bad credit history, it is enough to have dental financing options to pay for this type of treatment. However, it would help if you considered that it would be more difficult to find or expensive than someone with a good credit history.
The first option, which you should always consider, is to resort to your funds. Remember that whatever you save in interest is always a good idea. If you can afford the full treatment (or part of it), it is appropriate to use it to avoid bearing costs or expenses on loan.
The second option is to use your already approved credit tools. For example, if you have an approved deferred payment credit card, it may be a good idea to use it for full or partial treatment payments. Remember that if you don’t exceed the limits, you won’t have to go through any additional bureaucratic tasks that consider your credit history.
Another option, third, would be to turn to market loans. Here you will encounter the usual problem of bad credit history. It will be harder to find a lender, or they will ask for more interest. However, remember that many lenders specialize in this type of loan. In other words, you will find financing, although generally more expensive.
Finally, you can also use financing tools offered by dental professionals. Sometimes, these tools will allow you to defer payments at no additional cost or interest. In other cases, they will be direct installment payments with interest that will consider your credit history.