Last year my dog broke her femur into two when she jumped out of my arms after a big dog startled her. The surgery cost $1,600+ which is a lot for a recent college grad unsuccessfully looking for a job in this market.
I paid a little of the balance in cash and asked my Vet if he could do a payment plan for the rest of it and that I would sign a contract to make a payment every month. He said he couldn't do that but told me about Care Credit and their 0% APR for a year on this balance. I did not want to open a new credit card, or creditline such as this because I didn't know if I would be able to find a job, and I didn't want to deal with the hassle of paying a credit company ( I much rather had paid the Vet directly). I had No OTHER OPTION since the Vet did not take payments, so I had to apply for care credit to pay in full to the Vet to have the surgery done.
(Looking back, I would rather have asked my own bank or a friend to help me pay in full to avoid almost 30% in interest charges!). I have been paying the minimum monthly balance because I still have not found a job. In the beginning I had high hope that I could find a job soon so I could pay off the balance and NOT pay any interest (it is almost 30% interest if you do not pay in full by the end of your promotional period! 30% people, that is a HUGE rip off, an act of sharks circling your money.
Even if I am broke, I have very good credit at a score between 710-719, I should not be paying 27+% on APR...which amounts to $300 basically on a loan of $1,500 to help my poor dog. So in the end, my dog's accident cost me a total of $1,800 if I do pay off the rest of the Balance + $300 interest amount by next year. If I don't pay the current balance by this year, they will tack on even more interest! I should have applied for a loan from one of my bank or even borrowed money from a family or friend to pay of the Vet bill instead of using CareCredit.
Carecredit makes money off both the patient and doctors, because there is a reason why doctors are so eager to have patients sign up for the service.
There is always money being made off financing for those who cannot afford to pay off something in full right away. I just wished CareCredit would allow for a balance transfer because my credit card is offering no transfer fee, but they wont because they would rather keep collecting interest on you.
Product or Service Mentioned: Carecredit Credit Card.
Monetary Loss: $300.