Medical credit cards are often used when an individual requires medical services that are not covered by their insurance, or if the insurance does not cover the total cost. Medical credit cards can be used to cover various of other procedures such as Lasik or even vision procedures, cosmetic surgery, dental work, veterinary services, and much other care.
Below is the list of things that you should consider before getting yourself a medical credit card:
1. Limited use
Do you think that medical credit cards work the same way with your credit card? It does not. Instead, they are very limited in usage and are more similar to a retail credit card. The cards can only be used to cover medical services and only when the service provider accepts that payment method.
2. Credit score
Your credit card also affects your credit score. They are essentially credit products, which will require a credit check for you to be able to avail it. Just like a credit card, you have to first apply, and you can be denied if you do not meet the credit qualification.
If you are approved, your account details will be reported back to the credit bureaus, included on your credit report and will weigh into your credit score. Paying it on time is very important to ensure that your credit is not affected.
3. Deferred interest
Much medical credit card that stated they offer a 0% interest for a specific introductory period. However, most people are not aware that there is a catch to it. The promotion is actually a deferred interest deal, which is very different from 0% introductory that they offer. This means, that you have to pay the full balance before the promotional period ends to receive the 0% interest deal. Otherwise, the remaining balance would be hit by the interest starting from the initial transaction.
4. Medical debt
We are all aware of the high cost of medical treatment, and that it is cited as one of the reasons for bankruptcy. A common problem that is seen with medical credit cards are that medical staff are not fully aware of the terms and conditions of the credit cards. Patients are often left without cost information they need to make an informed decision. If this happens, the patient can be left with a huge medical bill that they have to pay too at the end.
Even tho medical cards can help your situation, and serve as an alternative if you do not have medicare plans 2020, there are a lot of any other alternatives. Other alternatives can be medical account savings, etc. Before using your medical credit card, you have to consider and evaluate any special financing, fees, late payment penalties that might happen to you once you start using it. Weigh wisely against your other options before you make a final decision. Remember, being healthy is important, but being financially safe is too.
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