Best Personal Loans for Medical Expenses

Introduction

Medical expenses loans can be a crucial financial lifeline when unexpected healthcare costs arise. In this guide, we'll explore the best personal loans for medical expenses and how to secure quick approval. Personal loans can cover a range of healthcare costs, from surgeries and dental work to fertility treatments and emergency care. By providing immediate financial relief, medical loans enable patients to focus on getting well, rather than being burdened with financial stress.

What are Medical Loans?

Medical loans are a type of personal loan designed to cover healthcare expenses. These loans can be used to pay for various medical procedures, treatments, and associated costs that may not be fully covered by insurance. Common uses include surgeries, dental work, fertility treatments, cosmetic procedures, and medical emergency loans.

Why Consider Personal Loans for Medical Expenses?

Personal loans for medical expenses can provide immediate financial relief when someone is suffering from cancer or a serious illness that could be life-threatening or disabling. With today’s skyrocketing healthcare costs, medical expenses add up quickly. Medical financing options are important so immediate funds can cover medical expenses without depleting savings or emergency funds. 

As unsecured loans, healthcare loans don't put personal assets at risk. Medical loans can have predictable payments, with fixed interest rates, to help relieve borrowers' financial strain that can be stressful when unexpected and significant long-term hospitalization is required. 

How to Borrow Money for Medical Expenses with Personal Loans

You can borrow money for medical expenses through various financing options, including personal loans and specialized medical loans. For people with poor credit, some online lenders offer loans for medical expenses. Primerates allows you to access multiple lenders who loan money to those with less-than-perfect credit to pay their medical bills.

Popular Medical Expenses Loan Options

• Surgeries and Procedures: Loans for surgery provide financial support to cover the high costs of medical operations, enabling patients to access necessary treatments without immediate out-of-pocket expenses. Loans for medical procedures can cover a range of surgeries, from elective cosmetic procedures to critical medical interventions. For those with less-than-perfect credit, surgery loans for bad credit offer needed help.

• Hospital and Rehab Bills: Medical loans help manage the significant expenses due to hospital stays and rehabilitation programs. These loans ensure that patients can focus on their recovery without added financial stress. By spreading the cost over time, hospital and rehab financing makes it easier to handle large bills.

• Prescription Medications: Financing options cover the ongoing cost of prescription medications, a substantial burden for chronic conditions. Medical loans allow patients to afford necessary medications without interrupting their treatment plans, which are beneficial when insurance coverage is limited or unavailable.

• IVF and Fertility Treatments: Fertility treatments like IVF can be prohibitively expensive, but medical loans provide medical procedure financing. Loans for IVF and fertility treatments enable hopeful parents to pursue their dream of starting a family without facing immediate financial constraints. Many lenders offer specialized financing plans tailored to the unique needs of fertility treatments.

• Dental Work: Dental implants can be financed through specialized dental loans to help patients manage the high costs associated with extensive dental work. Options like dental implants payment plans allow patients to pay over time, making treatments more accessible. Orthodontic financing is also available.

• Vision Care: Financing vision care like Lasik surgery makes it possible to improve your eyesight without bearing the entire cost upfront. Loans for vision care provide an affordable way to reduce dependency on glasses or contact lenses. 

• Physical Therapy and Rehabilitation: Loans for physical therapy and rehabilitation services ensure patients can afford the ongoing care needed for recovery and improved mobility. They cover the costs of sessions, and equipment, making rehabilitation more accessible. Financing options allow patients to spread the cost of therapy over time, reducing the financial strain.

Hidden Costs and Fees Related to Medical Loans

• Origination Fees:  Some lenders charge origination fees, which are upfront costs deducted from the loan amount to cover processing and administrative expenses. These fees typically range from 1% to 5% of the total loan.
• Late Payment Fees: Missing a payment can result in late payment fees, which add to the overall cost of the loan. These fees can be substantial and negatively impact your credit score.
• Prepayment Penalties: Certain lenders impose prepayment penalties if you pay off your loan early. These penalties recoup lost interest revenue and can reduce the financial benefits of early repayment.

What Are the Different Types of Medical Loans?

• Personal Loans: These are unsecured loans that can be used for any medical expense, generally with fixed interest rates and flexible repayment terms based on your creditworthiness.
• Medical Credit Cards: Specialized credit cards are designed for healthcare expenses and often come with promotional financing options, like 0% interest for an introductory period.

What Credit Score is Needed to Finance Medical Expenses?

• Required Credit Score for Medical Loans: Usually,  a credit score of 670 or higher is required to secure medical loans with favorable terms and lower interest rates. Lenders use this score as an indicator of creditworthiness, ensuring that borrowers can reliably repay the loan.
• Medical Loans for Bad Credit: Getting medical loans with poor credit can be challenging, but not impossible. Some lenders specialize in medical loans for poor credit. These loans might have less favorable terms, but provide access to necessary medical funds when other options aren’t available.

Medical Expense Loans for Your Needs

Modern lenders offer personal loans specifically designed to cover various medical expenses, from treatments and surgeries to medications and aftercare. Here’s a detailed review of three leading lenders, highlighting their pros and cons.

LightStream

» MORE: LightStream Personal Loans Review

Avant

Among the internet’s leading lending platforms, Avant offers borrowers with less-than-stellar credit access to loans for HVAC units, whereas most banks would turn these applicants away.

• Loan Amounts — $2,000 to $35,000
• APR — 9.95% to 35.99%
• Origination Fee — 4.75%
• Time to Funding — Next day
• Repayment Terms — 2 to 5 years

Pros & Cons

• Avant is among the best for people with credit scores as low as 580
• This lender charges late fees and administrative fees
• Loan payments are flexible, and you only need an annual income of $20,000 to get approved

NetCredit

NetCredit is an online lender that considers more factors than simply an applicant’s credit score when determining whether or not to issue them a home improvement loan.

• Loan Amounts — $2,000 to $10,000
• APR — 34% to 155%
• Origination Fee — None
• Time to Funding — 1 to 3 days
• Repayment Terms — 6 months to 5 years

Pros & Cons

• NetCredit is a great option for applicants with poor to average credit scores
• Homeowners with decent to excellent credit scores will get better rates elsewhere
• On-time payments with this lender can help homeowners with bad credit improve their scores

Upgrade

Upgrade specializes in low, fixed-rate loans that borrowers can use for major purchases, home improvement, debt consolidation, or to refinance balances on existing credit cards.

• Loan Amounts — $1,000 to $50,000
• APR — 7.99% to 35.89%
• Origination Fee — 1.5% to 6%
• Time to Funding — 1 day
• Repayment Terms — 3 to 5 years

Pros & Cons

• Upgrade loans are a solid option for applicants with below-average to decent credit scores
• Many borrowers choose Upgrade because the lender makes it easy to consolidate debt
• You’re not likely to get approved if you have less than $800 left over at the end of each month

Conclusion

Medical loans offer a vital financial solution for managing the high costs of healthcare, ensuring necessary treatments and procedures are accessible without immediate financial difficulties. By understanding the types of medical loans and associated benefits, patients can make informed decisions to alleviate financial stress and focus on their recovery. Whether dealing with planned medical expenses or unexpected emergencies, medical loans provide the support needed to effectively meet the financial challenges of healthcare. 

Primerates stands above other loan options, providing a swift, convenient method for obtaining funds to pay for medical costs. We link borrowers to lenders who offer personal loans via a hassle-free pre-qualification process. Once you pre-qualify, you select the offer that best fits your needs and finalize your application with them. The process is simple. Apply online in just minutes and relieve the stress from overwhelming medical expenses.