Paying for dental work can be stressful, especially if you’re facing an expensive but necessary procedure and have to pay out of pocket. Fortunately, dental financing could help reduce the financial burden.
This is good news for the roughly 34% of patients who don’t have dental insurance, according to American Dental Association data. Even if you do have insurance, chances are your policy won’t cover your entire bill, especially if you’ve reached the benefit maximum for the year.
If you need help paying for your dental care, whether it’s for something medically necessary or cosmetic, consider your dental financing options.
Many insurance policies fully cover basic preventative care, like six-month cleanings or annual X-rays. But most policies don’t cover cosmetic dentistry or the full cost of major dental procedures.
Dental financing helps you pay for expensive dental work without having to pull from your bank account or pay upfront with cash. The most common type of financing available is a dental loan, which is a type of unsecured personal loan. Personal loans can be used for most “personal” borrowing purposes, hence their name, including dental care expenses.
Some dental offices also accept other forms of financing, such as medical credit cards or 0% APR credit cards. Certain dentists also offer in-house financing solutions, like monthly payment plans. These are also sometimes called dental loans, though they don’t require you to apply through a private lender.
The cost of dental treatment varies widely, but here’s what you can expect to pay out of pocket for common dental services (without insurance or dental financing), according to Humana, an insurance provider:
Because dental loans tend to be unsecured personal loans intended for dental procedures, they function very similarly to a standard personal loan. You can apply for one through a credit union, bank, or online lender.
The interest rate, repayment term, and loan amount you’ll be offered largely depend on your credit score. But lenders also consider other factors when making a decision, such as your income and debt-to-income (DTI) ratio.
If you have good to excellent credit, reliable income, and a DTI ratio no higher than 40%, you may receive lower interest rates and better loan terms. You may also qualify for a larger loan amount.
Related: Learn more about getting a personal loan on Credible.com
You can still get a dental loan with poor or fair credit, but keep in mind that you’ll likely have to find a cosigner or co-borrower or accept a higher interest rate. A co-applicant agrees to assume equal responsibility for repayment even if, in the case of a cosigner, they’re not the primary borrower.
Once you’re approved for a loan, you can use the funds to cover your dental expenses. Just like with any other loan, you’ll need to start making monthly payments on the balance (plus interest and any other fees the lender charges) until it’s fully repaid. If you can afford it and the lender doesn’t charge a prepayment penalty, you could pay off the loan early to save on interest charges.
Many online lenders offer personal loans that can be used for dental financing. Consider the following Credible partners that offer dental loans:
| Lender | Loan amounts | Loan terms |
|---|---|---|
| Achieve | $10,000 to $35,000 | 2 to 5 years |
| Avant | $10,000 to $35,000 | 2 to 5 years |
| Axos Bank | $10,000 to $50,000 | 3 to 6 years |
| Best Egg | $2,000 to $50,000 | 2 to 5 years |
| Discover | $2,500 to $35,000 | 3 to 7 years |
| LendingClub | $1,000 to $40,000 | 3 or 5 years |
| LendingPoint | $2,000 to $36,500 | 2 to 6 years |
| LightStream | $5,000 to $100,000 | 2 to 7 years |
| OneMain Financial | $1,500 to $20,000 | 2 to 5 years |
| PenFed Credit Union | $600 to $50,000 | 1 to 5 years |
| SoFi | $5,000 to $100,000 | 2 to 7 years |
| Upgrade | $1,000 to $50,000 | 2 to 7 years |
| Upstart | $1,000 to $50,000 | 3 to 5 years |
If your dental loan is a personal loan from a traditional financial institution or online lender, there’s likely few restrictions on how you can use the funds. If your dental loan is a financing option available at your dentist, you would be restricted to using it to cover in-house expenses for care.
Overall, you can use a dental loan for nearly any type of dental procedure, including:
Some lenders may have restrictions on what you can use the loan for, so speak with them before applying.
Although every lender has their own requirements, a typical dental loan application will require the following information:
On some loan applications, you may also need to include an itemized list of your recurring monthly payments, such as your:
If you’re getting ready to apply for a dental loan, follow these five steps:
- Shop around and compare lenders. It’s a good idea to consider as many different lenders as possible. This will help you get an idea of what interest rates, loan terms, and funding times are available. Be sure to also check if lenders charge additional fees, such as origination, prepayment, or late fees.
- Get prequalified. This gives you a more accurate idea of what rates and terms you qualify for, without affecting your credit score.
- Fill out a loan application. Once you’ve found the right lender, you’ll need to submit a formal loan application. You can typically do this online or at a physical branch, depending on the lender. Come prepared with your personal and financial documents, and know that you’ll face a hard credit inquiry, which can temporarily ding your credit score.
- Review the loan agreement. Once your personal loan application is approved, carefully review the loan contract and related documents before signing the agreement.
- Receive your funds. Once you sign the loan agreement, the lender will begin the process of releasing your funds, usually via direct deposit. The time to fund for personal loans can take up to a week, but many online lenders are able to disburse funds as soon as one to three business days after approval.
| Tip: Before applying for a dental loan, confirm that you can afford to repay it. Once you have an idea of the range of APRs and terms you might qualify for, input them into a personal loan calculator to pump out your potential monthly payment. Then check (or create) your budget to see if you have enough cash-flow (income minus existing expenses) to afford this amount. |
It may be difficult to get financing for your dental care if you have poor credit or limited credit history, but it’s possible. After all, many lenders — especially online ones — factor in your full credit and financial profile, not just your credit score.
If you do have bad credit, you’ll end up with a higher interest rate or less favorable terms than someone with excellent credit, though. Your credit score could also limit the loan amount for which you qualify.
If you’re having trouble getting a dental loan, you could:
As with any financial product, it’s a good idea to weigh the pros and cons before taking out a dental loan. This ensures that you make the best decision for your unique financial situation.
Dental loans could be a good way to finance your dental care if your insurance doesn’t cover the bill, but they aren’t the only option. Here are some financing alternatives to consider:
If you’re facing an expensive dental procedure, ask your healthcare provider if they accept medical credit cards, like CareCredit, as a form of payment. In most cases, you can only use a medical credit card for approved dental or medical expenses.
Like traditional credit cards, medical credit cards come with their own rates and repayment terms. Once you charge the card, you’ll need to make monthly payments until the balance reaches zero.
Certain medical credit cards come with a low introductory interest rate, while others have a short-term deferred interest rate. As long as you pay off the balance before the introductory term ends, you won’t have to pay any interest charges. Just keep in mind that your introductory APR will be replaced with a higher rate when the introductory period ends.
A 0% APR credit card is a credit card that doesn’t incur any interest during its promotional period. The introductory period varies by card issuer, and can range anywhere from six to 21 months. For example, as of January 2023, the Citi Custom Cash Card’s 0% APR introductory period was 15 months, and the Citi Diamond Preferred Card’s introductory period was 21 months.
Make sure to pay off your entire balance before the introductory period ends, or the standard interest rates on your cardholder agreement will be applied to your account.
You can apply for a 0% APR credit card through an online issuer, bank, or credit union. To qualify, you’ll typically need good or excellent credit.
Many dentists offer in-house financing for expensive procedures, either through unsecured loans or payment plans. In-house financing for dental procedures often come with low or no interest, and typically have a set payment plan that can range from six to 18 months. These options also tend to have fast approval times, which can be helpful if you need to pay for a procedure quickly.
Related: Learn more about getting a personal loan on Credible.com