How to Choose Dental Office Financing Plans for Your Patients

A patient sits in your chair, clearly needing that crown replacement. But when you present the treatment plan, their face falls.

It's a scene that plays out in dental offices nationwide, where many Americans postpone critical dental work due to costs. Smart dental office financing decisions can transform your practice's financial health. Choosing the right financing for a dental office requires careful consideration of both patient needs and practice capabilities, but ultimately, it can help your patients access more affordable care.

Here’s what you need to know if you’re starting to browse through dental office financing plans for more affordable dental care for your patients.

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Benefits of Offering Dental Office Financing and Payment Plans

Implementing flexible payment options transforms the patient experience. Your dental office financing choices directly impact patient satisfaction. Between 15% and 19% of men and women don’t access the dental care they need because of cost.

Comprehensive dental payment plans can greatly increase treatment acceptance, boosting your practice’s revenue and making their dental care procedures more affordable.

Types of Dental Financing Options

In-House Payment Plans

In-house dental office financing gives practices complete control over payment terms and approval. 

These plans typically involve spreading payments over 3-12 months, often interest-free. While this option requires more administrative oversight and carries some financial risk, it eliminates third-party fees and helps build stronger patient relationships.

This can include a hybrid approach, offering in-house payment plans for smaller treatments under $2,000 while partnering with third-party financiers for larger procedures.

It’s important to establish clear policies regarding payment terms, late fees, and default procedures. Many practices find success by requiring a 30-40% down payment and limiting in-house financing to established patients with good payment history.

Third-Party Financing Companies

Specialized healthcare financing companies offer comprehensive solutions that minimize risk for dental practices via dental loans. The companies that offer this will handle things like credit checks, payment processing, and collections, allowing practices to focus on patient care.

CareCredit and LendingClub typically offer both short-term interest-free options and longer-term financing with competitive rates. Many reputable companies also provide instant approval decisions and fund practices within 2-3 business days, improving your cash flow management.

Healthcare Credit Cards

Healthcare-specific credit cards provide another viable option for patients. These modern dental credit options include both traditional and healthcare-specific cards. These cards function similarly to traditional credit cards but are exclusively for medical and dental expenses. Many offer promotional periods with zero interest if paid in full, making them attractive for both routine care and larger procedures.

Evaluating Financing Partners

Interest Rates and Terms

When considering dental office financing options, it's crucial to evaluate multiple providers. Specifically, look for:

• The interest rate options, specifically those with 0% promotional periods
• The length and transparency of financing terms available — some patients may need extended payment options for extensive treatment plans.
• Multiple financial providers to offer more flexibility to serve patients across various financial situations and treatment needs

Approval Rates and Processing

High approval rates significantly impact the effectiveness of your dental office financing program. 

After all, the more patients can be approved, the more income you can see come to your business! Good dental office financing companies have integrated software systems to make processing simple and straightforward — including processing fees.

Processing fees directly affect your practice's bottom line. Standard merchant fees range from 2% to 15%, depending on the financing term and provider. This is why it’s important to remember to calculate the true cost by considering both immediate fees and potential charges for patient defaults or early payoff penalties. Some providers offer volume discounts or promotional rates for new practices.

Implementation and Training

Staff Training Requirements

Successful dental office financing programs require thorough staff training. Your team needs to understand not only the technical aspects of each program but also how to communicate options effectively to patients.

This may begin by starting a standardized presentation process for discussing financial options, including specific scripts and handling common objections. Monthly team meetings should include role-playing exercises and updates on financing program performance metrics.

After all, potential patients are likely to call multiple practices before making a decision. And when they call your office, you’ll want to make sure your front desk staff is armed with all the right information to give them the most clear, straightforward answer.

Integration with Practice Management

Whichever financial plan(s) you end up going with, you’ll want to ensure it’s as easy and simple as your other processes. These financing solutions should connect directly with your practice management system so you can process and post automatic payments as easily as you bill insurance.

If you’re still browsing through dental office financing, make sure you play around with the platform (if you can) to ensure your team can understand how it works within your existing tools.

Dental Office Financing Plans Examples

CareCredit

CareCredit is one of the most widely used healthcare credit cards, specifically designed for medical and dental expenses.

It functions like a regular credit card but can only be used for healthcare services. It's known for its deferred interest promotional periods and is accepted by over 225,000 providers nationwide.

• Short-term financing (6-24 months) with no interest if paid in full
• Longer-term financing (24-60 months) with reduced APR
• Quick application process with immediate decision
• Can be used at multiple healthcare providers
• Minimum monthly payments required
• Credit card-style financing
• Typical APR: 26.99% if promotional terms aren't met

Lending Club

Lending Club Patient Solutions offers personal loans specifically for medical and dental procedures. Unlike CareCredit, these are traditional loans rather than credit cards, often with more favorable interest rates for those with good credit.

• Fixed monthly payments
• Lower interest rates than typical credit cards
• Terms from 24-84 months
• No prepayment penalties
• Extended payment plans for larger procedures
• Offers both secured and unsecured loans
• Interest rates typically range from 6.99% to 24.99%

Wells Fargo Health Advantage

Wells Fargo Health Advantage is a credit card program specifically for healthcare expenses. It's similar to CareCredit but is backed by a major bank and often offers more competitive rates for those who qualify.

• Special financing options for 6-18 months
• No interest if paid during the promotional period
• Convenient monthly payments
• Can be used for the entire family
• Online account management
• Revolving credit line
• Regular APR typically 12.99%-22.99%

United Medical Credit

United Medical Credit acts as a connector between patients and multiple lenders, making it easier for people with varying credit scores to find financing. They specialize in medical loans and work with a network of lenders to provide options for different credit situations.

• Multiple plan options
• Terms up to 60 months
• Designed for all credit types
• Can finance amounts from $1,000 to $35,000
• Quick online application
• Multiple lender network
• Interest rates vary based on credit (typically 8.99%-29.99%)

Make Dental Care Affordable, Accessible, and Enjoyable with Wonderful Dental!

Choosing the right financing options transforms your practice's ability to serve patients effectively — and choosing the right products can keep them coming back for years.

Enhance your practice with great-tasting and high-quality fluoride varnish for dentists, fluoride varnish cups, unidose fluoride varnish sticks, and prophy paste.

Request free samples today to get a taste for yourself, and elevate your practice’s financial operations right alongside your products!