If a medical emergency strikes, would you be able to foot the bill?
Medical expenses, whether planned or unplanned, can put a significant strain on your finances. While costs vary, some procedures can set you back tens of thousands of dollars, not to mention the cost of staying in the hospital and taking time off work. A medical loan can help you cover bills from doctors, hospitals, or anything medical-related. These loans vary, so it’s important to compare your options to find the right loan for you.
CUA Fixed Rate Personal Loan
The CUA Fixed Rate Personal Loan help you cover bills from doctors, hospitals, or anything medical-related.
- Interest Rate From: 11.99% p.a.
- Comparison Rate: 12.83% p.a.
- Interest Rate Type: Fixed
- Application Fee: $120
- Minimum Loan Term: 1 year
- Maximum Loan Term: 7 year
- Minimum Loan Amount: $1,000
- Maximum Loan Amount: $100,000
Comparison of unsecured personal loans
What is a medical loan?
A medical loan can cover the costs of both elective and necessary medical requirements and procedures. Covering medical costs can be expensive, and even with private health insurance you may have to pay an excess, or worse, your procedure might not be covered at all. If you don’t have the ready money you can take out one of these loans to cover your medical costs.
What are the features of a medical loan?
Medical loans offer many of the same features as other personal loans, but some of the features are also more particular:
- Fees. Most loans come with fees, and medical loans are no different. Depending on the lender you go with you may have to pay loan establishment fees or monthly fees, as well as some fees such as early repayment fees or redraw fees, if these features are available.
- Repayments. Lenders may differ in how flexible they are with their repayments, also. Most lenders will offer you the options of making your repayments weekly, fortnightly or monthly, but they also may allow you to make additional repayments to help save you money.
- Loan amount. As medical costs can be quite steep, medical loans are usually for higher amounts than other loans. Some medical loans have quite high minimum loan amounts, some around $10,000, so make sure you won’t have to borrow more than you need.
- Loan terms As the loan amount is generally higher with medical loans, the lender may offer you a longer period to pay it back, as well. Check to see if you will be able to manage the repayments with the loan terms that the lender sets.
Types of medical loans
Some lenders specialise in providing medical financing solutions, and offer a few different types of specialised loans to cover medical costs.
- Cosmetic surgery loans. These loans are used to finance elective surgeries, such as liposuction, breast reductions or implants and nose jobs. These procedures can vary in cost, but cosmetic surgery loans will cover all associated expenses with the procedure.
- Dental loans. By taking out a dental loan you can borrow the money for dental surgery, braces or any kind of teeth reconstruction. These loans can cover both elective and essential surgeries.
- Medical travel loans. If you are planning on going on a ‘medical holiday’ to take advantage of cheaper surgeries overseas, some lenders can provide all the travel and medical expenses to you.
Related: Cosmetic Surgery Loans
Other financing options to consider
There are also types of loans and credit that you can consider if you don’t want to take out a medical loan. A credit card might be a good option to consider if you have a high enough credit limit, and if your card’s interest rate is relatively low. If you're card features a purchase rate offer, you could potentially pay no interest on your medical procedure. You also have the option of applying for a regular unsecured personal loan where you also might be able to take advantage of low rates, depending on the lender you go with.
Depending on the nature of the medical expense, you might need to consider more immediate finance options. If you have a medical emergency and can’t or don’t want to use your credit card, you have the option of taking out a same day personal loan. These loans are offered by some of the major banks, including Bankwest and Westpac, as well as other smaller lenders in the form of payday loans.
Further Reading: Same day personal loan funding
Whatever type of finance you decide to go with, make sure it matches your financial needs and budget.
If you’d like to apply for a personal loan to finance medical expenses, you can compare your options using the comparison table on this page. You can then click ‘Go to Site’ if you find a suitable loan. To apply you’ll need to be over the age of 18 and be employed or be receiving regular payments into your bank account.