Financing for Plastic Surgery in Canada: How Does It Work?
Regardless of the reason, cosmetic and plastic surgeries are quite pricey. But the good news is that there are financing options available to help you get the procedure done.
In this guide, we have disclosed everything you need to know about financing plastic surgery in Canada.
Let’s scrub in!
How to Finance Plastic Surgery in Canada?
Luckily, there are several options available for plastic surgery financing in Canada. Let’s take a closer look.
Personal Loan
Applying for a personal loan can be done either at a lender’s office or online.
Depending on the type of personal loan you choose, whether it’s unsecured or secured, different rules may apply. For instance, in secure loans, the lender will require collateral and thus, you may be eligible to apply with a lower credit score. If you default on the payments, your collateral can be seized temporarily, until you repay the whole amount.
In the case of unsecured loans, you must show a good credit score of 660 or above instead of putting up collateral.
If you’re thinking of going with this option, check out our reviews of the best personal loans in Canada.
In-House Financing
In-house financing is another convenient option as many clinics offer their financing programs. In this case, instead of applying for a loan from a lender, you will use the clinic’s financing and repay them directly.
But to use this type of plastic surgery financing in Canada, you will have to use either cash or a credit card for the monthly payments. Although there are no interest fees involved in in-house financing, there are, however, administrative and medical fees that you must cover.
Credit Card
Credit cards are a functional way to for paying your procedure. Instead of applying for cosmetic surgery loans, the costs can be charged to your credit card and you can withdraw funds as much as you need up to the limit amount.
Although credit cards have higher interest rates than loans, they offer additional benefits. Credit cards enable instant access, the possibility to earn points and promotional APRs. However, credit cards are usually useful if you need to cover smaller expenses.
Line of Credit
A line of credit is somewhat similar to a credit card. How? You have full access to an amount of credit from which you can withdraw as much as you need, without exceeding the limit. You can access those funds at any time.
Using a line of credit allows you to pay interest only on the amount you withdraw instead of the entire credit. Unlike credit cards, a line of credit has much lower interest rates which makes it much more affordable. An additional feature of a line of credit is the flexible repayment schedule which enables you to pay minimal amounts until the draw period is over.
Alternatively, you can choose lenders who will consolidate your debt.
Can You Get A Plastic Surgery Loan With Bad Credit?
Whenever we talk about qualifying for a loan, you’ll notice how having a solid credit score is an essential part of loan approval. That said, having a poor score which is considered to be below 600, may limit your chances of getting loan approval. But don’t lose hope.
This is what you can do to increase your options for plastic surgery loans if you have a poor credit score.
Get a Co-Signer
Generally speaking, having a co-signer is always a good idea because it can help you boost your application for a loan. However, it must be someone who has a solid credit history and credit score. Since the so-signer agrees to keep up with the payments if you default, you stand a better chance of being approved for a loan.
Furthermore, it’s important that your co-signer also has a solid and steady income so they can bare with the financial burden if you’re unable to continue with the payments.
Bad Credit Lenders
It’s possible to finance your plastic surgery in Canada even with a bad credit score. While this possibility is not available with traditional lenders, some alternative lenders specialize in working with poor credit borrowers.
Since you’re eligible to apply for a loan with bad credit, lenders will be focusing more on your monthly income and your debt status, instead assessing your credit score.
Interestingly enough, some lenders won’t even perform a credit check at all.
Save Up Money
The best alternative would be to start repairing your finances if you’re in no hurry for plastic surgery. Try to save as much money as possible or maybe find an additional source of income.
Also, by doing this, you’ll be able to repay your existing debts and bills on time, which in turn will increase your creditworthiness. Having a solid credit profile can help you get a loan in the future at much lower interest rates.
How to Apply for a Plastic Surgery Loan?
To apply for plastic surgery financing in Canada, you must do the following:
Step 1: Check your credit score at some of the major credit bureaus in Canada such as Equifax or Transunion. This an important step to do, because if you apply with conventional lenders, they will conduct a credit check.
Step 2: Compare lenders and see what are their minimum requirements so you can find you if you’re eligible or not. It will also prevent you from unnecessary credit checks that can impact your credit score.
Step 3: Apply for a loan and provide all the necessary documents. This means you would need to show proof of income, provide personal information, proof of Canadian residency and bank statements.
Step 4: Wait for the lender to go over your documents and approve your application. You should be able to access the funds within 24-48 hours.
Step 5: Now you can start repaying your loan amount. Be sure to make timely payments to keep your credit score in a good condition.
How to Choose the Best Plastic Surgery Loan Lender?
When applying for plastic surgery loans, the best advice is to not settle just for the first lender you find. Here are the essential factors to help you find the best cosmetic surgery lender.
Compare Quotes
To compare quotes means to search for several different lenders simultaneously and compare their interest rates and conditions. This way you’ll be able to get the best interest rates and the best deal on your plastic surgery financing in Canada.
Research
Try going through as much as possible online reviews on different lenders. Then narrow down to a few lenders who have received the most positive reviews and check their conditions.
Avoid Guaranteed Approval Loans
Although finding a lender who guarantees you a loan may sound like a win-win situation, it’s unlikely for that to be the case. It is often a red flag of lenders who want to take an advantage of borrowers. No legit lender will guarantee a loan without assessing your financial status and personal information first.
Conclusion
Overall, plastic surgery financing in Canada is a smart decision since there are several options to help you cover it. However, be mindful of choosing the right lender and always compare the quotes and interest rates from different loan options.
FAQ
If you want a guaranteed loan approval, your score must be at least 650 or range between 650 and 900. However, you can choose a bad credit lender to help you get a loan even with a poor credit score.
If you think you have enough budget to keep up with your monthly repayments, and you have a solid credit history, then financing plastic surgery might be the right decision for you.
Financing for plastic surgery in Canada is available through personal loans, in-house financing, credit card or a line of credit. If plastic surgery is needed for medical reasons, most of them are covered by your insurance.
ABOUT AUTHOR
When Angela combined her deep-seated love for linguistics with her growing interest for finance and money management, she struck a gold mine. She’s scoured the internet far and wide for all things related to money and finances, including payments, budgeting and investing. Now she’s eager to share her knowledge and skills with the world, determined to make it a better place. In her free time, she loves to read a good book.
