Dental Financing Calculator: Monthly Payment and Total Cost

Dental work is often paid for over time rather than all at once. The Consumer Financial Protection Bureau describes medical credit cards, which can be used only for medical services, and payment plans in which you make payments to a financing provider that then pays your provider. Some payment plans are interest-free, while others use deferred interest. The CFPB also suggests considering whether an existing credit card, a personal loan from a bank or credit union, or simply paying the bill over time directly with the provider might cost less.

Each option has its own terms, so the useful comparison is not the name of the product but the numbers in the offer: the amount, the APR, the term or promotional period and any fees. This calculator turns those numbers into a monthly payment and a total cost, so you can put two offers side by side. It does not provide, rank or recommend any lender or product.

• Installment loan or payment plan with a fixed APR and term
• Interest-free payment plan, which works like a loan with zero APR
• Medical credit card or promotional plan with deferred interest
• Paying the dental office over time, if the office offers it

Deferred interest is easy to misread. A promotion may show no interest for a set number of months, but the CFPB explains that if the balance is not fully paid by the end of the promotional period, or a payment is missed, interest accrues on the full original amount, not only on what is left. Rates after the promotion can be high, and the CFPB notes that missed or late payments can also bring fees and may affect your credit.

In promotion mode, the calculator divides the amount charged by the number of promotional months, rounding up, to show the monthly payment needed to clear the balance in time. A card minimum payment may be lower than that figure, so paying only the minimum could leave a balance when the promotion ends. The tool also shows a simple estimate of the interest on the full amount at the standard APR you enter. The card terms decide the exact charge.

For a loan or payment plan with interest, the calculator uses the standard amortization formula with the APR divided by twelve to find the monthly payment. It then works through the loan month by month, rounding interest to the cent, so the last payment may differ slightly and the totals add up exactly. With zero APR, the payment is simply the amount divided by the number of months.

Two offers with the same monthly payment can have very different totals, so look at total interest and total paid, not only the payment. A longer term lowers each payment but usually increases the interest paid over the life of the loan. Origination fees, late fees and other charges are not included unless you add them to the amount. This is arithmetic to help you read an offer, not financial advice.

The CFPB lists several checks before using a medical credit card or payment plan. It also notes that putting a bill on a credit product may make it harder to get financial assistance later, although you can still ask for assistance after paying. Ask the dental office whether it offers its own payment arrangement, and read the full agreement before you sign.

• Does the financing cover the treatment you need, and does your dental office accept it?
• When may interest start to accrue or change, and what fees apply?
• Who pays any processing or administrative fees, you or the provider?
• Is a credit check required, and are missed payments reported to credit bureaus?
• Could an existing card, a bank or credit union loan, or paying the office over time cost less?