Ever wondered what a dental loan is? Basically, it’s a personal loan that you can use to cover the costs of any work done on your teeth. If you don’t have enough money saved up in your emergency fund and your insurance won’t cover all the costs, you may consider taking out a dental loan.

A dental loan lets you borrow money to cover the cost of your care, then you can make monthly payments until the loan is paid off. Unlike other loans, these are usually unsecured, so you don’t have to put down any collateral. That said, since lenders are taking more of a risk, you can expect a higher interest rate. 

If you qualify, you’ll be given a lump sum that needs to be paid back in monthly installments of principal and interest. Dental loans typically have fixed interest rates, so your payments will be the same every month throughout the repayment period.

What Can You Use Dental Loans For?

Sometimes dental insurance just isn’t enough to cover pricey procedures. This is especially true if you have a high-deductible plan. You need to find a way to cover the costs before the deductibles kick in. Plus, insurance won’t cover procedures that are just cosmetic, unless it’s hindering you or having an effect on your physical health (e.g. a chipped tooth or cavity filling).

Dental loans are great for a wide range of treatments, such as tooth extractions, cavity filling, dental cleaning, chipped tooth repair, crowns, and dental implants. Tooth extractions might only cost you $75, but if you’re getting a dental implant, that’s at least $2,400.

We know that dental procedures can be costly, so we want to provide you with a rough estimate of what you could expect to pay if you decide to take out a dental loan.

• Porcelain Crown: between $800 and $3,000.
• Whitening: from $300 to $500. 
• Root Canal: around $700 to $1,800,
• Aligners: between $2,500 and $8,000
• Veneers: $470 to $2,000 per tooth

How Do You Choose the Right Dental Loan?

When you’re looking for loans to cover your dental work, you can go to individual lender websites or use a comparison site to check out multiple lenders. Getting prequalified with a few lenders can help you figure out what’s best for you. During prequalification, lenders usually do a soft credit pull, so it won’t affect your credit score.

Here’s what you should look for when you’re shopping for financing:

Fees

Fees can add up, so try to find loans with low or no fees. Common ones to watch out for include an application fee, origination fee, late payment fee, returned payment fee, and a prepayment penalty.

Loan Terms

The loan term is how long you have to repay the money you borrowed. Longer terms usually mean lower payments, but they can also increase the amount you pay in interest. Think about how the loan length could affect your future finances.

Annual Percentage Rate

The loan’s APR will tell you how much interest you’ll pay over the course of one year, plus any extra fees or charges. It’s a great way to compare loan offers and get a full picture of the cost.

Loan Amounts

Some lenders may have minimum loan amounts, so get an estimate of the cost of your dental procedure to figure out how much you should borrow. Then look for lenders who can give you that amount.

Approval and Funding Timeline

If you need the procedure ASAP, look for a lender with quick approval and rapid funding. Applying online can be a convenient and fast way to apply, and if you qualify, the money should be available within a few days.

How to Apply for Dental Loans

Collect Documents

Once you’ve chosen a lender, you need to start gathering the paperwork. This could be anything from bank statements to recent payslips, and it varies between lenders. Ask them what they need before you start.

Apply for a Dental Loan

When you’ve got the documents together, you can submit your request. The lender will do a hard inquiry to determine if you’re eligible. This will show up on your credit report and might affect your credit score – especially if you’ve taken out lots of loans recently.

Should You Get a Dental Loan, Anyway? 

Dental loans can be a great option for covering those expensive dental procedures. Applying for a loan online is a great choice if you need care fast, since most lenders are able to fund a loan within a few days of approval. Plus, there are a variety of loan amounts to choose from, so you can find an amount that works best for you.

It’s always important to weigh the pros and cons of any financial decision you make, and dental financing is no exception. 

Here’s a quick overview of the ups and downs of dental financing:

Pros

• Assists with expenses once insurance benefits have reached their limit
• Typically, it offers lower interest rates compared to standard personal loans
• Provides structured payment amounts
• Allows for adaptable repayment terms
• Applicable for a range of dental treatments

Cons

• Requires repayment with added interest
• Challenging to obtain approval if you possess a weak credit history
• Demands a credit assessment, which may cause temporary fluctuations in your credit score
• Possible fees, including application and origination fees
• Generates supplementary debt

Best Dental Loan Lenders

These are some of the top lenders when it comes to dental loans:

LightStream

If you’ve got a credit score of 660 or above, LightStream can offer you up to $100,000. The estimated APR is between 4.99% and 19.99%, so if your credit score is good, you can get a decent rate.

Upstart

For those with a lower credit score or no credit history, Upstart is a great option. You can borrow up to $50,000 and the estimated APR is between 5.41% and 35.99%.

Upgrade

If you’ve got a minimum credit score of 560 and a minimum credit history of 2 years, Upgrade is worth considering. Borrow up to $50,000, repay over 2 to 7 years, and the APR is between 6.95% and 35.97%.

LendingClub

With a minimum credit score of 600, you can borrow up to $40,000 from LendingClub. APR is 6.35%, and you can repay over 3–5 years.

OneMain Financial

OneMain Financial doesn’t have a minimum credit score requirement, so it’s great for those with poor or no credit. Borrow up to $20,000, with an APR starting at 18%.

Alternative Dental Financing Options

If dental loans aren’t for you, there are other options out there. For instance, many dentists offer financial plans where you can pay them back in installments. You could also negotiate the price to get a lower one.

You might also want to check out dental credit cards and dental savings plans. You could get a 0% credit card, for example, which means you won’t have to pay APR for the first year.