An investigation by the Fresno Bee revealed some dentists are inflating bills and pressuring patients to take out high-interest credit cards to pay for care, CalMatters reports.
The investigation found patients across California in debt because dentists urged them to put high-priced dental services on cards from companies offering loans for "out-of-pocket" care. Some patients didn't know that the cards often have interest rates, ranging from 13 percent to 29 percent, added to the initial loan after a certain period of time. Most financing agreements are difficult for the average person to understand, experts told CalMatters.
Some dentists also charged for services in full before they were performed, the investigation found.
Low-income residents were especially at risk of falling into debt traps because Medi-Cal, the state's Medicaid program, doesn't cover major dental care unless it is medically necessary, and only a few Medi-Cal and Medicare providers cover all services offered, according to the Fresno Bee.
The California Dental Association supports the credit cards because many people don't have adequate insurance to cover necessary treatment, Joie Harrison, CDA spokesperson, told CalMatters.
The cards guarantee dentists immediate payment, besides merchant credit card fees, and eliminate the administrative burden of holding a patient accountable.
Starting in July 2020, a new state law will prohibit healthcare providers from signing up patients for deferred interest credit products in their offices.
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