Medical loans are a type of personal loan, required in order to be able to face the costs related to different types of operations: from surgical operations to dental care, from rehabilitation treatments to maintenance of a nursing home tuition to aesthetic and beauty interventions.
If you need a certain amount of money to face medical expenses, you can opt for two types of financing:
- the finalized loan, requested directly in the private and medical clinics (affiliated with the banks), allows you to benefit from interesting advantages, such as lower rates, and speed of delivery;
- the loan for liquidity, requested from the bank, allows to obtain an additional sum of money in addition to the medical expense, to face other unexpected costs. The procedure is quick and immediate.
Medical Loans: requirements and characteristics
Loans for medical expenses can be provided by financial institutions and banks or in agreement with clinics. In both cases, specific requirements are not required, except for a certain income and a stable credit position.
As with other personal loans, before deciding on medical loans, banks and financial companies decide whether or not to grant money according to the following parameters:
- risk policies, different for each institution. Credit scoring is applied for the evaluation of applications, based on the statistical data in its possession;
- income level of the applicant and the relationship between the latter and the repayment installment;
- creditworthiness of the applicant. This is an assessment without moral significance, but which concerns the level of risk associated with each request, also on the basis of the indications given by the Risk Centers.
Finalized Loan vs Liquidity Loan
There are two ways to obtain a medical expenses loan: the finalized loan or the liquidity loan. Which is the most advantageous?
The finalized loan is a type of financing aimed only at the medical costs to be incurred. It is often offered directly in clinics and medical offices thanks to special agreements with banks and financial institutions.
Loans are stipulated in the medical facility and the amount to be reimbursed is that necessary for the payment of the estimated medical expenses. Consequently, the sum requested cannot be higher than the cost estimate.
Instead, the loan for liquidity is taken out in the bank, outside the medical facility, and allows to obtain a higher sum than the expenditure destined for medical or aesthetic treatments. It is in fact a non-finalized loan, which allows the applicant to use the amount requested as he sees fit.
Is the finalized loan or the liquidity loan better?
After having outlined the general characteristics of the finalized loan and the liquidity loan, one wonders which is the financial product that is right for you. In reality there is no right and wrong answer: the choice varies according to the specific needs of each.
In both cases these are loans that are disbursed fairly quickly, however if with the finalized loan stipulated directly in the clinic you can benefit from interesting advantages, with the liquidity loan you have the possibility of obtaining a higher sum of money (even beyond the costs to be supported for medical treatment).