Should I use a credit card to pay for hearing aids and audiologist appointments?

• Convenience/Control: Using a credit card to pay for hearing aids and audiologist appointments on a monthly basis can be very convenient. It gives you full control over your finances, as you are able to monitor them on line at any time. You can also set up automatic payments, so that your credit card is automatically paid each month. This could be advantageous for people who tend to forget things or who have difficulty organizing their finances.
• Coverage: Some credit cards offer special protection plans when purchases are made with that card. For example, some cards offer extended warranty coverage at no extra charge. Therefore, if you purchase hearing aids and the company goes out of business, your credit card protection plan may cover the cost.
• Specialized Cards: Some credit cards offer unique perks that are not available with all cards. For example, the American Express Benjamin Card offers a free hearing test for constant wear hearing aids. This is in addition to the perks offered by other standard credit cards, such as extended warranty coverage.
• Access to loans/financing: Some credit cards offer interest free financing on hearing aid packages (this means that instead of paying for it all at once, you can use it over time and pay off the amount that you owe monthly). This makes it a lot easier to afford expensive equipment like this.

Disadvantages of Using a Credit Card for hearing aid purchases

• High interest rates: This is unlikely to be an issue if you pay off your monthly balance in full, but if you allow your balance to carry over, you could find yourself paying extra interest on the purchase. While the APR (annual percentage rate) for credit cards is lower than for many other forms of loans, when the APR is high (22%+) this can really affect your finances.
• Loss of coverage: Some credit cards have a clause that states that if any part of your hearing aids break down due to manufacturer’s defect, warranty is null and void. Therefore, if the parts that are replaced aren’t covered by the warranty, you could find yourself paying for replacements out of pocket.
• High cost: Many credit card companies offer attractive rates on their cards, but only if you spend a certain amount of money per month. Therefore, if you plan to use your hearing aids and audiologist appointment payments as a means of saving money (i.e. payment plans can be cheaper than outright purchase), this may not be the case with credit cards; instead they may be more expensive for you in terms of interest accrued and fees charged.

Tip: Keep in mind that most experts recommend that you have at least 20% saved up as your own emergency fund. Therefore, consider saving up for your hearing aids first before deciding to pay for them on credit instead of paying for them all at once. Once the money is set aside, then a financing option may be more attractive.