That credit card companies take their customers by surprise with their added charges in nothing new to us, but a new trend of healthcare credit cards is causing concern currently. Voicing this concern is Attorney General Andrew Cuomo who has taken a big step by launching an investigation into healthcare credit card.
Andrew Cuomo has taken this step following many complaints he received from customers about doctors and dentists convincing them to sign up for the card and use its services. The investigation aims to identify what incentives the professionals get for promoting the cards among customers.
This new trend is seen as a practice that has to be discouraged since doctors and dentists will begin working with increased vigor for personal gains through the promotion rather than sticking to their profession and its demands and hence distracting them. The customers also have a lot to lose with this kind of promotion since they are caught unawares on all the hidden charges that they have to bear when they opt for using the cards. When people are already finding it difficult to handle their credit cards, use of healthcare credit cards without knowing the details well enough only worsens their financial situation putting them at greater risk.
Offices that promote GE Money's CareCredit card has already received subpoenas said Cuomo. The investigation also will rope in medical associations which include American Dental Association and American Society of Plastic Surgeons to know the reasons for their support to these healthcare credit cards.
Chick Bell, program director for Consumers Union expressed his concerns about healthcare providers marketing these high-interest credit cards without giving details on refunds, disclosures and protections to the customers. Such providers receive a pay for their promotion in just two days time which encourages them to further carry on the promotions.
The views of Ronald Tankersley, President of American Dental Association are no different as he echoes the thoughts of Cuomo after receiving a letter by him. While he believes that credit card financing has a lot of benefits for customers, he also says that this would be the case only when customers are fully aware of the charges to be levied on them and are familiar with all terms of the financing program.
This comes as a warning to many who are lured into using credit cards for healthcare purposes since it seems to be beneficial at the moment.