Pet Financing: Best Loans for Vet Bills

Pets bring immense joy to our lives and offer several physical and mental benefits: motivation to get active, reduced stress, and unflinching companionship. But pets can also be expensive, especially when unexpected emergency vet bills or ongoing chronic conditions require costly medications and treatments.

Many pet parents are faced with tough decisions when they can’t afford their best friend’s medical care. If you can’t pay out of pocket, a pet loan may be the best path forward to ensuring your dog, cat, or other pet gets the care they need. Below, we’ll review types of pet loans to consider, when they make sense, and how to choose the best pet loan for your needs.

Best pet loans

What is a pet loan?

A pet loan is a type of loan that allows you to borrow money to cover your pet’s medical costs (or any other pet-related expenses you’re struggling to afford). Personal loans, along with credit cards and in-house financing through your vet or animal hospital, are common ways to afford care. 

Personal loans, however, often have lower rates than credit cards and are a more affordable way to borrow — especially if you need to finance large pet expenses (like chemotherapy or major surgery) or need an upfront cash sum.

Pet loan options

You’ve got choices when it comes to financing your pet’s high medical costs. Below, we’ll explore the general types of pet loans and how they work.

Here’s a closer look at these pet loan options:

• Personal loans: Personal loans are a way to get fast funding for pet care; many lenders offer same- or next-day funding. You’ll get a lump sum of money upfront to pay vet bills, then make monthly payments over several years until you’ve paid it back. You can even use a personal loan to consolidate existing vet bills. The average personal loan interest rate is around 13% for 3-year loans or 19% for 5-year loans.
• In-house financing: Your veterinarian’s office may have its own financing for pet owners with large bills. Rather than repaying a loan, you can repay your vet over time, sometimes at a 0% APR. You may need to make a down payment before the office will approve your payment plan.
• CareCredit: Many veterinarians accept CareCredit, a health and wellness credit card, as a form of financing. CareCredit may offer flexible, promotional financing options, like 24 months of interest-free payments. Be careful, though: CareCredit offers deferred financing, which means if you don’t pay off the balance in full before the promotional APR expires, you’ll owe interest on the full original balance from the purchase date.
• 0% APR credit card: You can also use a credit card other than CareCredit to pay for pet expenses. While credit cards can have high interest rates, some have promotional periods with 0% APR or low rates, usually for 12 to 18 months. This can be a good way to finance your pet’s care while keeping interest to a minimum, but it’s best to pay off your balance before the promo period ends and the card’s regular APR goes into effect.
• Family and friends loan: If you’re comfortable asking a loved one to borrow money, you may find that a friend or family member is willing to help you pay for your pet’s vet bill, especially if that loved one adores your pet. Just make sure to set up clear repayment terms and stick to them to preserve your relationship.
• Line of credit: A line of credit through your credit union or bank is often a lower-rate credit card alternative, best for ongoing expenses. You may have access to a higher credit limit relative to a credit card. However, you may also be charged each time you use the line.
• Home equity financing: This is a much less common way of financing vet bills, and generally only best for very expensive lifesaving procedures or treatments. You’ll need to have sufficient home equity (typically at least 15%) to qualify and your house is used as collateral to secure the loan — which means if you default, you could face foreclosure.

When to get a pet loan

While you should be intentional about when you take on new credit, the easy answer to “when to get a pet loan” is simply when you have pet expenses you can’t afford. After all, a pet is part of the family; pet loans ensure they get the care they need.

Here are a few common expenses you may need to borrow for — these are covered in more detail at the end of this article:

• New pet expenses: The cost of adoption fees, spaying or neutering, microchipping, and initial pet supplies can stack up quickly. A pet loan lets you spread these costs over several months instead of paying for them at once or charging a high-interest credit card.
• Preventative care: Preventative procedures, like dental cleanings and bloodwork, can be expensive but may be necessary to maintain your pet’s health. If cash is tight, a pet loan could help you avoid delaying essential care that could lead to bigger problems later.
• Chronic illness: Chronic conditions, like diabetes or arthritis, may have high initial costs to diagnose and treat, plus ongoing costs for medications. You might use a pet loan to roll those costs into a predictable monthly payment to keep treatment on track.
• Emergencies: An illness or injury that requires an emergency vet visit can cost hundreds to thousands of dollars, especially if your pet requires surgery or hospitalization. Quick financing lets you start treatment immediately.
• Training costs: Enrolling your dog in a structured training program isn’t cheap. Basic obedience training for dogs can cost $150 or more per private session, on average. Board-and-train sessions usually require an upfront payment of $2,000 or more for two weeks of training.
• Therapy or service animals: Breeding, specialized training, and handler instruction for therapy or service dogs can cost as much as $50,000. When grants or nonprofit aid aren’t available, a service dog loan could be the next best option.
• Boarding or pet sitting: Vacations are a lot of fun, but we can’t always bring our dogs and cats with us. If you’ve got to pay for a pet sitter or boarding but don’t have enough funds in your travel budget, you can take out a vacation loan that pays for various travel expenses, including pet care.

How to compare pet loans

When comparing the best loans to cover pet expenses, consider the following.

1. Start with qualification requirements

Depending on your credit score and income, you may not qualify with every lender. Check credit score requirements for each lender you’re considering, and only consider those with which you meet minimum requirements. 

To get you started, here’s a list of the best personal loans for fair credit.

2. Calculate how much you need

How much money do you need to cover your vet bills or other pet costs? Do you anticipate follow-up expenses? Make sure the lenders you’re considering will allow you to borrow the amount you need.

On the flip side, some lenders may have higher minimum borrowing amounts than you need. Limit your search to lenders whose minimum borrowing amount is less than what you need.

3. Look at APRs

One of the most important factors to consider when comparing personal loans is the annual percentage rate (APR). Your credit score and debt-to-income ratio have a big impact on your personal loan APR, but APRs often vary from lender to lender. Loans with shorter repayment terms often have lower APRs.

4. Consider repayment terms and monthly payment

Repayment terms can make a big difference in your monthly payment and how much you spend on interest in the long term. Choosing a shorter repayment term means higher monthly payments but less spent on interest. Plus, rates (as noted) tend to be lower for shorter-term loans.

Review your monthly budget to determine how much you can comfortably afford, then choose a loan with the shortest repayment term with a payment within your budget. Use our personal loan calculator to see how the loan amount, interest rate, and repayment term all impact your payment and total cost.

5. Don’t forget about fees

Some personal loans charge origination fees. to cover loan processing costs and offset lender risk. Origination fees can range from less than 1% to as much as 15% of your loan amount and often come directly out of the loan funds before you receive them.

Many lenders also charge late fees, but you'll only need to pay one if you don't make your monthly payment on time or before the grace period expires. For example, Upstart allows a 10-day grace period before charging a fee for late payments.

Some lenders, like Discover and LightStream, are fee-free.

6. Factor in funding speed

If you’re faced with a pet emergency and need the money right away, choose a personal loan that funds within one to two days. Some lenders can offer same- or next-day funding — here’s a list of the best same-day loans, if you’re in a rush. Another option for emergencies is to put the expense on a credit card, then use a personal loan to pay it off.

How much does a pet loan cost?

Below are a few hypothetical examples to illustrate the monthly payment for a pet loan with different amounts, APRs, and repayment terms.

Pros and cons of pet loans

A pet loan can give you quick access to funds to take care of your pet, but it also has some drawbacks. Here's what you should know.

Pros

• Accessible pet care and ownership: Pay for adoption fees, supplies, vet visits, and other initial costs upfront, even if you don't have all the money you need right now. This can be especially helpful for those needing a service animal.
• Lower potential rates than credit cards: Pet loan rates can start in the single digits, much lower than the average credit card rate of 21.39%, per the most recent Federal Reserve data.
• Predictable monthly payments: Personal loans usually have fixed interest rates, giving you the same payment each month to simplify budgeting.
• Budget for large expenses: With a pet loan, you can break a $2,000 vet bill into smaller payments spread over several months or years to make your pet's care more affordable.
• Could help your credit score: Having a mix of credit types, like installment and revolving credit, can boost your credit score. A pet loan is an installment loan, so it could round out your credit profile if you have few or no other installment accounts. 
• Same-day funding potential: Many online lenders can transfer money to your account the same or next business day once you're approved.

Cons

• May have high borrowing costs: Occasionally, a pet loan could have higher costs than a credit card, especially if you have bad credit. A low credit score could mean APRs in the high 20s or 30s.
• Fees could apply: Lenders may tack on an origination fee that increases the amount you'll pay for your loan.
• Another payment to budget for: A new payment decreases how much money you have available each month, which could make it more difficult to save for future pet costs. It also increases your debt-to-income ratio (DTI), which could make it harder to qualify to borrow in the future. 

Learn More: Should I Get a Personal Loan?

How to apply for a pet loan

Follow these steps to apply for a pet loan through a lender:

1. Check your credit: Use Credible's free credit score tool to check your credit score. Knowing your credit score can help you find lenders that might work with you, as some cater to borrowers with specific credit profiles, including fair credit and bad credit.
2. Research and compare lenders: Look for lenders that offer personal loans for a wide range of uses, including pet financing. Check reviews on Trustpilot and Google to get unbiased experiences from real customers. Also, compare maximum borrowing amounts, fees, and funding times for each lender.
3. Prequalify: Many lenders let you prequalify for a loan to explore the potential loan amount, APR, repayment term, and monthly payment you might be offered. Prequalification is a process that doesn't harm your credit. Although your final pet loan offer may differ, prequalifying gives you an idea of what to expect and makes it easier to compare loans.
4. Compare pet loans: Consider prequalified quotes to find a loan that's likely to give you the amount you need and a monthly payment that fits your budget.
5. Apply: Apply for the loan and submit required documents, like your government-issued ID and pay stubs. Most lenders will run a hard credit check when you apply, which may briefly lower your credit score.
6. Review terms: If approved, look over the loan agreement your lender sends you, which outlines the loan's terms and fees. Sign and submit the document to your lender if you agree with all terms.
7. Get funds: Many lenders fund loans within a few business days, but some fund as soon as the same day. You can use your funds for pet expenses immediately, but prepare to start making payments on your loan. Check your loan agreement for your first due date.

Alternative pet financing options

Some pet-related expenses, like emergency vet care, can't wait. But if you're unsure about a pet loan, here are some other options to consider.

Pet insurance

In the wake of rising veterinary costs, many pet parents choose pet insurance. In exchange for a monthly premium ($62.44 for dogs and $32.21 for cats, according to the North American Pet Health Insurance Association), pet parents can get reimbursed for qualified medical costs, after meeting any deductibles and paying coinsurance. Pet insurance can be a game-changer if your pet makes an emergency vet visit or is diagnosed with cancer or another serious condition.

Clinic wellness plan

Your veterinarian or local animal hospital may offer a wellness plan to help you pay for your pet's preventative care, such as vaccinations and dental cleanings. Monthly pricing varies by the type of pet and your pet's age. Some offices also have packages with advanced care, like diagnostic testing and unlimited visits, for an extra cost.

Alternative treatments

Discuss alternative options if your vet recommends an expensive treatment or surgery. In some cases, at-home treatments or medications from human pharmacies with discounts can be viable alternatives to reduce your costs. Some vets may even be on board with letting you try holistic therapies, like acupuncture or herbal therapy, to see what works for your pet.

Pet care financial assistance

If you're struggling to afford pet care, community resources may be able to provide funding. Kimberly Mordasky, veterinarian and owner of Hebron Veterinary Hospital, says that financial assistance programs and charities like The Pet Fund, RedRover Relief, and Waggle offer grants or financial assistance to pet owners. Local animal shelters or humane societies may also be able to help. “For immediate needs, crowdfunding platforms like GoFundMe can effectively share a pet's story and garner community support,” says Mordasky.

Mordasky also suggests looking for veterinary schools in your area, which sometimes have low-cost services.

Financial assistance may be available if you need a service animal through organizations such as Canine Companions and Duo Dogs.

Emergency savings

This is exactly what your emergency fund is for—to cover emergency expenses you weren’t budgeting for. If you have cash in your bank account specifically set aside for emergencies, now is the time to use it and avoid taking on high-interest pet care debt.

Related: How To Start an Emergency Fund

Borrowing for ongoing care

If you need to borrow and budget for a new pet or ongoing pet expenses, consider the following average and typical expenses for dogs and cats. Borrowing for items like the ones listed below should only be a temporary solution. 

Methodology

Credible evaluated 32 lenders across 1,216 data points to find the best pet loans. We ranked lenders based on the following weighted categories:

• Rates and fees: 18.75%
• Eligibility and options for bad and no credit: 17.5%
• Availability: 12.5%
• Loan amounts and terms: 10%
• Customer satisfaction: 10%
• Customer service: 10%
• Efficiency and fund delivery: 10%
• Discounts: 7.5%
• Credible proprietary data: 3.75%

Credible's team of experts gathered information from each lender's website and from our partners directly. We also considered each of our partner lenders' statistics over a 12-month period — including average funding times, average credit scores for approved applicants, and average rates. Each data point is verified by a senior editor to make sure it's accurate at the time of publication. Learn more about how Credible rates lenders by exploring our personal loans lender rating methodology.