If you’re looking for a CareCredit settlement to file a claim against, the largest one — the Consumer Financial Protection Bureau’s 2013 order requiring $34.1 million in refunds — is closed, and refunds were sent directly to affected cardholders without any claim form. No government-run settlement fund for CareCredit is currently accepting new claims. What is open: a law firm is taking individual arbitration cases for cardholders who were charged deferred interest, and a proposed class action against Synchrony Bank over CareCredit’s interest rates is still pending in federal court.
The 2013 CFPB Refund Program Is Closed
On December 10, 2013, the CFPB issued a consent order against GE Capital Retail Bank and its subsidiary CareCredit LLC over deceptive enrollment practices at doctors’ and dentists’ offices. The order required up to $34.1 million in refunds to more than one million consumers who had been misled about CareCredit’s deferred-interest promotional plans.1Consumer Financial Protection Bureau. GE Capital Retail Bank and CareCredit Enforcement Action
Cardholders owed money were contacted directly by either the CFPB or GE Capital Retail Bank. There was no claim form and no application process — affected consumers did not need to do anything to receive their refunds.2Forbes. $34M Refund for 1M Credit Card Customers Using GE Capital’s CareCredit The CFPB terminated the consent order in 2021 after determining GE Capital’s successor had satisfied all of its obligations.3Consumer Financial Protection Bureau. Order Terminating Consent Order, File No. 2013-CFPB-0009
New York’s Attorney General reached a separate settlement in June 2013 that created an appeals fund for New York consumers who had previously disputed CareCredit charges. Eligible consumers could seek reimbursement for interest, fees, and penalties, plus 9% annual interest. That process paid out approximately $175,000 in refunds or adjustments and is no longer accepting claims.4U.S. Government Accountability Office. Third-Party Medical Financing
The 2014 Synchrony Bank Refund Program Is Also Closed
A larger CFPB action followed in June 2014 against GE Capital Retail Bank, which was becoming Synchrony Bank. The Bureau found the bank had deceptively marketed credit card add-on products like “Card Security” and “Account Security” to roughly 638,000 consumers, and had discriminated against Spanish-preferred account holders and residents of Puerto Rico by excluding them from debt-relief offers between 2009 and 2012. The order required at least $56 million in refunds for the add-on products, at least $169 million in remediation for about 108,000 affected borrowers, and a $3.5 million civil penalty.5Consumer Financial Protection Bureau. Consent Order, File No. 2014-CFPB-0007 Synchrony ultimately provided at least $259 million in total redress.6Consumer Financial Protection Bureau. Synchrony Bank Enforcement Action
The CFPB terminated that consent order on May 12, 2025, citing the bank’s compliance and pointing to Executive Order 14281, which directed the agency to eliminate the use of disparate-impact liability in enforcement and to review consent orders that relied on it.6Consumer Financial Protection Bureau. Synchrony Bank Enforcement Action Affected consumers were paid through the bank’s remediation process during the years the order was active; there is no open fund tied to this action either.
Private Arbitration Claims You Can File Now
The law firm Labaton Keller Sucharow is currently pursuing individual arbitration claims against CareCredit for cardholders who were charged deferred interest. The firm alleges CareCredit violated the federal Truth in Lending Act and state consumer protection laws by failing to clearly disclose the terms of its “no interest if paid in full” promotions.7Labaton Keller Sucharow. CareCredit Claims
You may qualify if you used a CareCredit deferred-interest promotion for a medical, dental, or veterinary procedure and were ultimately charged interest. Eligible claimants may recover up to $5,000, according to the firm. Sign-up is handled through the firm’s online portal. These cases are private attorney-client matters decided by an arbitrator, not a court-approved class settlement, and the firm collects a fee only if the client obtains a recovery.8Labaton Keller Sucharow. CareCredit Claims FAQ
The Pending Usury Class Action
In August 2024, a plaintiff identified as S.G. filed a proposed class action against Synchrony Bank in the U.S. District Court for the Eastern District of New York. The case, S.G. v. Synchrony Bank (No. 24-CV-5788), alleges that CareCredit’s interest rates violate New York’s usury laws, which cap interest at 16% for loans under $250,000. The complaint cites CareCredit’s standard 32.99% rate and penalty rate reaching 39.99%, and brings claims for violations of New York usury statutes, deceptive trade practices, breach of the covenant of good faith and fair dealing, and unjust enrichment.9U.S. District Court, Eastern District of New York. S.G. v. Synchrony Bank, No. 24-CV-5788
The proposed class would cover any CareCredit accountholder in the United States who accrued interest above 16% during the applicable limitations period.10Top Class Actions. CareCredit Loans With High Interest Rates Offered at Vulnerable Moments, Class Action Claims The case is not yet certified as a class and no settlement exists. On January 27, 2026, a magistrate judge recommended granting Synchrony’s motion to compel arbitration and staying the case. As of mid-2026, the district judge had not adopted or rejected that recommendation.9U.S. District Court, Eastern District of New York. S.G. v. Synchrony Bank, No. 24-CV-5788 If the recommendation is adopted, the class claims would effectively be frozen while the named plaintiff’s dispute goes to arbitration individually.
Why These Cases Keep Coming: How Deferred Interest Works
CareCredit’s promotional financing is the source of most of the legal action against the card. The company offers 6-, 12-, 18-, and 24-month promotions on purchases of $200 or more, marketed as “no interest if paid in full.” These are deferred-interest plans, not zero-interest plans. Interest accrues from the date of purchase at the card’s standard rate. Pay the balance in full before the promotional period ends and the interest is waived. Leave any balance and the full amount of accrued interest is added retroactively to the account.11CareCredit. CareCredit FAQs
CareCredit’s standard APR is 32.99%, with a penalty rate reaching nearly 40% for late payments.12NerdWallet. CareCredit Card A consumer who charges $2,500 on a one-year plan and pays off all but $100 by the deadline would owe close to $400 in retroactive interest on the full original balance.13National Consumer Law Center. Deceptive Bargain: The Hidden Time Bomb of Deferred Interest Credit Cards Minimum monthly payments are typically set below the level needed to pay off the balance within the promotional window, so a cardholder paying only the minimum will almost certainly be hit with retroactive interest.14National Consumer Law Center. Deferred Interest Credit Cards Report
Between 2018 and 2020, American consumers paid $1 billion in deferred interest on medical credit cards and financing plans. A CFPB study found that more than 40% of consumers with subprime credit scores failed to pay off deferred-interest balances before the promotional period expired.13National Consumer Law Center. Deceptive Bargain: The Hidden Time Bomb of Deferred Interest Credit Cards Synchrony itself has estimated that about 20% of deferred-interest purchases result in retroactive interest charges, affecting roughly 2.65 million accounts.15Regulations.gov. CFPB-2025-0004-0051 Comment Attachment
State Laws That May Protect You Now
Several states have passed laws targeting the practices behind these lawsuits. California’s SB 639, effective July 2020, bans deferred-interest provisions on medical credit cards entirely — interest can only be charged on the unpaid balance rather than retroactively on the full original amount. The law also bars healthcare providers from completing any portion of a credit card application on a patient’s behalf, prohibits charging a card for services more than 30 days before they are performed, and requires providers to give patients a written, itemized treatment plan before any credit is established.16VIN News Service. New California Law Places Restrictions on CareCredit-Type Products
New York laws effective October 2024 prohibit hospitals and healthcare providers from requiring credit card pre-authorization or keeping a card on file before emergency or medically necessary services are provided. Patients must also be told, each time a credit card is used for medical services, that the debt will no longer be treated as medical debt and that they forfeit certain federal and state protections, including restrictions on wage garnishment, property liens, and credit bureau reporting.17Jackson LLP. New York Consumer Protection Laws: Credit Cards and Payment Consent in Healthcare Illinois has enacted reforms addressing medical credit card practices as well.18National Consumer Law Center. What States Can Do: Medical Credit Cards
Connecticut’s HB 5127 received a favorable committee vote in March 2026. Attorney General William Tong submitted testimony calling current medical credit card practices “exploitative” and “inherently deceptive.”19Connecticut General Assembly. HB 5127 Joint Favorable Report With federal oversight scaled back under the current administration’s restructuring of the CFPB, consumer protection on medical credit cards has shifted largely to state legislatures, state attorneys general, and private litigation.20The American Prospect. Predatory Lenders in the Operating Room