The CareCredit cardholder agreement is the contract between you and Synchrony Bank governing every rate, fee, and rule on your healthcare credit line. For new accounts, the standard variable purchase APR is 32.99%, a penalty rate of 39.99% can apply after two late payments in twelve months, and the agreement contains a mandatory arbitration clause you have only 60 days to reject.1CareCredit. CareCredit Credit Card Account Agreement The deferred interest promotions marketed at checkout are where most cardholders lose money, so those terms deserve close reading before your first purchase.
How to Get the Exact Version That Applies to You
Synchrony Bank publishes the current agreement and pricing addendum at synchronybankterms.com, updated quarterly.2Synchrony Bank. Synchrony Bank Credit Card Agreements That version reflects new-account terms. If your card is older and you want the exact version tied to your account, log into your CareCredit online account or call 866-893-7864 to request a mailed copy, which arrives within about 30 days.3CareCredit. CareCredit Cardholder Agreement The Consumer Financial Protection Bureau also hosts a searchable database of issuer agreements, useful for comparison but not tailored to your specific account.4Consumer Financial Protection Bureau. Credit Card Agreement Database
Interest Rates in the Agreement
Standard Variable APR
The standard purchase APR is 32.99% for new accounts.1CareCredit. CareCredit Credit Card Account Agreement It is variable, calculated by adding a fixed margin to the U.S. Prime Rate, so when Prime moves, your rate moves with it. This APR applies to any balance not covered by an active promotion and to any deferred-interest balance whose promotional period expired before you paid it off. You can find these figures in the Interest and Fee Summary table at the top of the agreement.
Penalty APR
Miss the minimum payment by the due date two or more times in any twelve consecutive billing cycles, and Synchrony can raise your rate to a 39.99% penalty APR. Once applied, it covers all new transactions and may stay in effect indefinitely. The bank says it will periodically review the account to decide whether a reduction is appropriate, but the agreement does not promise one.1CareCredit. CareCredit Credit Card Account Agreement Two lates in a year is not a hard threshold to trip, particularly if you are juggling several promotional balances with different due dates.
Fees the Agreement Charges
- Late payment fee: $30 if you have paid on time for the prior six billing cycles, or $41 if you have been late at least once in that span. The fee will never exceed your minimum payment for that cycle.1CareCredit. CareCredit Credit Card Account Agreement
- Returned payment fee: $30 for a first occurrence in six cycles, $41 if you have had a returned payment in the prior six. This applies when your bank rejects the payment for any reason, including insufficient funds.1CareCredit. CareCredit Credit Card Account Agreement
- Paper statement fee: $1.99 per month in any billing cycle where your balance exceeds $2.50 and you receive a paper statement, even if you also receive electronic statements. Switching to paperless billing eliminates the charge.5Synchrony Bank. CareCredit Credit Card Account Agreement and Pricing Addendum
Deferred Interest and Reduced APR Promotions
CareCredit offers two very different kinds of promotional financing, and confusing them is where most cardholders get burned. The type of promotion is set at the point of sale by the provider.
Deferred Interest Plans
These are marketed as “no interest if paid in full” within 6, 12, 18, or 24 months on qualifying purchases of $200 or more.6CareCredit. Understanding Promotional Financing: What It Is and How It Works The word “deferred” is doing the heavy lifting. Interest accrues from the original purchase date at the full standard APR the entire time. It just does not get added to your balance unless you fail to pay the full promotional balance before the deadline.7Consumer Financial Protection Bureau. I Got a Credit Card Promising No Interest for a Purchase if I Pay in Full Within 12 Months – How Does This Work
If even a dollar remains when the promotional period expires, every cent of accrued interest gets added to your balance at once. On a $3,000 dental bill under a 24-month deferred plan at 32.99%, that back-interest can easily exceed $1,500. The expiration date appears on the front page of every monthly billing statement. Check it.
Reduced APR With Fixed Monthly Payments
The second promotion type charges a lower fixed rate with required monthly payments designed to pay off the balance within the term. Current options for purchases of $1,000 or more include 24 months at 17.90% APR, 36 months at 18.90%, and 48 months at 19.90%. Purchases of $2,500 or more also qualify for a 60-month term at 20.90%.6CareCredit. Understanding Promotional Financing: What It Is and How It Works There is no deferred-interest trap here. You pay interest from day one at the reduced rate, and the monthly payments are sized to retire the debt on schedule.
How Your Payments Get Applied
Federal regulation controls how Synchrony distributes payments across multiple balances. Any amount above the minimum goes to the balance with the highest APR first, then works down.8eCFR. 12 CFR 1026.53 – Allocation of Payments
One critical exception matters here. During a deferred interest promotion, that balance is treated as carrying a 0% rate for allocation purposes, so extra payments get directed elsewhere. The regulation corrects for this only during the last two billing cycles before the promotion expires, when excess payments must be applied to the deferred interest balance first.8eCFR. 12 CFR 1026.53 – Allocation of Payments That two-cycle window is a safety net, not a payoff strategy. If you have a large deferred balance, divide it by the number of months in the promotion and pay at least that amount from the start.
How the Minimum Payment Is Calculated
The agreement sets your minimum payment as the greater of $30, 3.25% of your statement balance, or 1% of the balance plus any interest and late fees charged that cycle. Past-due amounts get added on top, along with any fixed payment required by a reduced APR promotional plan.9Consumer Financial Protection Bureau. CareCredit Credit Card Account Agreement and Pricing Addendum The result is rounded up to the next whole dollar and never exceeds your total balance. Paying only the minimum on a deferred interest plan almost guarantees the promotional balance will not be paid off in time. The minimum is designed to service the account, not to retire a specific promotional balance on schedule.
Where the Card Can Be Used
CareCredit is not a general-purpose credit card. It works only at enrolled providers and select retailers in the CareCredit network, covering health and wellness categories including dental, vision, veterinary, cosmetic, dermatology, hearing, chiropractic, primary and urgent care, pharmacies, hospitals, medical equipment, weight loss, sleep services, spa treatments, and funeral services.10CareCredit. Ways to Use Your Health and Wellness Credit Card You cannot use it at a grocery store or gas station, and promotional financing is only available through enrolled providers offering it at checkout.
Authorized Users
You can add authorized users to your account. The primary cardholder is liable for all purchases, including those made by any authorized user.11CareCredit. CareCredit FAQs An authorized user gets card access but takes on no legal obligation to repay. If a family member charges a large deferred plan and does not tell you, the accrued interest still lands on your account.
Arbitration Clause and the 60-Day Opt-Out
The agreement includes a mandatory arbitration provision covering most disputes with Synchrony Bank. Leaving the clause in place means giving up the right to have a court or jury hear your case, waiving participation in class actions, and accepting limited appeal rights.1CareCredit. CareCredit Credit Card Account Agreement The clause reaches broadly, covering account fees, credit reporting disputes, promotional terms, and even events leading up to the agreement such as advertisements or oral representations by a provider.
You can reject the arbitration clause, but the window is 60 days from either opening your account or first receiving the opt-out notice. Your rejection must be in writing and must include your name, address, and account number. Mail it to Synchrony Bank, P.O. Box 965012, Orlando, FL 32896-5012.12CareCredit. CareCredit Credit Card Account Agreement Miss that deadline and you are bound by the clause for the life of the account. Send the letter early and keep a copy.
How to Dispute a Billing Error
Federal law requires the agreement to include a “Your Billing Rights” section explaining how to challenge statement errors. If you spot a wrong amount, an unauthorized charge, or a payment that was not credited, you have 60 days from the date of the first statement containing the error to send written notice.13Office of the Law Revision Counsel. 15 USC Chapter 41 Subchapter I Part D – Correction of Billing Errors Your notice needs your name, account number, and a description of the suspected mistake.
Send billing disputes to Synchrony Bank, P.O. Box 71756, Philadelphia, PA 19176-1756. That is a different address from the one used for regular payments or for the arbitration opt-out. Once Synchrony receives your notice, it must acknowledge the dispute within 30 days and resolve it within two billing cycles. While the investigation is pending, the bank cannot collect the disputed amount or report it as delinquent.13Office of the Law Revision Counsel. 15 USC Chapter 41 Subchapter I Part D – Correction of Billing Errors Dispute in writing, not by phone. A phone call does not trigger the same legal protections.