New fintech product seeks to disrupt $32-billion health expense problem

A fintech firm is aiming to fill the financial gap in elective care and medical procedures

New fintech product seeks to disrupt $32-billion health expense problem
Calgary-based fintech company LendingArch has launched a real-time, point-of-sale loan service for Canadian medical clinics and their patients. With the new product, the firm aims to ease consumers’ over-dependence on credit cards for out-of-pocket health expenses.

Recent figures indicate that Canadians face over $32 billion in out-of-pocket medical expenses. The figure is expected to inflate further due to increasing price pressure from various healthcare expenses, including MRIs, cosmetic surgery, fertility treatments, and dental and hearing aids. With LendingArch’s new product, clinicians have direct access to real-time underwriting, allowing them to offer more affordable finance solutions to patients.

Over 1,100 clinics are currently on a waiting list to offer the flexible financing scheme to their patients once it goes live on April 1. In the meantime, patients can apply for LendingArch’s point-of-sale financing online, either from home or at a clinic location, and get approved within minutes.

Loans can be broken down into equal monthly instalments, with terms ranging from twelve months to three years, at rates far more affordable than those for credit cards, according to the company. Loan applications take less than two minutes, and clinics are paid immediately. There will also be no deferred payments, compound interest, or late fees for patients.

“We are excited about being able to offer our lending technology right at the point of sale and make a difference in the lives of financially responsible Canadians,” said LendingArch CEO Arti Modi. “Our clinicians are excited about being able to enhance their patients' lifestyle and buying experience due to our seamless application process at no risk to them.”

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