My vet bill was much larger than expected, due to complications during a procedure to my dog. I am being charged 24% interest or 7$ minimum on the balance each month. This is higher than anyone has charged me, besides the credit card folks. Is this legal?
2007-07-05 12:32:06 · 7 answers · asked by Anonymous in Business & Finance ➔ Personal Finance
This is Iowa. We had no areements
2007-07-05 18:42:42 · update #1
If you look at the fine print on your vet bill, I'm sure it provides the terms for financing any unpaid balances. Many vets do not provide any financing at all, and all balances are due and payable upon receipt of services rendered. Your vet certainly is under no obligation to provide services as a great financing company in addition to the vet services it provides.
If you have any other credit available to you with better terms - including credit cards - then use that to pay off your vet bill. Even if you can only reduce it from 24% to say 18%, that would represent $60 per year per each $1,000 balance outstanding. Of course, if you have something with even better terms, like a home equity loan, you'd be a lot better off using that.
Hope that helps, and I hope your pet is doing better - sounds like you shelled out a lot.
2007-07-05 12:47:48 · answer #1 · answered by Marko 6 · 0⤊ 1⤋
This depends on what state you live in. All states have usury (meaning excessive interest) laws. These laws state the maximum amount of interest a creditor can charge you. If the creditor charges over this amount they can not sue to recover the debt because it is illegal anyway. Technically, the vet is not a creditor. As far as I know they can charge you a monthly fee on your unpaid balance, but not interest unless you have opened a credit account with them. And then, the amount charged must be within the legal limits in your state. law.enotes.com in the politics section has an interest rate encyclopedia that lists all states with their usury rate. But again, your vet is not technically a creditor unless you have a credit agreement with them.
2007-07-05 13:47:17 · answer #2 · answered by lynn 2 · 4⤊ 0⤋
As long as it is in the Customer Agreement, you can be charged a "high rate of interest". What you think is "high" might be very low for the person charging it as he may want to charge you, say, 48% interest, if agreed upon earlier, and if it were customary in the area/industry. Legal, yes, Moral? Maybe no, but then a Vet should really work for love, isn't it?
2007-07-05 12:39:05 · answer #3 · answered by Sky Clipper 2 · 1⤊ 0⤋
purely placed - you owe the interest for using the money as much as the minute you paid it off. this is a residual cost. which skill the interest amassed precise as much as October twenty third. purely considering you paid it off on October twenty third does no longer recommend the interest owed from earlier is forgiven. There could be not greater interest charged on a on a daily basis foundation AFTER October twenty third.
2016-11-08 06:34:42 · answer #4 · answered by kinnu 4 · 0⤊ 0⤋
Yes, it is legal, unless you live in a state with maximum interest charges. (Usury laws)
2007-07-05 14:09:06 · answer #5 · answered by acermill 7 · 0⤊ 1⤋
yes
2007-07-05 12:34:59 · answer #6 · answered by Anonymous · 0⤊ 1⤋
Sure its legal.
2007-07-05 12:46:15 · answer #7 · answered by Anonymous · 0⤊ 1⤋