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Synchrony Streamlines Pet Care Payments With CareCredit Integration

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Synchrony Financial (SYF - Free Report) recently introduced a groundbreaking technology that connects its CareCredit health and wellness credit card with Pets Best pet insurance. This move is aimed at streamlining the pet care payment process. This first-of-its-kind integration allows pet parents to receive direct reimbursements for insurance claims on their CareCredit card, simplifying the traditionally complex process of paying for veterinary services.

SYF and Independence Pet Holdings, Inc. aim to further expand this offering to additional pet insurance brands. This move aligns with SYF’s objective of developing products to better suit the needs of pet parents. As pet care costs continue to rise, this simplified payment process will help Synchrony capture a larger share of the expanding pet care market. Almost half of pet parents underestimate the pet’s lifetime cost of care, making solutions like this important for them.

By offering pet owners a more seamless and convenient payment option, the company is likely to drive increased usage of its CareCredit card, which could boost transaction volume and revenue in the near term. SYF divested Pets Best Insurance Services to enable it to streamline its focus on core business operations while still being part of the growing pet insurance industry. This is evident from the innovation that SYF aims to expand its CareCredit offerings to new customers with attention paid to health systems. Health and Wellness accounted for 17.2% of the total interest and fees on loans of SYF in the second quarter of 2024.

Pet parents enrolled in both CareCredit and Pets Best insurance can bring their pet for treatment at a participating vet, pay with their CareCredit card, file a claim with Pets Best, and receive an automatic reimbursement for eligible expenses directly to their CareCredit card once the claim is processed.

Synchrony’s Price Performance

Shares of Synchrony have gained 24.2% in the past six months compared with the industry’s 9.1% growth.

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SYF’s Zacks Rank & Key Picks

Synchrony currently carries a Zacks Rank #3 (Hold).

Investors interested in the broader Finance space may look at some better-ranked players like Jackson Financial Inc. (JXN - Free Report) , WisdomTree, Inc. (WT - Free Report) and HIVE Digital Technologies Ltd. (HIVE - Free Report) . Each stock presently carries a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

The Zacks Consensus Estimate for Jackson Financial’s current-year earnings is pegged at $17.33 per share, which indicates 35% year-over-year growth. It witnessed two upward estimate revisions in the past 30 days against no downward movement. The consensus mark for JXN’s current-year revenues suggests a 116.7% surge from a year ago.

The Zacks Consensus Estimate for WisdomTree’s 2024 earnings indicates 51.4% year-over-year growth. During the past two months, WT has witnessed one upward estimate revision against none in the opposite direction. It met earnings estimates thrice in the past four quarters and beat once, with an average surprise of 2.3%.

The Zacks Consensus Estimate for HIVE Digital’s current-year earnings suggests a 29.1% year-over-year improvement. During the past month, HIVE has witnessed one upward estimate revision against none in the opposite direction. The consensus mark for current-year revenues is pegged at $111.8 million.


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