Is SmileDirectClub Going Out of Business? Yes, Here’s Why

Is SmileDirectClub Going Out of Business

SmileDirectClub was once one of the largest direct-to-consumer teeth aligner companies in the world. It served over 2 million customers and built a well-known brand through retail locations and telehealth services. Today, the company no longer operates.

For many former customers, the closure raised immediate and serious questions. What happens to ongoing treatment? Do SmilePay balances still need to be paid? Are refunds available for undelivered orders? This article answers each of those questions clearly, based on available reporting.

SmileDirectClub Is Closed — Here Is What the Record Shows

SmileDirectClub is permanently closed. This is not a temporary pause, a rebranding, or a restructuring. The company ceased all operations and is no longer offering any services.

Here is what happened in sequence:

  • SmileDirectClub filed for Chapter 11 bankruptcy in September 2023.
  • Shortly after filing, the company announced it would wind down all global operations.
  • Telehealth aligner services, customer support, and new orders all stopped at the time of the announcement.
  • Services fully ceased in December 2023.
  • The bankruptcy case later converted to Chapter 7 liquidation in January 2024, meaning the company’s remaining assets were sold off rather than reorganized.

According to AP News and CNN, the wind-down was effective immediately upon announcement. There is no credible indication the company will return in any form.

How SmileDirectClub Went From Bankruptcy to Full Shutdown

SmileDirectClub was founded in 2014. It grew quickly by marketing clear aligners directly to consumers, bypassing traditional orthodontists and positioning itself as a more affordable alternative.

In the years leading up to its closure, the company had been reporting significant financial losses. Despite its large customer base and brand recognition, the business model faced mounting pressure from competition, legal challenges, and operational costs.

When the company filed for Chapter 11 in September 2023, the intent was to reorganize — not to shut down. Chapter 11 typically allows a business to restructure its debts while continuing to operate. However, that effort failed.

Unable to find a viable restructuring path, SmileDirectClub made the decision to wind down entirely. The case then converted to Chapter 7, which is a full liquidation. That means a court-appointed trustee took over to sell the company’s assets and distribute proceeds to creditors. Customers were not prioritized in that process.

What Happened to Customers When the Company Closed

The closure created immediate problems for a large number of customers. Many were in the middle of active treatment plans. Others had paid for orders that had not yet shipped.

Here is what was reported across multiple outlets:

  • Mid-treatment customers lost access to telehealth support and could not continue their treatment through the SmileDirectClub platform.
  • Unshipped orders were canceled at the time of closure. Customers who had paid for aligners that had not arrived were left without the product.
  • The company’s Lifetime Smile Guarantee — a major selling point for many customers — was declared no longer valid. AP News specifically confirmed this.
  • Customer service lines and support channels were discontinued immediately. Customers had no way to reach the company after the shutdown.

Former customers in mid-treatment were advised to consult local dental professionals. If you need to continue aligner treatment or require follow-up care, a licensed orthodontist or dentist can assess your current progress and recommend next steps.

SmilePay Balances and Refunds — What Former Customers Were Told

This is one of the most urgent concerns for former customers. Two questions come up most often: Do I still owe money? Can I get a refund?

SmilePay Payment Obligations

SmilePay was SmileDirectClub’s monthly installment plan, allowing customers to spread the cost of their aligners over time. When the company shut down, customers enrolled in SmilePay were told they were still expected to continue making payments.

The Guardian reported this directly. The closure of the business did not automatically cancel outstanding payment obligations. This left many customers in a difficult position — paying for a service they could no longer receive.

If you are in this situation, it is worth contacting the financing provider directly to understand your options. Depending on how your SmilePay plan was structured, there may be grounds to dispute continued billing, but that will depend on the specific terms of your agreement.

Refunds for Undelivered Orders

According to CNET, refund handling for undelivered orders was unclear at the time of the shutdown. Some cases were still under review. No blanket refund policy was announced for all affected customers.

If you believe you are owed a refund, there are two practical steps worth considering:

  1. File a claim through the bankruptcy proceedings. When a company enters Chapter 7 liquidation, creditors and consumers with valid claims can sometimes file to recover funds. This process is managed through the bankruptcy court. The outcome will depend on available assets and the priority of claims.
  2. Dispute the charge with your credit card issuer or bank. If you paid by credit card and did not receive the product or service, you may be eligible to dispute the transaction. Contact your card provider and explain that the company shut down before fulfilling the order.

Keep in mind that each customer’s situation is different. Whether you received partial service, no service, or a complete product will affect your options. Do not assume you are automatically eligible for a full refund — but do not assume the payment is simply lost either.

Practical Options for Former SmileDirectClub Customers

Below is structured guidance for the four situations former customers most commonly face.

If You Already Have Your Aligners

Continue wearing them according to the treatment plan you received. Since telehealth support is no longer available, consider scheduling a consultation with a local orthodontist or dentist. They can review your current stage of treatment and advise whether you should continue, pause, or transition to a different provider.

If You Never Received Your Order

Your order was likely canceled at the time of the shutdown. Start by checking your email for any communication from SmileDirectClub. Then contact your credit card company or bank to dispute the charge. You can also look into filing a claim through the bankruptcy court process, though the timeline and outcome of that route is uncertain.

If You Still Have a SmilePay Balance

Do not ignore the balance, but also do not assume you have no options. Contact the financing company directly and ask about your obligations given that the service provider has shut down. Depending on how the plan was set up, you may be able to negotiate or dispute continued payments. A consumer protection attorney can also advise you if the situation is unresolved.

If You Need a Replacement Retainer or Follow-Up Care

The Lifetime Smile Guarantee is no longer valid, so you cannot rely on SmileDirectClub for replacement retainers or warranty claims. Your best option is to visit a licensed dental professional. Bring any documentation you have from your original treatment, including photos of your aligners or any treatment records SmileDirectClub may have provided.

For more business-related guidance and consumer news, InPageBusiness covers topics that help readers make informed decisions in situations like these.

Final Takeaway

SmileDirectClub is closed. It filed for bankruptcy in September 2023, wound down operations by December 2023, and converted to Chapter 7 liquidation in January 2024. The telehealth service, customer support, Lifetime Smile Guarantee, and all active orders came to an end with the shutdown.

Former customers still dealing with payment obligations, missing orders, or incomplete treatment should take practical steps rather than wait for the company to respond — it will not. Work with your bank, consult the bankruptcy court process if needed, and connect with a local dental professional for any ongoing treatment needs.

The situation is frustrating, but understanding exactly where things stand is the first step toward resolving it.

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I’m Alice Monroe, the creator and writer behind In Page Business, a platform designed to provide clear, practical, and realistic business knowledge for independent entrepreneurs, freelancers, and small business owners. I started this blog to share insights drawn from real business situations, everyday challenges, and the decisions that influence long-term success. My content explores areas such as managing finances, pricing strategies, customer relationships, operations, and business improvement. I believe helpful business advice should be simple, balanced, and focused on real-world application. Through In Page Business, I strive to give readers useful perspectives that help them navigate challenges, evaluate choices, and build stronger businesses.