ok first off don't be hastie with your decision based on what that one vet told you. your pup is only 4 months old and sometimes with a little growth, the LPs work themself out or get a little better. I'd definately go see an orthopedic surgeon and have them check out the leg. i see knee surgeries every day and they are never as young as 4 months. I also have a Chi right now with grade 4 in both legs and she was probably born with it too. i've had her for almost 2 months now and she's a little under a year. she doesn't seem bothered by her knee problem actually.
an amputation is completely insane to do. yeah you may not have the money right now but would you seriously consider cutting on the leg for a fixable problem?? go get another opinion and i'm sure their decision won't be as quick as the first one. they will also probably tell you that you can wait another few weeks so you can gather up some money. You can also apply for care credit to help you out some.
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