Line of Credit
A personal line of credit can ensure you have funds for today and tomorrow. A line of credit, abbreviated as LOC, is an arrangement between the Lender and you that establishes a maximum credit amount you have access to. You can access funds from the line of credit at any time, as long as you do not exceed the maximum amount set in the agreement and as long as you meet any other requirements set by the Lender, such as making timely minimum payments.
The main advantage of a line of credit is its built-in flexibility. You can request a certain amount, but you do not have to use it all. Rather, you can tailor what you spend based on your needs, and you only have to pay interest on the amount you spend, not on the entire credit line. In addition, you can also adjust your repayment amounts as needed, based on your budget or cash flow. For example, you can repay the entire outstanding balance at once, or you can opt to just make the minimum monthly payments.There are a variety of Line of Credit options available from our lenders.
A revolving line of credit means that you can spend the money, repay it and spend it again, in a virtually never-ending, revolving cycle. Revolving accounts such as lines of credit and credit cards exist in contrast to installment loans such as mortgages, car loans, and signature loans. With installment loans, consumers borrow a set amount of money, and they repay it in equal monthly installments until the loan is paid off. Once an installment loan has been paid off, the consumer cannot spend the funds again unless he applies for a new loan.
Also, lines of credit can be either secured or unsecured. In most cases, lines of credit are unsecured loans. This means that there is no collateral backing them. Typically, secured line of credit is collateralized by either your vehicle or by your paycheck, but it works exactly like an unsecured line of credit.
Let a Personal Line of Credit help achieve your goals. Whether you need to make a necessary home or car repairs, tuition payments or fund other major expenses, your Personal Line of Credit can help you do the things that matter.