topic Re: Credit Card as a Line of Credit in Credit Cards

Credit Card as a Line of Credit

tpatterson2k9 — Sat, 21 Jun 2014 21:32:16 GMT

So there is this credit union in my area that, after discovering this, seems to offer a LOC option on their credit cards that flies in the face of what you'd normally expect from a CC.

With School's First Federal Credit Union (located in Southern California), you are actually able to withdraw as a cash advance the FULL amount of your credit limit. They do not charge you a fee for the cash advance. The only issue is that interest starts accruing right away, which is standard for cash advances. The benefit here is that you can withdraw 100% of your available limit as opposed to a 20% limit max with other CCCs. With a fairly low cash advance interest rate of 15.8%, it has become something that I absolutely love having as an additional financial instrument when cash is needed.

Has anyone else had any experiences like this with other banks or credit unions?

Re: Credit Card as a Line of Credit

Anonymous — Sat, 21 Jun 2014 21:43:36 GMT

@tpatterson2k9 wrote:
So there is this credit union in my area that, after discovering this, seems to offer a LOC option on their credit cards that flies in the face of what you'd normally expect from a CC.

With School's First Federal Credit Union (located in Southern California), you are actually able to withdraw as a cash advance the FULL amount of your credit limit. They do not charge you a fee for the cash advance. The only issue is that interest starts accruing right away, which is standard for cash advances. The benefit here is that you can withdraw 100% of your available limit as opposed to a 20% limit max with other CCCs. With a fairly low cash advance interest rate of 15.8%, it has become something that I absolutely love having as an additional financial instrument when cash is needed.

Has anyone else had any experiences like this with other banks or credit unions?

My CU Visa is the same, $20k at 10.25%

All cash if I wanted and no fees

It's nice to have!

Re: Credit Card as a Line of Credit

longtime_lurker — Sat, 21 Jun 2014 23:34:52 GMT

My CU Visa is the same way, no fees, same APR* (8.9), 100% of limit. It's very nice to have as a backup!

edit: same APR as purchases*

Re: Credit Card as a Line of Credit

chwebb1 — Sun, 22 Jun 2014 00:23:31 GMT

@tpatterson2k9 wrote:
So there is this credit union in my area that, after discovering this, seems to offer a LOC option on their credit cards that flies in the face of what you'd normally expect from a CC.

With School's First Federal Credit Union (located in Southern California), you are actually able to withdraw as a cash advance the FULL amount of your credit limit. They do not charge you a fee for the cash advance. The only issue is that interest starts accruing right away, which is standard for cash advances. The benefit here is that you can withdraw 100% of your available limit as opposed to a 20% limit max with other CCCs. With a fairly low cash advance interest rate of 15.8%, it has become something that I absolutely love having as an additional financial instrument when cash is needed.

Has anyone else had any experiences like this with other banks or credit unions?

I've used my Ring similarly. My cash advance limit is 40% of my CL, and the APR is the same (8%). At the moment, there's a $1 fee for a CA, although that's going up to $3 later this year (and they're getting rid of FTFs). I think I've only used it like that once, though.

Re: Credit Card as a Line of Credit

fot1 — Sun, 22 Jun 2014 00:33:12 GMT

PSECU hasd the same type of thing CC/LOC combo. %9.9 interest no fees and aboth acounts show Credit limit on Credit report.. My $15.5 K shows as $31k on my credit reports.. Great for Ultization purposes.

Re: Credit Card as a Line of Credit

Anonymous — Sun, 22 Jun 2014 03:29:22 GMT

@tpatterson2k9 wrote:
So there is this credit union in my area that, after discovering this, seems to offer a LOC option on their credit cards that flies in the face of what you'd normally expect from a CC.

With School's First Federal Credit Union (located in Southern California), you are actually able to withdraw as a cash advance the FULL amount of your credit limit. They do not charge you a fee for the cash advance. The only issue is that interest starts accruing right away, which is standard for cash advances. The benefit here is that you can withdraw 100% of your available limit as opposed to a 20% limit max with other CCCs. With a fairly low cash advance interest rate of 15.8%, it has become something that I absolutely love having as an additional financial instrument when cash is needed.

Has anyone else had any experiences like this with other banks or credit unions?

For many CUs, a cash advance and an LOC are roughly the same thing.

Re: Credit Card as a Line of Credit

Anonymous — Sun, 22 Jun 2014 04:02:40 GMT

SchoolsFirst FCU is amazing. I currently have my car loan through them, a personal loan, a credit card and an overdraft LOC. If you don't have one already, you may want to apply for an overdraft credit line. Payments post faster, and it'll give you a little bit extra cash to access, if needed.