NFCU LOC not reporting on CRA's strategy

[elbori357]

Could I PIF my NFCU siggy visa with my NFCU checking account which I have $0 balance to activate my LOC so it gets reported on my CRA's then before the closing date (April 4) PIF my LOC. Would this plan make NFCU report my LOC to the CRA's?

Thoughts

Thanks

[Creditaddict]

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@elbori357 wrote:

Could I PIF my NFCU siggy visa with my NFCU checking account which I have $0 balance to activate my LOC so it gets reported on my CRA's then before the closing date (April 4) PIF my LOC. Would this plan make NFCU report my LOC to the CRA's?

Thoughts

Thanks

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How long has it been open, usually you don't have to use it for it to report.

[elbori357]

Opened it on Feb 21. My siggy is reporting already and both were opened at same time.

[Creditaddict]

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@elbori357 wrote:

Opened it on Feb 21. My siggy is reporting already and both were opened at same time.

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One requires loan documents to be signed and set up... Give it 2 months

[elbori357]

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@Creditaddict wrote:

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@elbori357 wrote:

Opened it on Feb 21. My siggy is reporting already and both were opened at same time.

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One requires loan documents to be signed and set up... Give it 2 months

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Ok. One last question.

If I use the LOC to pay for anything, I read here that the interest is immediately accrued. Could you explain? In the event that I want to use it. Can I use it and PIF before the statement closing date without paying interest?

[sailor_mercury]

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@elbori357 wrote:

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@Creditaddict wrote:

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@elbori357 wrote:

Opened it on Feb 21. My siggy is reporting already and both were opened at same time.

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One requires loan documents to be signed and set up... Give it 2 months

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Ok. One last question.

If I use the LOC to pay for anything, I read here that the interest is immediately accrued. Could you explain? In the event that I want to use it. Can I use it and PIF before the statement closing date without paying interest?

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It is my understanding the NFCU's Checking LOC charges interest from day 1 and that interest compounds daily.  You could be paying a lot in interest even if you ran a high balance, even for just a few days.  To be sure you can call NFCU.

[elbori357]

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@sailor_mercury wrote:

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@elbori357 wrote:

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@Creditaddict wrote:

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@elbori357 wrote:

Opened it on Feb 21. My siggy is reporting already and both were opened at same time.

---

One requires loan documents to be signed and set up... Give it 2 months

---

Ok. One last question.

If I use the LOC to pay for anything, I read here that the interest is immediately accrued. Could you explain? In the event that I want to use it. Can I use it and PIF before the statement closing date without paying interest?

---

It is my understanding the NFCU's Checking LOC charges interest from day 1 and that interest compounds daily.  You could be paying a lot in interest even if you ran a high balance, even for just a few days.  To be sure you can call NFCU.

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Wow... definately will call them to confirm.

[user5387]

LOCs and cash advances and BTs rarely have a grace period, so interest starts accruing immediately.

However, the usual killer is fees, not a few days of interest.

If there are no fees, and the APR is 15%, and interest is compounded continuously, then the effective interest rate is 16.18%, and you'd pay around $3.11 per $1000 for each week you borrow money using the LOC.

[Creditaddict]

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@user5387 wrote:

LOCs and cash advances and BTs rarely have a grace period, so interest starts accruing immediately.

However, the usual killer is fees, not a few days of interest.

If there are no fees, and the APR is 15%, and interest is compounded continuously, then the effective interest rate is 16.18%, and you'd pay around $3.11 per $1000 for each week you borrow money using the LOC.

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I love an easy to understand math breakdown! THANK YOU.

[Creditaddict]

here is mine right now that you can see and my rate is 17.9%:

03/24/2014		Finance Charge	$1.04	$1.04		$302.38
03/18/2014		NAVchek Advance	$302.38		$302.38	$302.38
03/04/2014		Payoff Adjustment	$0.05-		$0.05-	$0.00
03/04/2014		Trf Fr Checking	$105.62-	$0.05-	$105.57-	$0.05
03/04/2014		Finance Charge	$0.05	$0.05		$105.62
03/03/2014		NAVchek Advance	$105.62		$105.62	$105.62
02/25/2014		Trf Fr Checking	$25.66-	$0.23-	$25.43-	$0.00
02/24/2014		Finance Charge	$0.23	$0.23		$25.43
02/24/2014		Trf Fr Shares	$81.26-		$81.26-	$25.43