You may not have heard of our Personal Line of Credit (PLOC), but that doesn’t mean it hasn’t been around. We’ve always offered a PLOC, but we recently renamed the service. You may recognize it our Overdraft Line of Credit.
Last month we realized that we love the service, but we don’t love the name. Overdraft Line of Credit (ODLOC) seems negative and kind of scary. And, while it does protect our members from potential overdrafts, it also does so much more than that! The coolest part of ODLOC was that you could use it as a personal loan. In the end, we thought Personal Line of Credit was better suited for this Rockstar service.
So what is this PLOC? Well at its core, it’s a small, personal loan. It costs $5 to use (unless you are Emerald Checking Level 4 – then it’s free) and has 18% APR. If you don’t use it, it’s completely free to sign up and have on hand as an “in case of emergency” service. There is only a fee if you use it.
The loan works similar to a credit card. You have the money up front (credit limits range from $250-$2,500) and pay it off each month. The monthly payment ($50 or 10%) is automatically transferred from the primary checking account on the first of each month, so you don’t even have to remember another payment. It’s the perfect loan for a small repair project, a last-minute family vacation, paying bills with a fluctuating income, or making a larger one-time purchase.
Despite the new name, PLOC also serves as an extra overdraft protection. In the event of an overdraft, money is automatically transferred from your PLOC to your primary checking account. It is transferred in $100 increments and you are charged the $5 fee. However, that small fee is a lot better than paying an overdraft fee! From there, the balance is paid, and you successfully avoided an overdraft. It’s seriously that easy.
You may be thinking, “Hm... what’s the down side?” Well, when it comes to signing up, there is no down side! It’s free to sign up and you aren’t out any money if it’s never used. If you do need it, you’re already signed up and ready to go. As far as whether a PLOC is the right loan for your situation, there may be some pros and cons. The good news is our awesome Financial Service Representatives can help you with that! Stop by or head to our website to chat with someone today.
Are you ready to get personal with a PLOC? Start the application process online today.