Personal Line of Credit

It sounds like they've created a line of credit that will serve as overdraft protection for your checking account, ie: your checking balance is $100, you buy something for $150 so you just drew $50 from your line of credit.

Was thinking the same thing, but....

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and the money will be there in 4 days.

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We used to have one that was secured by a second mortgage on our house. It was set up as a separate account and we had checks (no debit card) specifically for that account. It was linked to our checking account online. So, we could transfer the money out of the line of credit into our checking account if we wanted to use the money. It was through Capital One. I would pay the money back also by transferring the money from our checking out back into the line of credit loan.

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Just got approved for a personal line of credit...they tell me its linked into my checking account and the money will be there in 4 days. My question is...how can they tell when I use a debit card if I am using my own money, or the line of credit fund?

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on mines, its over draft protection on my checking account but i also have another credit card that charges the line of credit account directly as well.

Yes, a home equity line of credit. I guess that is different from a personal line of credit? I'm not a finance wiz and didn't really think about there being different kinds. We had one with a $50,000 limit over a ten year period and used it to do several remodeling projects on the house; then paid it off and closed it. Worked out great. Was an adjustable rate, but stayed at 2.5% just about the whole time we had it.