Credit card question.

Credit card limit question?

• Ok ill try to explain this the best I can. I do online banking. It have my credit card and bank account linked so I can handle both. The Credit Card is secured with a $500 limit. I havent used it in a little while and new it had the full money on it still. When I opened the page it says the following Credit limit $500 Credit Available $500 I wanted to purchase something online(for the first time) which was more than this so I transfered the money from my account to my credit card. The account showed it within minutes It basically said the following $150 transfered from account to Credit Card I went back to my Credit Card page and it still says the following: Credit limit $500 Credit Available $500 When it should now stated Credit limit $500 Credit Available $650 Due to the fact I put more an extra 150 on it.... Anyone able to help me out on this? is the money there?

• Answer:

  Did the money "disappear" from your checking account? I'll bet it did not. I think you have the same thing that I have; it's a line of credit on your checking account. I also have a debit/credit Mastercard. I use it as a debit card and as long as there is money in my checking account, the money just comes out of my checking account. If the amount I spend is more than I have in my account, then the difference goes onto that line of credit. You can't transfer money "into" a line of credit. What you need to do is use your debit card to make your online purchase. It will first use the money available in your checking account then it will put the rest on the line of credit like it is a credit card. Once you've done that, your checking account will be at $0. So everything that clears until you put more money into your checking account now goes onto that line of credit card until it reaches the $500 limit. Once that happens, you start bouncing checks. The payback on that card is usually different than a regular credit card. You generally have to pay back $50 a month until it's paid off. You might want to check with your bank to see what the payback terms are. (Like with a regular credit card on a $500 balance your monthly payments could be as low as $5 to $10.)