Holds on LOC Advances

Posted By: WDCA

Holds on LOC Advances - 07/31/20 08:57 PM

Is it permitted to place a hold on a personal loc advance in order to allow a check payment to clear? We have instances where the borrower is able to draw on the line prior to the last check payment being returned to us as insufficient - which exceeds the total line given to the borrower.
Posted By: rlcarey

Re: Holds on LOC Advances - 07/31/20 09:08 PM

No - unless you have that built into the credit line agreement, but that would only happen once before I called the line