TD Canada Trust Line of credit...grace period?

[eblend]

Hey guys,

Got a quick question. My parents bought a new house using a LOC from TD, and I also used a portion of my LOC to help them. Do LOCs have a grace period or do you have to pay the bill as soon as it becomes available? How does this work? My parents for example got the bill yesterday, and after calling TD, were told to pay the bill today as it is due today (one day later), whereas my LOC payment is not due until the 21st of October, which makes it look like there is a grace period before you have to pay.

Anyone have any idea how this works? I noticed that the interest on my LOC just got added to the amount owned, and I have yet to actually get a real bill which is supposed to be generated online on EasyWeb but doesn't show up just yet.

Anyone have a clue how this works. Why do my parents have a different setup than I?

[s dime]

1-866-222-3456.

Best bet is to call that number. Each LOC can be set up differently.

[Cos]

.

[eblend]

Originally posted by Cos
If it is unsecured (non-helco) you have to pay the interest and fees after day 1, it is calculated monthly but if you only borrow the money for 3 days you still pay a fee. That is assuming it is the same one as mine. Best to call TD to check like S Dime said.

I know since I wanted a car and couldnt access my money fast enough, used the HELOC on a Saturday, paid off on the Tuesday and it cost me $45.00 or something.

Yah I just wanted to know on here before spending my precious TV time on call with TD. It is a HELOC. I assumed you just get a bill, pay it online (can you like a bill?) and be done with it, as by the 1st of the month...the online bill isn't even available, so how the hell is anyone supposed to know how much to pay if the bill isn't ready. I will contact TD tomorrow to try to figure it out, unfortunately the account is under my parents that I am confused about, so they won't be able to answer much without my parents present.

[ZenOps]

They all have different terms and rates.

[eblend]

Read online a little bit and found this

http://www.tdcanadatrust.com/products-services/banking/mortgages/welcomeheloc/about.jsp

I know at one point my parents had the automatic debit for interest only setup, and according to the link above, that is due on the 1st. They have since canceled the automatic payment option, but the due date seems to have stuck. According to that same link, they have until the 21st to actually make a payment.

[yellowsnow]

There isn't an interest free grace period. You get charged interest the day you withdraw funds from a LOC.

[eblend]

Originally posted by yellowsnow
There isn't an interest free grace period. You get charged interest the day you withdraw funds from a LOC.

Yah I know that part, I was more referring to like a "penalty period" where one has so and so days to pay the bill before being marked as a missed payment. Thanks everyone for the input.

[ExtraSlow]

I happen to have my TD LOC monthly statement in front of me right now. The statement clearly shows the statement date, the balance, the payment due (interest only on most LOC) and the payment due date.

Payments need to be made by the "due date" to be considered "not late".
I don't think they put a hit on your credit rating for a single late payment, but in theory they could.

Seems like this is the kind of information that would be availible either online or on paper each month for any LOC.

[eblend]

Originally posted by ExtraSlow
I happen to have my TD LOC monthly statement in front of me right now. The statement clearly shows the statement date, the balance, the payment due (interest only on most LOC) and the payment due date.

Payments need to be made by the "due date" to be considered "not late".
I don't think they put a hit on your credit rating for a single late payment, but in theory they could.

Seems like this is the kind of information that would be availible either online or on paper each month for any LOC.

Yah I have my statements as well, mine shows the due date of the 21st on an interest only payment. My parents have exact same HELOC with TD, but theirs shows a due date of 1st....exactly one day after the statement closing date, so seems weird, that's all. We will call TD and try to figure it out when I am there with them as they don't speak English very well.

[yellowsnow]

TD has multi language operators. I'm not sure if there's a different phone # for different languages though.

[sabad66]

Funny thing is that you can just pull more money out of your LOC to make the minimum payment (assuming you have the room). Begs the question of why have a minimum payment in the first place?