CBA now forces clients to make payments to Line Of Credits, or cancel their limits.
They no longer allow capitalising of interest in a line of credit.
Why? As a result of the GFC, they want people to continuously prove their liquidity.
What should you do?
If you have a CBA line of credit, make sure you set up a round robin of payments to debit then credit your line of credit, enough to show you are making payments equal to or exceeding your monthly interest. That is how you will avoid showing up on the radar of the bank.
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