Can I use my Line of Credit to pay for my vehicle?

It's probably in your best interest NOT to use your Line of Credit to pay for your vehicle. Some important reasons why:

1. Floating interest rate - fluctuates with the prime rate.

2. The bank has the right to withdraw money from your account to pay for your line of credit.

3. Secured lines of credit use your home as collateral. Default of payment for any reason allows the bank to take your home.

4. The bank may require the total balance of your line of credit paid in full if you die, become insolvent or bankrupt.

5. If the bank sees any increase in risk to the security they can demand full payment.

6. Home insurance costs may be higher due to the additional line of credit.

< Back to F.A.Q.

Make an Inquiry

Contact

Markville Toyota

5362 HIGHWAY#7
Directions Markham, ON L3P 1B9

  • Sales: 1 (877) 894-8169

Hours

  • Monday 9:00PM - 9:00PM
  • Tuesday 9:00PM - 9:00PM
  • Wednesday 9:00PM - 9:00PM
  • Thursday 9:00PM - 9:00PM
  • Friday 9:00PM - 6:00PM
  • Saturday 9:00PM - 6:00PM
  • Sunday Closed