With a Line of Credit from a Bank Lending Partner through CreditFresh, you can expect a fully transparent process.
Payment Breakdown
So long as you have an Outstanding Balance, you’ll have to make Minimum Payments. Each Minimum Payment consists of:
Mandatory
Principal
Contribution
+
Billing
Cycle
Charge
=
Minimum
Payment
Refer to your Line of Credit Agreement, or any amendments, for more details.
Mandatory Principal Contribution
Each Minimum Payment includes a contribution towards your principal balance to ensure you are always paying down your Line of Credit. The Mandatory Principal Contribution will vary depending on your income frequency.
Billing Cycle Charges
Billing Cycle Charges are calculated based on your Average Daily Principal Balance for each Billing Cycle. The Average Daily Principal Balance is determined by adding the daily principal balance for each day in the billing cycle and dividing that sum by the total number of days in that billing cycle. Please refer to the Billing Cycle Charge tables below.
Cost of Credit Example
To demonstrate what is included in each Minimum Payment, let’s look at the following examples for monthly and non-monthly income frequencies. We assume in these examples that there is a $1,500 draw at the start of the first billing cycle with only Minimum Payments made and no additional draws requested.
Monthly Income Frequency (each Minimum Payment is about 30 days apart):
| Billing Cycle Example | Average Daily Principal Balance | Mandatory Principal Contribution (A) | Billing Cycle Charge – Table 1 (B) | Minimum Payment Due (A+B) | Remaining Principal Balance |
| 1 | $1,500.00 | $30.00 | $190.00 | $220.00 | $1,470.00 |
| 2 | $1,470.00 | $29.40 | $170.00 | $199.40 | $1,440.60 |
| 3 | $1,440.60 | $28.81 | $170.00 | $198.81 | $1,411.79 |
Non-Monthly Income Frequency (each Minimum Payment is about 14 days apart):
| Billing Cycle Example | Average Daily Principal Balance | Mandatory Principal Contribution (A) | Billing Cycle Charge – Table 1 (B) | Minimum Payment Due (A+B) | Remaining Principal Balance |
| 1 | $1,500.00 | $15.00 | $95.00 | $110.00 | $1,485.00 |
| 2 | $1,485.00 | $14.85 | $85.00 | $99.85 | $1,470.15 |
| 3 | $1,470.15 | $14.70 | $85.00 | $99.70 | $1,455.45 |
Disclaimer: This example is for illustrative and informational purposes only. The actual Minimum Payment(s) due on your Line of Credit through CreditFresh will depend on your individual account activity and terms.
Billing Cycle Charge Tables
As you move through your credit journey, you may also be eligible for reduced Billing Cycle Charges and/or increased credit limits based on your payment history over time5. The Billing Cycle Charges you are eligible for may vary based on your qualifications*. If you are an existing customer, refer to your Line of Credit Agreement, or any amendments, for the applicable Billing Cycle Charges.
| If the "Average Daily Principal Balance" appearing on your periodic statement is: | If you are paid weekly, bi-weekly or semi-monthly, your Billing Cycle Charge will be: | If you are paid monthly, your Billing Cycle Charge will be: |
| $0.01 - $9.99 | $5.00 | $10.00 |
| $10.00 - $249.99 | $15.00 | $30.00 |
| $250.00 - $499.99 | $30.00 | $60.00 |
| $500.00 - $749.99 | $38.00 | $76.00 |
| $750.00 - $999.99 | $55.00 | $110.00 |
| $1,000.00 - $1,249.99 | $70.00 | $140.00 |
| $1,250.00 - $1,499.99 | $85.00 | $170.00 |
| $1,500.00 - $1,749.99 | $95.00 | $190.00 |
| $1,750.00 - $1,999.99 | $105.00 | $210.00 |
| $2,000.00 - $2,249.99 | $115.00 | $230.00 |
| $2,250.00 - $2,499.99 | $120.00 | $240.00 |
| $2,500.00 - $2,749.99 | $135.00 | $270.00 |
| $2,750.00 - $2,999.99 | $145.00 | $290.00 |
| $3,000.00 - $3,249.99 | $160.00 | $320.00 |
| $3,250.00 - $3,500.00 | $175.00 | $350.00 |
| If the "Average Daily Principal Balance" appearing on your periodic statement is: | If you are paid weekly, bi-weekly or semi-monthly, your Billing Cycle Charge will be: | If you are paid monthly, your Billing Cycle Charge will be: |
| $0.01 - $9.99 | $5.00 | $10.00 |
| $10.00 - $249.99 | $10.00 | $20.00 |
| $250.00 - $499.99 | $25.00 | $50.00 |
| $500.00 - $749.99 | $35.00 | $70.00 |
| $750.00 - $999.99 | $50.00 | $100.00 |
| $1,000.00 - $1,249.99 | $60.00 | $120.00 |
| $1,250.00 - $1,499.99 | $75.00 | $150.00 |
| $1,500.00 - $1,749.99 | $85.00 | $170.00 |
| $1,750.00 - $1,999.99 | $90.00 | $180.00 |
| $2,000.00 - $2,249.99 | $100.00 | $200.00 |
| $2,250.00 - $2,499.99 | $105.00 | $210.00 |
| $2,500.00 - $2,749.99 | $115.00 | $230.00 |
| $2,750.00 - $2,999.99 | $120.00 | $240.00 |
| $3,000.00 - $3,249.99 | $135.00 | $270.00 |
| $3,250.00 - $3,499.99 | $150.00 | $300.00 |
| $3,500.00 - $3,749.99 | $155.00 | $310.00 |
| $3,750.00 - $3,999.99 | $165.00 | $330.00 |
| $4,000.00 - $4,249.99 | $175.00 | $350.00 |
| $4,250.00 - $4,499.99 | $190.00 | $380.00 |
| $4,500.00 - $4,749.99 | $200.00 | $400.00 |
| $4,750.00 - $5,000.00 | $205.00 | $410.00 |
| If the "Average Daily Principal Balance" appearing on your periodic statement is: | If you are paid weekly, bi-weekly or semi-monthly, your Billing Cycle Charge will be: | If you are paid monthly, your Billing Cycle Charge will be: |
| $0.01 - $9.99 | $5.00 | $10.00 |
| $10.00 - $249.99 | $10.00 | $20.00 |
| $250.00 - $499.99 | $15.00 | $30.00 |
| $500.00 - $749.99 | $20.00 | $40.00 |
| $750.00 - $999.99 | $30.00 | $60.00 |
| $1,000.00 - $1,249.99 | $45.00 | $90.00 |
| $1,250.00 - $1,499.99 | $50.00 | $100.00 |
| $1,500.00 - $1,749.99 | $60.00 | $120.00 |
| $1,750.00 - $1,999.99 | $75.00 | $150.00 |
| $2,000.00 - $2,249.99 | $80.00 | $160.00 |
| $2,250.00 - $2,499.99 | $95.00 | $190.00 |
| $2,500.00 - $2,749.99 | $100.00 | $200.00 |
| $2,750.00 - $2,999.99 | $105.00 | $210.00 |
| $3,000.00 - $3,249.99 | $115.00 | $230.00 |
| $3,250.00 - $3,499.99 | $125.00 | $250.00 |
| $3,500.00 - $3,749.99 | $130.00 | $260.00 |
| $3,750.00 - $3,999.99 | $140.00 | $280.00 |
| $4,000.00 - $4,249.99 | $145.00 | $290.00 |
| $4,250.00 - $4,499.99 | $155.00 | $310.00 |
| $4,500.00 - $4,749.99 | $160.00 | $320.00 |
| $4,750.00 - $5,000.00 | $165.00 | $330.00 |
*You will receive a notice explaining how your credit score may impact the cost of your Line of Credit.