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— Slide 3: Deposit Money Into and Take Money Out —
Using Your BLOC Like a Checking Account

Instead of using your checking or savings account to manage and hold money, use your BLOC as your primary money account.

Understand these concepts:

  • the BLOC is not a savings account
  • the BLOC functions as a tool to manage financing
  • your BLOC should not drop below a zero balance
  • use your BLOC to payoff debt and to finance needs
  • payments made into the BLOC will force an adjustment to the principal balance

Your BLOC account would look like this if you had $3,500 in credit card debt to pay off:

BLOC Account
Starting Credit Line Balance: $60,000




Advance from BLOC

Payment to BLOC

Balance Owned
July BLOC Payoff Credit Card Debt $3500   $3500
July Pay Deposit Paycheck into BLOC   $2500 $1000
July BLOC Pay Out Living Expense $1250   $2250
July BLOC Pay Out Living Expense $1000   $3250
July Pay Deposit Paycheck   $2500 $750
July BLOC Living Expense $500   $1250
July BLOC Living Expense $500   $1750
July BLOC Living Expense $750   $2500
Total Ending Month BLOC $7500 $5,000 $2500
What Does This Show

  Opening Credit Line Balance $0
  Paid Off Credit Card Debt - $3,500
  Pay Living Expenses - $4,000
  Balance Owned - $7,500
  Deposit Income Payments + $5,000
  Ending Balance Owned - $2,500
  • your starting balance was $3,500
  • your ending balance was $2,500
  • you paid off all credit card debt
  • you never made a schedule payment to the BLOC:
    your income represented your monthly payment
  • you borrowed $7,500 from the BLOC
  • you will only pay interest on the average daily balance

    (in this example, your avg. daily balance for the month approximated around $2000. Interest charges would be about $13-15 per month at 8%).

let's look at another example in the next slide

Home Equity Application

BANK EQUITY for Debt Relief