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What is the purpose of reserve line of credit?

April 26, 2017line of credit purpose Reserve

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What is the purpose of reserve line of credit?

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Reserve line of credit protects you from bouncing checks and keeps your credit report in great shape. The reserved line of credit will advance when you make a purchase using your checks or check card and the amount exceeds the balance in your checking account. If you do not have the line of credit, your check would bounce in this situation.