MDG Line of Credit: a revolving $500 to $2,500 you can draw on again
An approved limit rather than a one-off loan. Draw what you need as cash or at checkout, pay interest only on the balance you carry, and watch the credit become available again as you repay.
Last updated 15 September 2026Rates as of 15 September 2026
What a line of credit is, and how it differs from a loan
A loan hands you one lump sum and closes when you finish repaying it. A line of credit gives you an approved limit between $500 and $2,500 that you can draw from more than once. You only pay interest on the balance you actually carry, and as you repay, the credit becomes available again without reapplying.
That makes it the right shape for expenses you cannot predict or income that arrives unevenly. If you know exactly what you need and when you will clear it, a fixed installment loan is simpler and usually cheaper.
Two ways to use your limit
- Cash draw sends money to your checking account, the same way a cash advance works.
- Purchase draw spends part of the limit at checkout on financed merchandise through Shop Now, Pay Later.
How interest is charged
- Interest applies only to the balance you have drawn, not to your whole limit.
- An unused limit costs nothing. There is no annual fee and no inactivity fee.
- Each draw gets its own payment schedule, shown before you confirm it.
- Repaying early restores the available credit sooner and reduces interest.
Cash access is a separate qualification
This is the thing borrowers most often find surprising, so it is worth stating plainly rather than burying it.
What it means
Some approved accounts open with purchase access only. The limit is real and usable at checkout, but the cash draw button is not switched on yet. It is not an error and it does not mean your account is restricted in any other way.
How to unlock cash access
Make three consecutive on-time payments, then contact our support team and ask for a cash access review. We look at your payment behaviour and your bank activity since opening, and tell you the outcome in writing.
If you need cash specifically and cannot wait for that review, say so when you apply. A cash advance or an installment loan may be the better route for you from the start.
What drawing on your line costs
APR runs from 18.00% to 35.95%. Each draw is priced at the rate on your account and repaid on a schedule you see before you confirm it.
| Draw amount | Type | APR | Term | Monthly payment | Finance charge | Total repaid |
|---|---|---|---|---|---|---|
| $500 | Cash draw | 34.99% | 6 months | $92.04 | $52.24 | $552.24 |
| $800 | Mixed draw | 32.99% | 9 months | $101.55 | $113.95 | $913.95 |
| $1,500 | Cash draw | 29.99% | 12 months | $146.22 | $254.64 | $1,754.64 |
| $2,500 | Cash draw | 27.99% | 18 months | $171.67 | $590.06 | $3,090.06 |
The trap with revolving credit
Because the credit comes back as you repay, a line of credit can quietly become a balance you carry forever, paying interest every month without the total ever falling. Set yourself a target date to reach zero and treat the limit as a tool rather than as extra income. If you have not been at zero in twelve months, a fixed-term loan with a real end date is the healthier product.
Who a line of credit suits
- Gig, seasonal or commission income that varies month to month.
- Running costs you know will recur but cannot size in advance, like an older car.
- Anyone who would otherwise reapply for a small loan three times a year.
- Borrowers who want available credit standing by without paying for it while unused.
Who it does not suit
- You know the exact amount and want it gone by a fixed date. Take the installment loan.
- You tend to spend to the limit available. A revolving product will make that worse.
- You need more than $2,500, which is above the maximum line.
- You need the money as cash today and have not yet qualified for cash access.
Limits, reviews and keeping the account open
Your limit is reviewed automatically each month. It can go up, stay flat, or be reduced.
What pushes a limit up
- A run of on-time payments with no returned debits.
- Stable or rising verified income.
- Bringing the balance to zero periodically rather than sitting at the cap.
What pulls a limit down
- Missed or returned payments on this account or another MDG account.
- A material fall in verified income.
- Signs of financial stress in connected bank activity.
We notify you before a reduction takes effect, and a reduction never makes an existing drawn balance immediately due.
Questions about this product
How large is an MDG line of credit?
Approved limits run from $500 to $2,500. The limit is reviewed automatically each month and can increase as your payment history builds.
Why can I not see the cash advance option on my line of credit?
Cash access is a separate qualification within the line of credit, so some approved accounts start with purchase access only. After three consecutive on-time payments you can ask our support team to review your account for cash access.
Do I pay interest on my whole limit?
No. Interest is charged only on the balance you have actually drawn. An unused limit costs nothing, and there is no annual fee or inactivity fee.
Can I use the line of credit more than once?
Yes. That is the point of a revolving limit. As you repay a draw, that credit becomes available again without a new application.
Does the line of credit build credit?
Yes. Payment activity is reported to a national credit bureau every month. On-time payments can help your file and missed payments can harm it.
Can my limit be reduced?
Yes, if your verified income falls materially or payments are missed. We tell you before a reduction takes effect, and a reduction never makes your existing drawn balance immediately due.
Other MDG products
One application is assessed against all of them, so you do not need to apply separately.
MDG Cash Advance
$200 to $1,000, funded in as little as 3 hours
See the detailsMDG Personal Installment Loan
$1,000 to $5,000 over 6 to 24 months
See the detailsMDG Shop Now, Pay Later
Finance electronics, furniture and appliances
See the detailsMDG Club membership
Optional perks at $8.95 biweekly
See the detailsCheck what you qualify for first
Two minutes, a soft credit inquiry, no fee and no obligation. You will see your amount, your rate and your exact payment before anything is binding.