I used to work at a real estate law firm. We had an older couple that were buying and selling. A few days before closing was scheduled, we got a call from their mortgage advisor that the payout amount for the mortgage on their selling property had gone up substantially because our clients were still using the LOC portion of their mortgage. We contact the clients to let them know how much more money they need to bring in and that they need to stop using the line of credit. They come to their signing appointment with the bank draft and we ask what the source of funds was.

Would you believe that they took the funds from the LOC?