When I put out a video on paycheck parking, a viewer commented that it looked like a lot of work to save $31 in a month. It was one of the first comments in my first Q&A video on Dynamic Banking and infinite banking, and it's a fair question. Paycheck parking means depositing your whole paycheck onto the line of credit and paying your bills from it, so your average daily balance, and your interest, stays lower.
The $31 is one piece of five. The second is the interest you save by chunking other debts down, which means sending lump sums from the line of credit at them. The third is the cash flow that frees up as those debts shrink. The fourth is the cash back from paying with a credit card you clear in full each month. The fifth is access to all of the money, even while you throw every extra dollar at the debt. Put together, it beats sending extra principal payments to one loan, where the money goes in and doesn't come back out.
The work is smaller than most people expect when the line of credit and your checking account sit at the same bank or credit union. Mine are both at one credit union. Money moves from the line of credit to checking instantly. Moving it from checking to the line of credit takes about a day, because they verify the funds first. If the two accounts are at separate banks, you jump through a couple more hoops. I keep about $300 in checking, because my wife and I found by trial and error that less than that causes problems. Account fees matter too, and I covered them in what to look for in a bank or credit union.
Then there's the mindset. Once you start Dynamic Banking you're in debt pay-down mode, and I've found that shift keeps people going. If you only send extra to a debt, nothing changes how you think about your money. For some people extra payments work fine. Overall I see more savings from parking and chunking together.
Run your own month before you decide, and count all five pieces and not only the interest on payday.