I have been searching, reading, and watching youtube trying to understand HELOC. Everyone explains simple vs compound interest, daily average balance, and that money can go in and out at any time. However, those pieces of knowledge are not enough to really understand what a HELOC principal amount would be in any real life scenario.
Say I have an HELOC with a balance of $10k and 5.5% interest. Over two months, I make a payment on the 5th and 20th of $1500 all four times. On the 23rd of the first month I spend $500 out of the HELOC and on the 13th of the second month I spend $1000. How can I figure out at the end of the second month what my principal will be? When is interested calculated and 'billed' to me?