HELOC FAQ

What is a Home Equity Line of Credit?

A HELOC is a loan set up as a line of credit against your home. Instead of borrowing a set amount like with a traditional loan or mortgage, home equity lines of credit allow you to borrow up to a certain dollar amount (approved by lenders) that you can draw from over several years to a decade. Repayment periods are usually 10-20 years with a set amount due each month.

How I can use a HELOC?

Home equity lines of credit are useful for paying college tuition, making home improvements, or other intermittent funding needs. With lower upfront costs and the ability to draw and pay interest on only what you need and use, home equity lines of credit can be an excellent choice for many people.