HELOC: Home Equity Line of Credit FAQs
A HELOC: Home Equity Line Of Credit is a mortgage that allows you to borrow against the value in your home. Therefore, when you get a HELOC loan, you establish a revolving line of credit secured by your home. You can use HELOCs for large expenses or to consolidate higher interest rate debt such as credit cards or installment loans.
Firstly, traditional HELOCs are complicated, with a set of rates that can change frequently. This can make it hard to understand how much you are really paying for credit. Secondly, traditional HELOCs may use “teaser rates” that can mislead borrowers into taking on more debt than they should. Thirdly, with a traditional HELOC, you may be faced with “payment shock.” This is because your payments can suddenly increase significantly, or you may be required to pay off your balance all at once. Finally, traditional HELOCs may result in borrowers getting further into debt.
Our program offers HELOCs up to $150,000. The amount you can borrow depends on your specific circumstances. When you apply for a Lendage HELOC, we take the time to talk with you about your debts, income, and needs, so that we can determine a borrowing amount and payment that is right for you.
Interest rates will be dependent on multiple different factors. Please call us at (844) 606-9533 to talk to our professional mortgage advisors or apply online for specific rate details. If you are in the market for credit, a home equity plan is one of several options that might be right for you.
What you should know about HELOCs
Click the button below to download an information booklet from the Consumer Financial Protection Bureau (CFPB) about HELOCs.