Home Equity Line of Credit (HELOC)
Unlock the Power of your Home's Equity!
Are you dreaming of a home makeover, consolidating your debt, or taking that dream vacation you’ve always wanted? A Home Equity Line of Credit (HELOC) is a flexible financing option allowing homeowners to borrow against their home’s equity.
Here’s an overview of how it works.
What is a HELOC?
A HELOC is a revolving line of credit secured by your home. It functions similarly to a credit card, providing access to funds up to a set limit during a draw period. You can withdraw funds as needed and repay them, replenishing your available credit.
Key Features of a HELOC from NCCYou
Collateral
Your home serves as collateral, enabling lower interest rates compared to unsecured loans.
Variable Interest Rates
Tied to the prime rate that only changes once a year (July 1st).
Draw Period
Five-year draw period after closing, up to your limit.
Repayment Period
15-year term.
What can I use a HELOC for?
Some of the most common ways to use a HELOC include:
- Home improvements or repairs
- Paying for education or emergencies
- Consolidating high-interest debt
- Starting a business
- Medical expenses
- and more!
Complete this form for more information!
Visit our Financial Wellness Center for more financial articles and tools on these and other topics.
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