Home Equity Loans
Perhaps you’ve imagined yourself relaxing in a new addition to your home, in a new car, or on a dream vacation.
But did you imagine the interest would be tax-deductible?*
With a Home Equity Loan from your credit union, you could make your dreams a reality! As a homeowner, you may be eligible for a loan, equal to the amount of equity you have in your home, at an unbelievably low rate. You can get preliminary loan approval within one business day.
And, believe it or not, you can probably even claim the interest on your income taxes.*
You get no such tax deductions with other types of consumer loans (except student loans), and rates on Home Equity Loans are usually much lower. That's why many financial advisors recommend them for:
- Consolidating higher-rate credit card and loan debts
- Financing home improvements
- Making major purchases, such as buying a car
- Paying for higher education (especially if you don't qualify for a student loan)
There are no fees, points, or closing costs with a required minimum initial withdrawal of $20,000.** And you can use Rewards Points to reduce your rate by up to .50% APR (Annual Percentage Rate), just by having Direct Deposit and electing an automated payment option.***
How much can you borrow?
You may qualify to borrow up to 100% of the amount of equity you have in your home. To determine that amount, subtract the total you owe on your mortgage from your home's current Fair Market Value.
Easy Access to Your Home Equity Loan funds
Simply have the funds transferred into your savings or checking account (you can do this instantly yourself, using Online Banking), or use a convenience check.
Home Equity Line of Credit (HELOC)
A variable-rate HELOC allows you to access funds as you need them, up to a pre-determined limit. Similar to a credit card, you can borrow as little or as much as you want, up to your limit. You'll pay interest only on the amount you use. Once you reach the limit, you'll have access to funds again as you pay the loan down. (Compared to the Fixed-Rate Home Equity Loan, you'll get a lower rate when you open a HELOC, but the rate is variable and could fluctuate.)
Home Equity Loan
You'll receive funds in one lump sum and enjoy a low fixed rate that's fixed for the life of the loan. And you'll repay the loan with low, fixed payments over a specified period of time.
*Consult your tax advisor.
**Minimum withdrawal required. Closing costs are required in some states. Property insurance may be required. Contact a loan representative for more details.
***To qualify for a Rewards Annual Percentage Rate, you must have direct deposit of at least $500 per month into your checking account, at least $25,000 on deposit with the credit union, or an Advantage Plus Checking Account. Home Equity loans are not available in the following states: Alaska, Alabama, Idaho, Kentucky, Maine, North Dakota, New Hampshire, Oklahoma, Texas, Vermont, Wyoming.
