What makes a home equity loan or line an attractive financing option? hides details
Interest rates for home equity lines and loans are typically lower than for other forms of credit because your home is used as collateral – meaning the risk to a bank is less than with an unsecured loan. A lower rate means a lower cost to you — and the interest you pay may be tax deductible1 as well.
What can I pay for with a home equity line of credit or a home equity loan? shows details
Because of the competitive interest rates and potential tax advantages of home equity lines and loans, they're convenient ways to finance almost anything, including home improvements/repairs, education, purchasing a vehicle, buying a second property or consolidating higher interest rate balances.
How much can I borrow? shows details
You can borrow as little as $15,000 or up to $750,000 (up to $1 million for properties in California), depending on your credit history, available equity in the property and your current monthly debt.
Is the interest tax deductible? shows details
Interest on home equity lines and loans may be tax deductible.1 Consult your tax advisor regarding tax deductibility.
Is the interest rate fixed or variable? shows details
Our home equity installment loan has a fixed rate. Our home equity line of credit has a variable rate which changes when the prime rate changes (as published in the money rates section of the Wall Street Journal). In addition, the home equity line of credit includes the option to convert all or a portion of your balance to the fixed rate option. (For more on this, see "What is the fixed rate option?")
Are discounts available if I make my payments automatically? shows details
Yes. Customers who have their monthly payments deducted automatically from a U.S. Bank personal checking or savings account receive a 0.50% interest rate discount for home equity loans. This discount can be applied in our home equity rate and payment calculator.
Are there closing costs? shows details
There are no closing costs on home equity loans or lines of credit.
Can I transfer balances from other accounts to my home equity line of credit or loan? shows details
Yes. When opening a home equity account, your personal banker can transfer any higher-rate balances to your new home equity line of credit or loan. After opening the account, you can transfer balances to a home equity line of credit via convenience checks, U.S. Bank Online and Mobile Banking, telephone transfers into a U.S. Bank checking account, or at any U.S. Bank branch.
How long does it take to get a home equity line of credit or home equity loan? shows details
The length of time to process the application varies depending on your situation. Once you’ve signed the documents at closing, the funds will be available after a waiting period of three business days on accounts secured by a primary residence.
Home Equity Loan or Line of Credit? shows details
Both the home equity installment loan and home equity line of credit offer homeowners looking for cash flexible options depending on if you want the money in a lump sum paid back over a period of time or a line of credit to draw from as you need it for a pre-determined amount.
Cash-out Refinance or Home Equity? shows details
Homeowners who are in need of cash have convenient loan options available today. Once you determine how much you need we can help you compare which loan is right for you.
Home Equity Loan or Refinance? shows details
Depending on your goals either a home equity loan or mortgage refinance may be the right choice for you.
Home equity line of credit questions
What is a home equity line of credit? hides details
A home equity line of credit is a revolving line of credit secured by your home and is the most flexible type of home financing available. As payments during the draw period are applied to the outstanding principal balance on the credit line, your available credit increases.
What is the fixed rate option? shows details
With the fixed rate option, you can lock in a fixed rate on all or any portion of your variable balance at any time.
- Any portion of the balance that is not converted into a fixed rate option will continue to have a variable rate and minimum payment in addition to the fixed rate payment.
- You can have up to 3 fixed rate options in place at any time.
What determines the variable interest rate of a home equity line of credit? shows details
The variable interest rate is based on the Wall Street Journal Prime Rate as published in the Money Rates section. You can lock in all or any part of your outstanding balance into a fixed interest rate at any time with our fixed rate option. You can have up to 3 fixed rate options in place at any time.
Can I change the interest rate on my home equity line of credit from a variable to a fixed rate? shows details
Yes, during your draw period you can lock any or all of your outstanding balance into a fixed rate option on a line of credit. (For more on this, see "What is the fixed rate option?")
What are the terms of a home equity line of credit? shows details
A Home Equity Line of Credit has two different periods, a draw period and repayment period. The draw period is 10 years, where you have ongoing access to available funds and can use the funds how you'd like. During the draw period, you have the option to select a minimum monthly payment of either 1% or 2% of the outstanding balance, or interest only for those who qualify. Once the draw period ends, the account enters the repayment period.
During the repayment period, you can no longer advance on the home equity line of credit, and must make principal and interest payments. The new minimum payment will ensure the balance is paid in full by the maturity date. The interest rate on the balance continues to be variable.
How do Home Equity Lines of Credit work? shows details
A home equity line of credit (HELOC) is a revolving form of credit secured by your property. You can borrow as little or as much as you need, up to your approved credit line and you pay interest only on the amount that you borrow.
Home Equity Line of Credit or a Home Equity Loan? shows details
With a home equity installment loan funds are received as a lump sum versus a home equity line of credit that let’s you borrow money as you need it.
How can I get a Home Equity Line of Credit? shows details
A Home Equity Line of Credit (HELOC) is a great way to access the cash you need. When you are ready you can apply online, by phone or in person.
Home equity loan questions
What is a home equity installment loan? hides details
A home equity loan is one-time installment loan secured by your home. Both the interest rate and monthly payments are fixed, ensuring you of a predictable repayment schedule for the life of the loan.
What are the terms of a home equity installment loan? shows details
You can borrow up to $750,000 (up to $1 million for properties in California) depending on the amount of equity in your home. Terms are flexible up to 360 months (30 years). The interest rate is fixed for the term of your loan, and repayments are made in monthly installments of principal and interest.
How do home equity installment loans work? shows details
Also known as a second mortgage, home equity loans have a fixed rate and monthly payment ensuring a predictable repayment schedule.
How can I get a home equity loan? shows details
If you are looking to consolidate debt or pay for large household expenses, the home equity loan may offer you a convenient solution. You can apply by phone, in person or online.
Compare rates and payments for a variety of home equity options.
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