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.
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.
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?")
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.
There are no closing costs on home equity loans or lines of credit.
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.
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.
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.
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.
With the fixed rate option, you can lock in a fixed rate on all or any portion of your variable balance at any time.
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.
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?")
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.
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.
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.
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.