Home Equity Line of Credit (HELOC)

Simply put, your equity is your home’s current value minus your outstanding mortgage. Usually, a HELOC is available once your mortgage approaches 20% equity in your home — although some institutions allow HELOCs with only 10-15% equity.

A HELOC is like a credit card that borrows against your home’s equity. And, like a credit card, applying for one may have an impact on your credit score.

Let’s say you have $50,000 in equity. That means you could borrow up to that amount for costly renovations, home remodeling, debt consolidation, education expenses, and more.  We offer both fixed- and variable-rate HELOCs with varying term lengths. The ABNB money-saving difference?

• No closing costs
• No upfront fees
• No minimum draws

Once approved, depending on your HELOC type, you’ll have a set number of years to use your funds. After that, you’ll have a set number of years to pay it back with interest.

Tax-tip: Your HELOC may be tax deductible, so check with your tax professional for all the details.

A lot of people think that a home equity line of credit is the same as a home equity loan, but they’re not.

A HELOC is a credit line you can continually draw from as needed while a home equity loan is provided to you as a lump sum upfront. HELOCs only charge interest on the amount used — not the full amount of the line. A Home Equity loan means that you’ll pay back what you borrowed, plus interest.

Our online debt/payment protection process is simple, fast, and convenient. To file a Debt/Payment Protection claim call 800.621.6323 or visit Your Claim (cunamutual.com) . Our mobile-friendly site gives you 24/7 access to your claim, so you can start a new claim, see your claims status or benefits details, and view FAQs.