A home equity line of credit, or HELOC, has some unique advantages over loans. With ten years of interest-only revolving credit followed by a 15-year repayment period, it can be a great solution for some situations you may not have considered.
Consolidating debt.
A HELOC is one way to consolidate high-interest debt. Plus, as you pay it off you will still have a low-rate line of credit to use if you run into unexpected expenses.
Paying for education.
Using a HELOC can be a good alternative to student loans, whether for yourself, your children, or your grandchildren. The rates are usually lower and the interest-only payment options give you flexibility.
Buying a boat or other large purchase.
With boat inventory struggling to keep up with demand, having to wait on a traditional loan could lead to someone else landing your dream boat. With a HELOC, you can offer cash.
*APR = Annual Percentage Rate. Best rate available to well qualified borrowers with under 80% Combined Loan to Value (CLTV). Assumes autopay from LMCU checking account. Your rate may be higher based on your specific CLTV, term, and credit score. Rates as of 1/3/22 and subject to change after account opening. HELOC rates are variable and based on the current index margin; rates will not exceed 12%. Home Equity loans are available for properties located in Michigan or Florida. Fees may differ in Florida. Terms, loan amount maximums, and other restrictions apply. Call or see branch for details. $5 membership required if not a member.