Determining whether it would be best to choose a home equity loan or line of credit can be confusing. For example, a home equity line of credit is a form of revolving credit in which your home serves as collateral. Because it's a line of credit, not a term loan, you are allowed to draw on it at any time you wish by simply writing a check. You enjoy a low, preferred rate of interest and, because it's secured by the equity in your home, the interest may be tax deductible. Repayment terms are flexible. You may choose to pay interest only or payments equaling 1.5% of the balance. At the end of the term, the total outstanding balance is due in full or may be refinanced.

Your Equity Line has a variable interest rate as low as prime rate (depending on your loan-to-value ratio). The Prime Rate is published weekly in the Wall Street Journal, and, as it changes, your rate is adjusted accordingly.

However, perhaps a personal equity loan might be best for you. You can get the dollars you need, on your own terms. Plus the interest may be tax deductible (consult your tax advisor). Choose a fixed-rate equity loan for one-time borrowing needs. You repay the loan in equal monthly installments that fit your budget. For more information just complete the request form or contact us to speak with a personal banker today.