Home equity loan vs. Line of credit: What’s the difference? Find out here.
A flexible line of credit that gives you access to cash when you need it most
What’s a HELOC? It’s a family vacation, a new kitchen, a refreshing swimming pool on a warm summer day, the ability to consolidate debt. It’s financial freedom to tackle any project—big or small.
| Loan Program | Annual Percentage Rate (As Low As)2 |
|---|---|
| Home Equity Line of Credit (HELOC) | 7.25% APR2 |
| Rates are effective as of 12/1/2024. All loans are subject to approval. Rates, terms, and conditions are subject to change. 1Home Equity Line of Credit (HELOC): Minimum $5,000 line of credit required on loan-to-value up to 100%. Subject to underwriting, creditworthiness, and meeting credit criteria. 2Loan annual percentage rates (APR) is based on credit score and combined loan-to-value (total mortgage balances divided by the total value of the house) as determined at the time of the account opening. Qualification for the 7.25% APR requires a 720 credit score or higher, and maximum combined loan-to-value of 75% or less. The annual percentage rate (APR) may vary after the account is opened. Maximum APR 21.00%. The rate will be the Prime Rate as published in the Wall Street Journal on the last business day of each month, plus or minus a margin, with a floor rate as low as 4.00% APR. 3Closing costs may range from $175-$800, of which, Dupaco to pay up to a maximum of $350. There are no application, annual, maintenance or transaction fees associated with this account, however, the credit union may recoup its closing costs up to $350 if the loan is closed within 30 months of opening. Property insurance required. |
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Get the cash you need, all at once, to make your dreams a reality
| Term | Annual Percentage Rate (As Low As) 1 |
|---|---|
| 5 Years | 6.99% |
| 10 Years | 7.49% |
| Rates are effective as of 09/23/2024. All loans are subject to approval. Rates, terms, and conditions are subject to change. Home Equity loan payment example for illustrative purposes only: If you borrow $10,000 at 6.99% annual percentage rate (APR) with a 60-month term, your minimum monthly payment obligation would be $197.99. Over the life of the loan you will pay $1,879.34 in interest. If you borrow 10,000 at 7.49% annual percentage rate (APR) with a 120-month term, your minimum monthly payment obligation would be $118.68. Over the life of the loan, you will pay $4,241.02 in interest. 1Home Equity Loan Rates: Loan annual percentage rates (APR) based on member credit qualification and total loan amount. All loans are subject to approval. Home Equity Loan is for a 2nd lien position only, first mortgage liens do not qualify for this product. Rates, terms, and conditions are subject to change. |
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A Dupaco home equity loan cannot be applied for online — but we’re right here to help you get started. Just give us a call at 800-373-7600, ext. 307 or contact us via email at loans@dupaco.com.
Home equity line of credit or home equity loan: Which is right for you? What's the difference?
| Home Equity Line of Credit (HELOC) | Home Equity Loan | |
|---|---|---|
| Best for | If you need flexible, ongoing access to funds | If you know how much money you need and when you'll need it |
| Collateral | Uses home as collateral | Uses home as collateral |
| Use your funds | For anything | For anything |
| Receive funds | Access funds as needed | Lump-sum disbursement |
| Repayment | Only pay on the balance you owe | One monthly payment for the life of the loan |
| Term | 10-year draw period (each advance is repaid over 15 years) | 60 months or 120 months (no early payoff penalty) |
| Interest rate | Variable interest rate Compare rates | Fixed interest rate Compare rates |
| Closing costs | We'll cover the first $350 | You pay |
| How to apply | Apply online | Call us at 800-373-7600 ext. 307 or email us at loans@dupaco.com |
