Personal Finance & Money Stack Exchange
Personal Finance & Money Stack Exchange

Questions tagged [heloc]

a type of home equity loan where the borrower is given a line of credit. They do not have to start out borrowing the full amount.

A Home Equity Line of Credit (HELOC) is a type of home equity loan. The big difference is that the lender agrees to allow the borrower to borrow up to a maximum amount, but the borrower decides when to actually use the money and when. It is allows the borrower flexibility when they don't know exactly how much they will need and when.

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Should I take out a loan to pay off a relative's credit card debt?

Recently a close relative revealed to me that she has run up $40,000 in credit card debt over the last few years, which she can no longer manage because the interest payments are eating up all of her disposable income, making it impossible to pay…
Jeremy
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HELOC debt is 2x my mortgage, help

My home equity line of credit (HELOC) amount owed has now grown to where it is approximately double the amount remaining on my mortgage and the interest payments are killing me. I have no other debt. The total amount owed, remaining mortgage plus…
Debt-ridden Dude
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Does home equity grow with the investment put into the house?

A home equity loan is a type of loan in which the borrower uses the equity of his or her home as collateral. The loan amount is determined by the value of the property, and the value of the property is determined by an appraiser from the…
Grasper
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Should I pay off HELOC or save?

I've heard the principle of "Pay yourself first", implying that saving some money each month should be a priority. However, I've also heard that being debt free is important, and it would be good not to lose income to the interest payment on the…
Don
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HELOC vs Federal Student Loan

Given the following assumptions: Interest rates are the same for HELOCs as Federal Student Loans (they're both hovering around 5% right now). Loan amount could range anywhere between $10,000 and $40,000 The home value is $400,000 and has 40% equity…
danjuggler
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Can a Line of Credit be re-financed? Is it like a mortgage, with a term?

I have a home equity line of credit, for which I have had trouble making large payments against since my career change. I'm wondering if I should be concerned over the interest charges, and if there is anything I can do to improve it?
Nat_Rea
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HELOC with no first mortgage (for liquidity--no plans to spend it)

For a home-owner with no debts, a good salary, credit score, etc.: What terms would be optimal for future liquidity when obtaining a home equity line of credit (HELOC)? The point is to obtain credit when it is not needed on the best terms…
NL - SE listen to your users
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How to remove a co-signer from HELOC?

I have a Home Equity Line of Credit (HELOC) in Canada, Quebec. I have a co-signer on it. The co-signer is not on the deed of sale or the mortgage. I would like to release the co-signer, so he does not have the obligation on his credit file. The bank…
Roman Mik
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Why do banks require justification for a HELOC?

When you apply for a HELOC, the underwriters will ask how you intend to use the funds. However, the draw period for a HELOC typically lasts 10 years. It is foreseeable that someone takes out HELOC to buy a car, pays off the debt by year 3 and in…
Elliot B.
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HELOC vs. Parental Student Loans vs. Second Mortgage?

First to set the stage. We have two kids one starting school this fall and another following in two years. As a family our income is high enough that we do not qualify for any aid. We also make too much to claim any education related…
Ukko
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What happens to a HELOC after a death?

My situation is as follows: up until a few months ago, my father, mother and I lived in a house (in Canada) which was solely in my mother's name. There is a home equity line of credit associated with the house with quite a bit owing on it. My mom…
Swiftheart
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Products for withdrawing from a home's equity?

I am a current homeowner with a property that has no mortgage (everything has been paid off). A family member is in need of some cash to consolidate some credit card debt and I would like to help them out. However, the amount of money that they need…
robjob27
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I have a secured line of credit (substantial balance) as well as a retirement account. Am I wisest to pay off my debt before contributing to my retirement account?

What if it will take me 15 years to pay off my debt? Should that ALWAYS be what I pay down first?
Nat_Rea
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Use retirement to pay off debt: Should I cash in RRSP to repay Line of Credit?

The amount I have in RRSP savings is exactly equal to the amount I have in Home Equity Line of Credit debt (significant, but aside from home mortgage, my family has no other debt). I know if I cashed out the RRSPs, I would be taxed, but since I've…
Nat_Rea
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How does cosigning for a home equity line of credit affect your chances of getting your own loan?

My father has a home equity line of credit (HELOC) but it is coming to an end and in order to renew it he would need me to cosign with him for it. I trust my father to make the payments and to not use the line of credit in an adverse way to me,…
user6291
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