Home Equity Line of Credit (HELOC)
A home equity line of credit (HELOC) lets you borrow funds up to your available credit line, which is based on the amount of equity you have in your home. With this revolving line of credit, you can borrow, repay, and borrow again. Much like a credit card, the credit amount becomes available again as the outstanding balance is repaid. This can be useful if you’re planning a major project with multiple expenses or want ongoing access to funds for emergencies.
RMCU offers some of the lowest HELOC rates in Montana, typically much lower than credit cards or personal loans because your home serves as collateral.
Benefits
- Instant Access to Funds: Borrow what you need when you need it. Whether it's a home renovation, unexpected medical expense, or a real estate investment, your home's equity is ready to support you.
- Flexible Borrowing: Unlike traditional loans, a HELOC works like a credit card for your home. Borrow, repay, and borrow again – up to your credit limit. There is no need to reapply each time you need funds.
- Potentially Tax-Deductible Interest: Consult your tax advisor, but home equity interest may be tax-deductible when used for home improvements.
- Lower Interest Rates: HELOC interest rates are typically much lower than those of credit cards or personal loans.
