Home Equity Line of Credit

Funds to get your dreams rolling.

Home Equity Line of Credit 101

Whether you’re sending a child (or yourself) to college, finally adding that sunroom, or just wanting to have funds in your back pocket, a Home Equity Line of Credit (often called “HELOC”, pronounced hee-lock) can help you balance big expenses with a lot of flexibility. Like a credit card without the plastic, once you’re approved for a total amount to borrow, you’ll make advances (aka withdrawals) up to that amount whenever you want — zero fees or approval required.

Feel free to compare.

Two big differences between our Home Equity Loan and a HELOC are interest rates and repayment rules. Our Home Equity Loan has a fixed interest rate, while the HELOC has a variable interest rate. Using your house as collateral results in a lower interest rate up front, but if you’re more comfortable going a different route, our knowledgeable staff can help you determine what loan might be a better fit.

What’s to Love

Borrow as you go, pay over time

You’ll have 10 years to borrow, and 20 years to repay. For the first 10 years of your HELOC, you’ll only pay the interest, and only on the amount you actually borrow. Starting year 11, you’ll begin to repay the borrowed loan amount plus interest, and you’ll have 20 years total to pay back what you use.

Get your closing costs covered

When you work with our approved appraisal and title partners, all of your closing costs are on us.

Enjoy limitless withdrawals
There’s no limit on how many times you can withdraw funds and no fee for a credit line advancement, so take what you need when you need it.

Home Equity Line of Credit Rates

Type Term APR*
Type:
Interest Only Payment
Term:
Less than 80%
APR*:
4.00 to 8.50%**
Type:
Interest Only Payment
Term:
From 80.1% - 100%
APR*:
4.50 to 7.50%**

HELOC's adjust quarterly on Jan.1, April 1, July 1, and Oct. 1. Maximum adjustment of 1% per quarter. The maximum rate is 15.00%.

*APR=Annual Percentage Rate. The ANNUAL PERCENTAGE RATE you receive will be based on credit worthiness and loan to value amount. Not all members will qualify for the best or lowest rate.

Auto-pay Advantage: A discount of 0.25% will be deducted from the above stated annual percentage rates when the payment is received automatically from a Fortera draft account. This discount is only available on new loan transactions with an effective date on or after the date of this addendum. The annual percentage rate will default back to the normal rate in the event the payment status or draft account status changes.

**Loan to Value Ratio (LTV): A ratio used by lenders to calculate the loan amount requested as a percentage of the value of a home. To determine the loan to value ratio, divide the loan amount by the home's value. The LTV ratio is used to determine what loan types the borrower qualifies for as well as the cost and fees associated with obtaining the loan.

Loan Benefits

Always in your pocket

On the couch or on the go, keep your money close with our Mobile App and Online Banking.

Where you go, we go

Credit Unions around the world work together to make sure our members can use branches and ATMs everywhere — surcharge-free. Nice, right? Download our CO-OP app and plot your next getaway.

Goal setting made simple

Our skilled experts are easy to reach and happy to help. For members and non-members alike, meetings and consultations are always free, so make the most of your money, on us.

Rest easy

With us, your money is always protected and insured by the National Credit Union Administration. You’re covered on all deposits up to $250,000, so save away.

Cash within reach

You can access your line of credit funds by using your debit card at an ATM, or by writing a check.

Get by with a little help

Or even a lot. Either way, we’re here. Call, text, or chat with our experts anytime you need a friend who knows all things Fortera.

Free Applications

Applying for a loan shouldn’t cost you anything. So with us, it doesn’t (high five).

Apply now

Get the help you need for the home you want. Apply for a HELOC today. With no application fee, what are you waiting for?

Member Resources

Show me the quick links! These are the things we always seem to need and can never seem to find.

Submit a Payment Protection Claim
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Need to submit a claim? No problem, we've got you covered. You can submit a claim at myclaim.cunamutual.com. If you have any questions, please text us at 931.431.6800 or email us at info@forteracu.com and we will be happy to help.

Document Checklist for Home Equity Line of Credit Applications
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To verify your identity, we always ask that you come prepared with a government-issued ID. It is important that it is not expired. Examples of acceptable IDs include a State Driver's License or a U.S or Foreign Passport. If we have trouble validating your ID, we may ask for a secondary ID. If you have a question about whether or not an ID can be used, just text us at 931.431.6800.

In addition to identification, you will also need to bring:

  • A copy of your homeowner's insurance (the declaration page)
  • A copy of your recorded deed
  • A home assessment or appraisal
  • Your income verification
  • Copies of billing statements with full account numbers and payment addresses (this only applies to debt consolidation)
  • A 10-Day payoff quote (this only applies to debt consolidation)

If you have any questions about this list, please email us and we will be happy to help.

Need a hand?

That's what we are here for! Give us a call and let's chat face-to-face.

What is the difference between a Home Equity Loan and a Home Equity Line of Credit?
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The two biggest differences between a Home Equity Loan and a Home Equity Line of Credit are the types of interest rates for each loan and how one receives their funds. Home Equity Loans are fixed-rate loans and they are given to the member in one large lump sum. Home Equity Lines of Credit are variable rate loans and members receive access to a line of credit. They can borrow as much as they need without having to commit to a large lump sum.

What is a Home Equity Line of Credit (HELOC)?
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A Home Equity Line of Credit (often called “HELOC”, pronounced hee-lock) is a loan that functions similarly to a credit card (sans plastic.) You apply for a certain amount of funds and once you’re approved for a total amount to borrow, you’ll make advances (aka withdrawals) up to that amount whenever you want — zero fees or additional approval required. It helps to think about a HELOC like a life line that you tug on when you need a little bit of extra support. Just tug on the line and make withdrawals that work for you. This means you are only borrowing the money you need to complete a project, not one giant lump sum like a traditional loan.

What would I use a Home Equity Line of Credit for?
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This loan is great for projects that don't have a fixed price. If you are remodeling your kitchen, adding a deck to your home, paying for some additional college courses, etc. this is a great option for you. It allows you the flexibility to borrow what you need instead of requiring you to borrow a larger sum.

Can I make additional payments on a Home Equity Line of Credit?
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Yes! You can make additional payments on all Fortera Loans.

How is a Home Equity Loan of Credit different from a Credit Card?
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These financial tools are very similar. The largest difference between the two is how they are accessed. Credit Cards are loans designed to be convenient for our members. Need a mini loan? Grab your credit card and get what you need. Because HELOCs do not come with a card, spending money does not ususally happen instantly. For many of our members that do not feel comfortable with a Credit Card or struggle with overspending or spurge-spending, a HELOC can be a great tool because it requires you to slow down and think before making a large purchase.

How many times can I withdraw money from my Home Equity Line of Credit?
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As many times as you would like. There is no limit to how many times you can make a withdrawal on a HELOC.

What is the timeline for making payments on a Home Equity Line of Credit?
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You’ll have 10 years to borrow, and 20 years to repay. For the first 10 years of your HELOC, you’ll only pay the interest, and only on the amount you actually borrow. Starting year 11, you’ll begin to repay the borrowed loan amount plus interest, and you’ll have 20 years total to pay back what you use.

What documents do I need to apply for a Home Equity Line of Credit?
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To verify your identity, we always ask that you come prepared with a government issued ID. It is important that it is not expired. Examples of acceptable IDs include a State Driver's License or a U.S or Foreign Passport. If we have trouble validating your ID, we may ask for a secondary ID. If you have a question about whether or not an ID can be used, just text us at 931.431.6800.

In addition to identification, you will also need to bring:

  • A copy of your homeowners insurance (the declaration page)
  • A copy of your recorded deed
  • A home assessment or appraisal
  • Your income verification
  • Copies of billing statements with full account numbers and payment addresses (this only applies to debt consolidation)
  • A 10-Day payoff quote (this only applies to debt consolidation)
I have payment protection and need to make a claim. Where can I do that?
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Through our partner CUNA MUTUAL. Click the button below to get started.

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