Home Equity Line of Credit Reading, PA

A Home Equity Line of Credit from Bellco FCU is a type of home loan that is secured by the equity in your home. For many borrowers in Reading, PA, it can be a valuable financing tool for home repairs, renovations and other large expenses.

About Bellco Federal Credit Union

In 1938, Bell Telephone employees formed Bell Telephone Credit Union. They wanted to create a financial institution they could trust, one where they had a voice, and one that would work to help fellow employees obtain hard-to-get loans.

Today, almost 80 years later, Bellco FCU is a member-owned, not-for-profit federal credit union that continues to offer unique financial products and services to people and small businesses in Berks County, PA.

Membership in Bellco FCU is open to people who live, work, worship, or attend school in Berks County, PA. Simply open a Member Savings account with as little as $5, and set up your membership in a few simple steps.

Once you are a member, your immediate family members will be eligible to join too and take advantage of competitive rates for mortgages, personal loans, credit cards, and the many other services we offer.

About Home Equity Lines of Credit (HELOC)

A Home Equity Line of Credit works very much like a credit card and can be used when you need it. The interest rate on a HELOC may be lower than that of traditional fixed-rate mortgages, credit cards, and other types of personal loans.

During what is called the “draw period” (typically 5 or 10 years), you can make as many withdrawals as you like up to your credit limit, if and when you need the funds. This may be the ideal solution if you need to borrow smaller amounts over a longer period, such as for an extensive home renovation project.

Any payments due on the amount you draw out are typically interest-only payments. As you pay off the principal, your credit revolves, and you can use it again and again for the duration of the draw period.

Unlike most other types of loans, such as standard Home Equity Loans, the HELOC lets you decide when and if you want to use the money. If you decide not to use some of the line of credit, you won’t have to pay interest on those funds.

Once the draw period ends, your repayment period begins. During this period, your payments will include both principal and interest, and continue until the line of credit has been repaid. 

Interest payments on a Home Equity Line of Credit may be tax deductible, although you will want to consult with your tax accountant to find out if you qualify for the deduction. 

If you are already a member, you can apply online for a Home Equity Line of Credit with Bellco FCU in Reading, PA. If not, join today to take advantage of our many products and services!