Interested in a HELOC and how to get one? Bellco Federal Credit Union can help! We provide a safe place for members to save and borrow at reasonable rates with exceptional customer service from start to finish.
Bellco FCU is a member-owned, not-for-profit federal credit union that caters exclusively to you and your needs and offers a variety of affordable financial services. We offer competitively low rates for home purchase, refinance, or construction, and have a number of home loan programs available.
Home Equity Line of Credit (HELOC)
A Home Equity Line of Credit offers a lot of flexibility. It works very much like a credit card and can be used whenever you need it, such as for financing an ongoing home-improvement project, paying ongoing tuition, or paying for recurring expenses.
Unlike the conventional home equity loan, the interest rate on the HELOC is adjustable (not fixed), which means it may change over the term of the loan.
The draw period (the allotted time to borrow on the loan) is typically 5 to 10 years, and payments due on the amounts 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. When the draw period ends, you are responsible for repaying principal and interest on the loan.
Do You Qualify for a HELOC?
Requirements differ from lender to lender, but here are a few things you will typically need in order to qualify for a loan secured by the equity in your home:
- Income – Be prepared to show you have sufficient income to cover your mortgage payment and the new loan payment.
- Strong Credit – Check your credit score. Lenders want to know you have a history of paying your debts on time.
- Low Debt-to-Income Ratio – Lenders like to see a low debt-to-income ratio (DTI), or the ratio between your overall debts and your income.
- Other Assets – Additional assets, such as a car, boat, rental property, or other investments, will make lenders feel more secure about lending you money.
Join Bellco FCU Today
If you are already a member of Bellco FCU, you can apply for a HELOC online. If you are not yet a member, but live, work, worship, or attend school in Berks County, consider opening a primary savings account with as little as $5, and become a member today!
When you join Bellco FCU, you will remain a member for the rest of your life, even if you change jobs, retire, or move out of Berks County. You also become a partial owner and have an equal voice in how your credit union is run, no matter how much money you have on deposit.
It’s easy to get a HELOC from Bellco FCU in Berks County, PA. Apply online to take advantage of this valuable financing tool for home repairs, renovations and other large expenses.