Whether it’s updating a new dream kitchen, sending kids to college, consolidating high-interest rate debt, or simply reducing your payments, our Patelco Home Equity Line of Credit (HELOC) can help you achieve your financial goals.
Variable rate with the option to lock in a portion of your balance at a fixed rate2
Check your personalized rate and terms with no impact to your credit3
Finish applying online within minutes
No application fee, no pre-payment penalty, and no annual fee4
Home improvements, debt consolidation, large purchases – you name it
Get cash for what you need and use your available funds for up to 10 years
A HELOC is a revolving line of credit that allows you to borrow against your home’s equity to access cash as you need it. With a HELOC, you have a specific amount that you can borrow from – this amount is your line of credit. In addition to choosing the amount you need to borrow (up to your maximum approved limit), you can also determine when and how many times you borrow, making this loan type more flexible for your financial needs. Plus, you only pay interest on what you borrow.
In most cases, we can offer financing for up to 90% of your home’s value – which includes your first mortgage (if any) and your new HELOC. For example, if your property is worth $800,000 and you owe $500,000 on your first mortgage, you may be eligible for a HELOC up to $220,000. ($800,000 x 90% = $720,000. $720,000 – $500,000 = $220,000.) Keep in mind this depends on several other factors such as your loan approval, credit history and income. We recommend checking your rate first to pre-qualify.
No. We’re proud to offer no application fees, no early closure fees, no annual fees, and no closing costs on lines up to $250,000.4
You may be able to deduct interest you pay from your loan. We recommend consulting your tax advisor for specifics.
It’s easy to use your HELOC for your financial needs. Choose what’s convenient for you:
See your rate, terms and payment amount upfront without any impact to your credit.
1Home Equity loans and lines of credit are available on California properties only. 8.000% APR (annual percentage rate) and other terms shown are accurate as of 1/23/2023 and apply to a HELOC for the most qualified applicant at CLTV up to 80%. Not all applicants will qualify for the lowest rate. Rates vary based on property value, line amount and other factors, and will vary for second or vacation homes. The minimum periodic payment is interest-only for the first ten years (“draw period”) followed by fully-amortizing payments to repay the balance over the final fifteen years. No draws will be allowed during the repayment period. Payments and rate can adjust monthly. Payments will increase if rates increase. At the end of the draw period, your required monthly payments will increase because you will be paying both principal and interest. The rate is calculated using an index plus a margin. The index used is the Prime Rate as published in The Wall Street Journal Western Edition on the last business day of the month prior to the change. The current prime index is 7.50. Minimum interest rate is 3%. Maximum interest rate is 17%.
2Rate and payments are based on Prime plus a margin. Changes to Prime will result in changes to the rate and payment. After your loan closes, you have the option to lock in a portion or all of your existing equity balance on your new Patelco Home Equity Line of Credit into a fixed rate at 7, 10, or 15 years. Rates may vary and are subject to change. You may only have one fixed-rate option on either all or a portion of your balance at a time. Your fixed rate balance will reduce the amount of available credit for future draws on your equity line. Any future draws will be at the variable rate and payment in effect on your loan at the time of the draw. You will receive a separate statement and make separate principal and interest payments for the fixed-rate portion of your balance. The maximum term available for a fixed rate option is 15 years. Other restrictions may apply.
3Patelco runs a “soft” credit pull to determine which pre-qualification offer you qualify for. This doesn’t affect your credit score. If you choose to proceed with a loan application, Patelco will request your full credit report from one or more credit reporting agencies. This will be a “hard” pull and may affect your credit. If necessary, we may also share certain information about you with third parties, like our insurers, to process your request.
4The minimum credit line amount is $10,000 and the maximum is $500,000. Patelco Credit Union will pay customary closing costs on lines up to $250,000 in second lien position. If your Account is opened under the “No Closing Cost” loan program, there will be no lender fee and no charge for customary closing costs including: Automated Valuation Model (AVM) to determine property value, Lender’s title insurance, courier, points, wire fees, notary, escrow fee, recording of Patelco documents, flood certification, credit report, loan origination, or tax service. Only these fees listed will be paid by Patelco Credit Union. The “No Closing Cost” program does not include extraordinary items, including but not limited to the following: residential real estate appraisals, additional credit reports for the same loan transaction, grant deeds and any associated notary or recording fees, missed appraisal appointments or ‘trip charges’ and any fees to close another account as the result of this Account. Borrower is responsible for closing costs on lines in first lien position or over $250,000. Closing costs range from $0 to $2,500. This offer does not include escrow or recording fees, or additional notary fees that may result from changes in title, vesting or notary appointments.
Read the HELOC Program Disclosure.
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