HELOC vs. Personal Loan
Planned events, unexpected events…they can be covered with a Bellwether HELOC.
It might be your son or daughter's wedding. Or a home renovation for the new baby. Or maybe a once-in-a-lifetime cruise. Whatever the special event, you can make it happen with a Bellwether HELOC.
What is a HELOC?
HELOC stands for Home Equity Line Of Credit. A HELOC is money that's available to you based on the amount of equity you have in your home—meaning the difference between your mortgage balance and the value of your home.
Precious little bundles sometimes need more room than you think.
Is a HELOC better than a personal loan?
A HELOC provides funds that you're able to access whenever you need it. You only pay interest on what you use. A personal loan is a set amount of money loaned to you, on which you make monthly interest and principal payments. One big difference is with a personal loan you're paying interest on the full amount, versus only paying interest on what you use when you have a HELOC. PLUS, sometimes HELOC can be tax-deductible—BONUS!
HELOCs are a great way to be prepared for unexpected expenses, or to prepare for a big event, without having to commit to a high monthly payment. As long as you pay the interest due, you can pay off the principal at your own pace.
Think a HELOC might work for you?
Our staff can discuss your needs and help you determine the best solution. Give us a call today at 1-866-996-9828 or get started online!
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