A home equity line of credit (HELOC) allows you to borrow money by using your home as collateral. Applying for a HELOC is a great decision if you need money to pay off debt, pay for college, or any other life event.
If you’re looking for ways to leverage the equity in your home, a home equity line of credit from MidSouth Community Federal Credit Union may be right for you!
Your home is most likely your largest asset – let it work for you! Benefits of opening this line of credit include:
Consolidation of Debt
Many people have debt in multiple places: car loans, credit cards, medical bills, and more. Usually, these loans have incredibly high interest rates. By opening a HELOC, you can pay off your debt with those funds – thus, consolidating your debt into a single payment. Keep in mind though, that because your home is the collateral for the loan, failure to make payments could trigger foreclosure proceedings.
Access to Funds
You have access to your HELOC whenever you are ready. Have peace-of-mind knowing you have the flexibility to decide when and how much to use (up to your available credit limit) through our online banking, by phone, or at any MidSouth Community branch. As the balance on your loan decreases, the remaining credit limit is available to you during the draw period, so there’s no need to reapply!
Potential Tax Deduction
Interest from your home equity line of credit may be able to be claimed as a tax deduction. You are encouraged to consult with your tax advisor concerning your specific situation.
We understand that everyone’s needs and circumstances are different. If you’d like more information about a HELOC or want to begin the application process, contact us and an experienced service representative will help you with the process.