Home Equity Loans
More than Memories
What’s under your roof? There are more than just great memories and all of your belongings; there’s equity! That equity can pay for much needed vacations, home improvements, debt consolidations, or college costs and for most, there’s more there than you’ll need.
Borrow against my home? Why?
Home equity loans are a great way to borrow money. Generally, other lines of credit come with higher interest rates. This type of loan, if used properly, allows you to borrow sensibly. Another great feature of home equity loans is that the interest may be tax deductible. Be sure to consult a tax advisor about the specifics.
How does it work?
You’ll need to have more than 25% of your home’s value paid for. Below is a formula to show how North Iowa Community Credit Union will determine the amount you are eligible to borrow. Value of your home $100,000 Up to 75% X .75 Subtotal $75,000 Remaining Mortgage Bal. $40,000 Equity available $35,000
How can I use the money from a home equity loan?
That is completely up to you.
What do I need to apply for a home equity loan?
It’s quick and easy, the way it should be. Here’s how it works: Stop by and fill out an application or call us and we’ll send you one. We’ll also need: Current income verification in the form of paystubs for everyone on the application W2, tax return statements for the past 2 years for everyone on the application A loan officer will check your credit and figure your borrowing maximum and quote a rate and payment plan. Once the loan is closed, the money can be deposited into your account after three business days.