View Message

The ATM Center at 2518 Frederick Douglass Blvd. is currently unavailable. Please use the nearest ATMs at 280 St. Nicholas Ave. We apologize for any inconvenience this may cause. 

HOME EQUITY LINE OF CREDIT (HELOC)

Leverage your home’s equity to
fuel your next dream

Renovate your home, embark on a dream vacation, consolidate debt, start a business—the sky's the limit!

HELOC Page Hero

Choose to spend as much or as little as you need!

With a variable, revolving Home Equity Line of Credit (HELOC), the amount available to borrow is replenished as you pay your outstanding balance, similar to a credit card.

There are many great reasons to take out a home equity line of credit: college tuition, home renovations, medical bills, or even for those much needed vacations!

Your approved credit line ensures you have the funds to cover whatever dreams or expenses you may have.

Features & Benefits

  • Qualified Members enjoy Prime rates, the lowest rates set by the Federal Reserve, without additional charges.
  • Receive a line of credit up to $500,000
  • Withdraw funds as needed over a 10-year draw period. Monthly payments will be interest only
  • 20-year repayment term after the 10-year draw period
  • Borrow up to 80% of your home’s equity
  • Available on properties in NY, NJ, CT & PA (Single Family Residence, 2-4 Family Residence and Condominium ONLY)

Today's Rates

This HELOC rate advertised of 5.99% APR* , represents a 2nd Lien Promotion. The rate for 1st Lien is as low as 5.49% APR* fixed for 12 months.
hero-icon-let-the-value-of-your-home

HELOC

2nd Lien Promotion

5.99 %

APR3
APR = Annual Percentage Rate (OPEN TO READ MORE)

* APR = Annual Percentage Rate. The introductory rate is 6.875% APR for 12 months with a maximum 80% Combined Loan-to-Value (CLTV). An immediate draw of $25,000 will be required at closing. The initial rate will be in effect for the first year your credit line is open. If you have an introductory rate, for the 12-month period immediately following the Date of Agreement, the ANNUAL PERCENTAGE RATE that will apply to your account will be 6.875%* or 7.375% if you elect to have MCU pay your mortgage taxes. Subsequently, your account will be subject to the Variable Rate provisions described herein. The initial Annual Percentage Rate is discounted; it is not based on the index and margin used for later adjustments.

** APR = Annual Percentage Rate. The introductory rate is 5.99% for 2nd lien position loans and 5.49% for 1st lien position loans with APR for 12 months with a minimum loan amount of $100,000 and maximum 75% Combined Loan-to-Value (CLTV). Minimum FICO Score is 720 with a required initial draw depending on the approved loan amount. The initial draws are as follows: 

  1. 1) For a $100,000 loan requires a minimum draw of $25,000.
  2. 2) Loan amount between $100,000.01 - $250,000 requires a minimum draw of $50,000.
  3. 3) Loan amount between $250,000.01 - $500,000 requires a minimum draw of $100,000.

The initial rate will be in effect for the first year your credit line is open. MCU cannot pay your mortgage taxes for this special promotion. Subsequently, your account will be subject to the Variable Rate provisions described herein. The initial Annual Percentage Rate is discounted; it is not based on the index and margin used for later adjustments. Special promotion rate is available for a limited time.

The current variable APRs range from 7.50% - 11.50%. The floor APR is 3.00%. HELOC closing costs are waived if, at closing, you take a minimum advance of $25,000 and keep your line of credit open for at least three years, otherwise you will be required to reimburse MCU for certain fees paid to third parties. These fees can be as low as $135 for a $25,000 HELOC. Closing costs paid by MCU include the initial valuation source, title report, credit report and flood zone certification. Loan applicant has the option to have their mortgage recording fees and mortgage taxes waived at closing for an additional .500% on their introductory rate and fully indexed rate for the term of the loan. The 6.875% introductory rate and closing costs waiver offer is available for a limited time.

THE ANNUAL PERCENTAGE RATE MAY VARY AND IS EQUAL TO THE HIGHEST PRIME RATE PUBLISHED IN THE WALL STREET JOURNAL ON OR BEFORE THE LAST DAY OF THE PRECEDING MONTHLY BILLING PERIOD PLUS A MARGIN BETWEEN 0% AND 4%.

HELOCs are secured by a mortgage on your primary residence. Co-ops and investment properties are not accepted. Property insurance is required. Flood insurance may be required if the property is in a flood zone. Certain restrictions may apply. Membership is required.

The Current Prime Rate is 7.50%. The annual percentage rate may be higher based on the applicant’s creditworthiness. The maximum Annual Percentage Rate that may be imposed is 6% above the initial interest rate at closing. Rates and terms are subject to change without notice. Other terms and conditions apply. View full disclosure PDF.

What You Need to Apply

Applying online is easy, but to make the process even easier, here is a list of information to come prepared with:
  • Social Security number
  • Any existing debts or support obligations (such as alimony, child support, or existing liens on your home)
  • Employment and income history as well as pay stubs and employer’s contact information
  • Proof of homeownership (in NY, NJ, CT & PA only), home insurance, and current mortgage statement
  • An appraisal or valuation of your home will be ordered during the loan process
application-checklist-background_dots-left
application-checklist-background_dots-right
APPLIC_3

Prefer a Consistent Monthly Payment? MCU Offers a Variety of Home Equity Loan Options.

FAQs

Got Questions? We’ve Got Answers.

Do I need to get a home appraisal?

Yes—MCU will provide valuation services during your application process. To get more information, please contact one of our loan officers.

Is a Home Equity Loan’s interest rate fixed or variable?

An MCU Home Equity Loan has a fixed interest rate and typically delivers the funds to you in one lump sum. If you are looking for a more flexible option with a variable rate, consider a Home Equity Line of Credit (HELOC) with MCU.

What’s the difference between a home equity loan or a home equity line of credit?

Home equity loans and home equity lines of credit (HELOCs) are loans that are secured by the borrower’s home. Because both use your home as collateral, they usually have much better interest terms than personal loans, credit cards, and other unsecured debt. A home equity loan through MCU is paid on a fixed monthly basis, with an interest rate that doesn't change throughout the term of the loan. HELOCs are revolving credit lines that come with variable interest rates. For that reason, borrowers are subject to variable minimum payment amounts.

What can I use a home equity loan to pay for?

A Home Equity Loan can be used to cover almost any cost, some examples include: college tuition, vehicle purchases, buying a second property, consolidating higher interest rate loans, or home improvement projects.
You are now leaving the Municipal Credit Union website and entering a website hosted by another party. A link to this site is being made available for convenience and informational purposes only. Any products or services accessed through this link are not being provided by Municipal Credit Union and are solely the responsibility of the vendor or merchant hosting this other website. Please be advised that the vendor or merchant hosting this other website may have a privacy and information security policy that is different than that of Municipal Credit Union. Municipal Credit Union disclaims any responsibility for the content of the third-party website you are about to access.