Home Equity Line of Credit (HELOC): How to Use It
A Home Equity Line of Credit or HELOC advances you cash based on the equity you have accrued. It works like a credit card – you agree to a pre-set limit and then borrow as you need to, or in the event of an emergency, usually for up to 10 years. These are good for:
- Getting large sums of money ($30,000 or more)
- Debt consolidation
- Remodeling projects
- Buying a new vehicle
- Major home improvements