Механизаторы

A home equity line of credit, or HELOC, lets you borrow against home equity up to an agreed limit during a draw period. Unlike a lump-sum loan, you can generally draw, repay and draw again within the agreement's limits.How the borrowing arrangement worksSeparate the draw period from the repayment period. Ask how the minimum payment is calculated in each phase and whether interest-only payments leave the borrowed balance unchanged. Check what happens when the draw period ends.Costs and repaymentRates are often variable, so the payment and borrowing cost can change. Review the index, margin, limits, annual fees and any early-closure charges. Plan for the repayment phase and remember that the home is collateral.Preparing to compare offersConfirm the draw-period end date and the length and structure of repayment.Ask for payment examples at the current rate and a higher rate.

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