Home Equity
The equity you have in your home is a valuable financial asset. A Home Equity loan allows you to borrow against the equity.
Home Equity Loan – This loan is designed for homeowners with established equity to borrow for other financing needs like home improvements, debt consolidation, school tuition, weddings, vacations and more. You’ll receive the amount of your loan upfront and find comfort knowing you have a competitive, fixed rate and payment term, with the added benefit of tax-deductible interest. Consult your tax advisor about the benefits available to you.
Home Equity Line of Credit – Like a home equity loan, this line of credit allows you to borrow from your home’s equity for other financing needs, with potential tax savings. It is, however, more flexible, allowing you to take out just what you need, when you need it. And upon repayment, the credit is available to use again and again. Consult your tax advisor about the benefits available to you.
For your convenience, automatic payments can be transferred from your First Bank checking or savings account.
| Fixed Rate Home Equity | Revolving Line of Credit | |
| Description | Borrow specific dollar amount with a fixed monthly repayment plan. | Flexible line of credit; access to draw upon as needed. Flexible repayment plan |
| Advantages | • Fixed monthly principal and
Interest Payments • No fees or closing costs (restrictions apply) • Potential tax deduction • Locked interest rate |
• Monthly payments • No fees or closing costs (restrictions apply) • Potential tax deduction • Floating interest rate |
| Terms | • Minimum term 2 years • Maximum term 15 years |
• 5 years • 10 years |
| Payment Options | • Payment book • Automatic funds transfer |
• Monthly billing statement • Automatic funds transfer; including monthly billing statement |
| Access to Funds | • Lump sum advance |
• Home equity checks • On-line banking transfer |
| Requirements | *Secured by junior lien on personal residence | Secured by personal residence |