Not only is sending your kids to college tough on your emotions, it’s tough on your bank account. But with a home equity loan, you can finance their future without having to sacrifice your own. Plus, our loan options provide versatility to fit your specific needs. Need one large sum of money to pay for your child’s education? A Fixed Rate Home Equity Loan might be the best choice. You can pay it off over time and never have to worry about the rate increasing. Have kids of staggered ages and need to pay for multiple colleges? A Home Equity Line of Credit (HELOC) provides the necessary flexibility of an available line of credit for whenever you need funds most.
Home Equity Line of Credit
A home equity line of credit is ideal for the semester-by-semester payment plan of a school, college or university. With interest rates that are typically lower than your average credit card, and the ability to establish a credit line in most states up to 90% of the value of your home, a home equity line of credit is ideal for financing your, or a special other’s, education.
- Pay less per month. While hitting the books, you don’t have to hit your wallet. A home equity line of credit allows interest only minimum payments during the draw period.1
- Reduce your taxable income. Your interest paid with Home Equity can potentially be 100% tax deducible. †
Fixed Rate Home Equity Loan
A home equity loan has a fixed rate. It's also called a fully amortized loan - amortized simply meaning that your principal and interest payments are spread over the life of the loan. So you have a fixed, set payment each month that stays the same for the life of the loan.
- Have a structured payment plan. Know when your debts will be paid off by establishing a fixed payback term.
- Create One Bill. Save yourself the headache of managing several payments, and roll all of your debts into one easy loan.
- Reduce your taxable Income. Your interest paid with a Home Equity Loan can potentially be 100% tax deductible. †
Other Ways to Use Your Home's Equity
1 Interest-Only payments: If you choose to pay only the amount of interest due, then at the end of the interest only period you will still owe the original amount you borrowed and your monthly payments will increase because you must pay back the principal as well as interest. Your payment could increase even more if your variable interest rate increases.
† Consult a tax advisor regarding the deductibility of interest.
