Home equity lines of credit are a bit different. They’re a revolving source of funds, much like a credit card, that you use as you see fit. Most banks offer a number of different ways to access.
However, there is a notable exception: the home equity lines of credit (HELOC). This line of credit is secured by the equity in the borrower’s home, but it works exactly like any other line of credit. Demand Line of Credit. A demand LOC is a rare type of credit line that lets lenders call the loan due at any time.
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Home equity line of credit – Wikipedia – Home equity line of credit. A home equity line of credit (often called HELOC, pronounced Hee-lock) is a loan in which the lender agrees to lend a maximum amount within an agreed period (called a term ), where the collateral is the borrower’s equity in his/her house (akin to a second mortgage ).
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