Home Equity Loans

Which Equity Loan Is Right For Me?

These accounts provide you with a "reserve" of credit on your account, than can be drawn down at any time. Some line of credit loan accounts have more flexible repayment alternatives, providing a benefit of allowing you to manage your cash flow better. Most lenders charge extra for line of credit accounts, either by way of a facility fee, undrawn funds fees and/or a higher interest rate. In many cases, a standard loan with redraw can provide features similar to a line of credit at lower cost, so make sure you compare the options carefully.

Product Matrix:

• Minimum Loan $50,000
• Maximum Loan Value (LVR) 90%
• Good Credit Required for best rates
• Interest Only
• Fixed or Variable
• Available for owner occupied & Investment
• No Mortgage Insurance payable below 80% LVR

A line of credit loan provides you with access to the equity in your home or investment properties up to a pre-approved limit. You access the funds as you need to. The interest rate on a line of credit loan is usually a variable rate and repayments are interest only.
Advantages:

• You can use the money when you need it and pay it back when you can.
• Rates are generally lower than a personal loan or credit card.

Disadvantages:

• Unless care is shown it is possible to reduce the equity you have built in your home.