HELOCS

If a person has stellar credit, the best home repair loans come from a bank offering a home equity line of credit. These lending agreements, nicknamed HELOCS by the financial world, are also offered by credit unions and are loans based on the equity a person has in his/her place of residence. These borrowing offers are among the most favored by financial experts because in the case of banks and credit unions, the interest rates are quite reasonable and while no borrowing is always a good way to avoid the trap of debt slavery, these HELOCS are the best in terms of loans. What percentage of the home equity a bank or cu will offer depends form institution to institution. Some may allow 70% of the equity and some may allow 50% to be used as the amount of the loan. These lending agreements are packaged as actual checking accounts on which the borrower can draw checks for the home repair needed, although the HELOC is not required to be used solely for home repair, so after the roof is finished a Bahamas vacation might be in order!