Top Secret Guide Comparing Home Equity Loan Products

Types of Home Equity Loans

There are primarily two types of home equity loans: the traditional home equity loan and the HELOC. The traditional home equity loan gives you a one-time lump sum, which you repay over a set period with fixed monthly payments. This predictability can be beneficial for budgeting purposes. On the other hand, a HELOC offers flexibility by allowing you to draw funds as needed, up to a certain limit, with variable interest rates that can fluctuate over time.