Sign In

    Comparing Home Equity Loans and Lines of Credit

    Last updated 2 years ago

    Home equity loans and home equity lines of credit can both provide you with extra money based on the value of your home. These two systems of borrowing both use your home as collateral, but they are structured differently. Read on for more information about the difference between a home equity loan and a home equity line of credit.

    Home Equity Loans
    A home equity loan is a single lump sum of money that homeowners can spend as they choose. This system of distribution is ideal for big one-time expenses, like replacing your home’s roof or buying a car. Once you have this money, you’ll have to repay it in installments on a fixed schedule, usually for a term of up to thirty years. Your monthly payments are fixed, as is the interest rate, and repayment works generally like any other loan.

    Home Equity Lines of Credit
    You can draw from a home equity line of credit, on the other hand, at any time, in any amount, to pay for smaller recurring expenses like home improvements or college tuition. It is a revolving line of credit, meaning you can pay down your balance and then borrow the same money back as new expenses arise. You can draw from this line of credit for twenty years, during which your interest rate will vary, and your payments can be as small as just the interest you owe. After this draw period, you have a fifteen-year repayment period.

    Home equity loans and lines of credit put the equity in your home to work for you, and they provide money that can help you through tough financial times. Jeanne D’Arc Credit Union offers both loans and lines of credit, depending on your needs. For more information, call us at (978) 452-5001 or speak to a representative at one of our banking centers.

    The Best Loan Options for You

    Last updated 2 years ago

     

    Do you want to learn more about credit card consolidation or auto loans? You can find information about these topics on the following websites:

    • Find tips for paying back your student loans on this page from ProjectStudentDebt.org.
    • Visit this page from the Federal Trade Commission to learn about the benefits of credit card consolidation.
    • Learn some of the benefits of consolidating your student loans in this article from Forbes.
    • You can read about how auto loans work on this page from HowStuffWorks.com.
    • Take a look at this page to learn what questions you should ask when applying for a car loan.

    To learn more, contact Jeanne D’Arc Credit Union today at (978) 452-5001!

    What Is Credit Card Consolidation?

    Last updated 2 years ago

     

    Credit card debt is an issue for individuals and families around the country. Research shows that the country’s credit card debt balance experienced a 75% increase between 1997 and 2007. Trying to get out of debt can be a stressful, complicated, and overwhelming experience. That is why credit card consolidation is a good choice for anyone feeling drowned by their debt. Here is a closer look at what credit card consolidation is:

    • Credit card consolidation offers a solution for people with credit card debt
      Credit cards can offer security, but they can also make it easier to spend money you do not have on items you do not need. Credit cards are also commonly used to pay bills and other regular expenses, making them an important part of many people’s finances. However, this reliance is also why so many people are currently struggling with credit card debt on multiple credit cards.
       
    • Credit card consolidation offers a way to start handling your debt
      With this process, a debtor takes out one loan to pay off credit card debt. First, the debtor must visit a financial institution to learn about the loan options that are available to him. Depending on personal finances and credit history, a debtor will either qualify for a secured loan or an unsecured loan. After getting the loan, the debtor will use the money to pay off all debts. They will then focus on gradually paying back the loan. 
       
    • Credit card consolidation offers a number of benefits
      First, debtors will no longer have to worry or stress about paying of all of their separate debts. Another benefit is only paying one loan bill each month instead of multiple credit card bills. This can greatly reduce the stress and anxiety that are commonly associated with multiple credit card payments.

    Learn more about credit card consolidation and personal loans by contacting the team here at Jeanne D’Arc Credit Union. Our Lowell credit union can help you get on the right track to eliminating debt. Visit us online or call us at (978) 452-5001 for more information.

    Which Loan is Right For You?

    Last updated 2 years ago

     

    There are a number of expected expenses throughout life as well as plenty of unexpected ones. You may not always have the money to handle these expenses, which is why it is important to understand loan options and how they can benefit you and your family.

    This video clip discusses two popular loan options, their similarities, and their differences. A home equity loan basically serves as a second mortgage on your home, giving you the finances you need to handle major bills, such as medical care or college tuition. A line of credit works more like a credit card. The loan that is right for you will depend on your current finances and your financial needs.

    You can learn more about personal loans by contacting the team here at Jeanne D’Arc Credit Union. Call us today at (978) 452-5001 to learn more about our Lowell credit union.

    Auto Loan FAQs

    Last updated 2 years ago

     

    There isn’t much that is more exciting than driving off the lot in your very own car. However, unless you have enough cash to make the transaction, you will need to apply for an auto loan. Here are the answers to some of the most frequently asked questions about auto loans:

    • What do I need to do before applying for an auto loan?
      It is important to be prepared before applying for an auto loan. You can do this by reviewing your current credit situation. All citizens are entitled to view their credit report or score at no fee once a year. This will help you get a better understanding of your current financial situation. If there are any problems, you may be able to work toward fixing them to give yourself a better chance for qualifying for a larger loan. This will also help you determine how much you will be able to spend on monthly payments for a car.
    • Should I pick the car I want before applying for a loan?
      Many shoppers fall in love with a car before even applying for an auto loan. Unfortunately, this can lead to disappointment. Whether you plan to buy a new car, a used car, or refinance your current vehicle, you will want to look into your loan options before you start narrowing down your car options. After being approved for a loan, you will know just how much money you will get and just how much you can afford to spend each month. This will help you determine which car is right for you.
    • Are there requirements for applying for an auto loan?
      The requirements you encounter will depend on the credit union or other financial institution you work with. Typically, applicants are required to be at least 18 years of age, have a steady income, and have good employment history.

    You can learn more about auto loans by contacting the team here at Jeanne D’Arc Credit Union in Lowell. We offer mortgage loans, auto loans, student loans, and personal loans. Give us a call at (978) 452-5001 for more information!

Move Your "Someday" Closer

Click Here to Learn About Our IRAs!




Links

  • Recent Posts
    • Loading posts... Spinner
  • View All
  • Recent Comments
    • Loading comments... Spinner
  • Popular Tags
    • Loading tags... Spinner