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Home Equity
Line of Credit Scroll this page for an overview of the Chase Home Equity Lines of Credit (HELOC). Refer back to this page whenever you need, or print the product information sheet. Always check for recent changes. |
| DEFINITION | A variable rate line of credit that is secured by the borrower’s primary residence or secondary/vacation home. The line of credit enables the customer to decide how much they want to borrow and when they want to borrow the money that is available to them. Interest is only applied to the money advanced. |
| ACCESS PERIOD | Funds are accessed by check and are available at any time for the
first 10 years (Connecticut is 9 years & 10 months). This period
of time is known as the access period. During the access period, the
funds may be used, repaid, and used again (revolves). An interest only payment is the minimum required as payment during this time. If principal is also paid, it becomes available credit, which can be reused during the access period. |
| ACCESS | Customers access the line of credit by Home Equity Line of Credit (HELOC) check. Funds can also be wired (most common in EASYCLOSE transactions). These checks have a separate number from any Chase regional bank checking account that the customer may have. |
| CHECK MINIMUM | There is a $250 per check minimum. |
| REPAYMENT PERIOD | After the access period is over, outstanding balance is amortized over a 20-year period (Tennessee has a 10-year repayment period). This period of time is known as the repayment period. Principal and interest are required as payment during this time. The funds are no longer accessible to the customer. |
| PAYMENTS | During the Access Period: The payment of interest will adjust on a month-to-month basis depending upon the number of days in the billing cycle and any rate changes (due to current market conditions and fluctuations of the index). During the Repayment Period: Principal and interest payments will also adjust on a month-to-month basis. |
| RATES | Home Equity Lines of Credit are based on Prime plus a margin. Therefore, the Line of Credit is a variable rate and is based upon Prime (as listed in the Wall Street Journal). The Prime Rate is subject to change on a monthly basis. |
| ANNUAL FEES | Annual fees, if applicable, are waived for the first year. See state specific pricing information for details. |
| PREPAYMENT PENALTY | At this time, there is no prepayment penalty on the Home Equity Lines of Credit. |
| INSURANCE |
Credit Life Insurance is not available at this time.
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