Home Equity | Borrow | First Alliance Credit Union

First Alliance offers a fixed-rate home equity loan or a flexible home equity line of credit (HELOC). Both options let you access the equity in your home to pay for a wide variety of expenses such as: home remodeling projects, education expenses, weddings, medical debts, and more.

Home Equity Line of Credit (HELOC)

Our Home Equity Line of Credit (HELOC) is the choice for someone who likes having the flexibility to draw funds when they need it and can use it for most any purpose.

Designed for use in your primary residence.
An open-ended line of credit you can manage through Online Banking.
Monthly payment changes based on the amount you owe.
The interest you pay may be tax deductible - consult your tax adviser for more information.

Fixed Rate Home Equity Loan

Unlike a HELOC, which a variable rate line of credit, a fixed rate home equity loan is a closed end loan with a fixed interest rate. It's an especially good option if you're going to make a large one-time investment, such as repairing or remodeling your home, or buying a second home.

The interest rate and monthly payment remain the same over the life of the loan.
The interest you pay may be tax deductible (consult your tax adviser for more information).

Current Home Equity Rates

Type	APR*
Line of Credit	4.250%
Fixed Rate	5.450%

Effective May 1, 2020

APR = Annual Percentage Rate. Rate applies to Home Equity Lines of Credit with a loan to value (LTV) of 80% or less. Other rates and terms are available. Rate is tied to the variable Prime Rate. The index is the Prime Rate published in the Wall Street Journal. Rate subject to change without notice.

Contact a Real Estate Lending Advisor for details. Call: 507-288-0330.

Home Equity Loan FAQs

Do home equity loans require a down payment? Home equity loans don't require a down payment, because you are using the equity in your home as the loan amount. We do like to keep the loan-to-value ration under 90% when possible.

How long does the loan application process take? It varies depending upon your specific situation. Typically, if no appraisal is needed, it will take about two weeks. If an appraisal is needed, then the process will take longer, possibly up to four weeks. Our lenders will keep you up to date on the progress of your appraisal.

Where does the home equity loan close? The home equity loan closes in our branch offices.