logo Login
Category: Personal Loans

Home Equity Financing

open
What’s the difference between a home equity loan and home equity line of credit?
x
What’s the difference between a home equity loan and home equity line of credit?
Both loan types use the borrower’s residence as collateral. Home Equity Loans are term loans with a fixed monthly payment for a fixed term. Home Equity Lines of Credit are revolving (sort of like a credit card), meaning you only pay for your line of credit when you use it.
open
How do I make payments on my home equity loan or line?
x
How do I make payments on my home equity loan or line?

If you have a MutualBank checking or savings account in addition to a home equity loan / line of credit you have with us, you can make payments in online banking via transferring funds between accounts.

If you do not have a MutualBank checking or savings account, you can:

  • Set up payment through your bank of choice via their bill payment system
  • Use our Same Day Pay online service to send an urgent payment ($4 per payment)
  • Contact our Customer Support or visit any Financial Center location and we can help set up a transfer from your bank account to pay your payments.
open
What can I use home equity loans for?
x
What can I use home equity loans for?
Borrowers may use home equity loans for a variety of purposes. Some common examples include: purchasing a vehicle, education financing, renovation financing, or financing a business.
open
What does “end of term” mean in regards to my home equity loan? What happens?
x
What does “end of term” mean in regards to my home equity loan? What happens?
Home Equity loans are amortizing loans with payments scheduled so that the loan will be paid in full at maturity. If there have been additional payments made, or payments not made as scheduled, the borrower may owe less or more in the final payment.
open
How far in advance should I prepare for my home equity loan end of term?
x
How far in advance should I prepare for my home equity loan end of term?
We recommend that you contact us at least 12 months prior to the maturity date so that a banker can provide you with information on the anticipated payoff amount based on your remaining scheduled payments. We also recommend that you contact us before your last two scheduled payments.
open
What does “end of draw” mean relative to my home equity line of credit? What happens?
x
What does “end of draw” mean relative to my home equity line of credit? What happens?
MutualBank home equity line of credit agreements typically contain a 10-year draw period during which the borrower may draw funds from the credit line. For the next 10 years, the loan enters a period where 2% of the outstanding balance is the minimum payment due each month. Any balance remaining is due on the maturity date of the 20-year loan.
open
How far in advance should I prepare for my end of draw?
x
How far in advance should I prepare for my end of draw?
If you want to have a longer draw period, we recommend you plan on making a new application at least 45 days in advance of the maturity date.
open
How do I request an increase in my home equity line of credit limit?
x
How do I request an increase in my home equity line of credit limit?

A permanent increase in a home equity line will be a new loan in most cases. Please contact us to discuss options.

open
How many years will I have access to draw from my home equity line of credit?
x
How many years will I have access to draw from my home equity line of credit?

In most cases, you'll have 10 years access to draw from your line of credit.

open
Can I get checks for my home equity line of credit? How?
x
Can I get checks for my home equity line of credit? How?

Yes, you may contact the MutualBank Customer Support line (800-382-8031) or your local financial center to order checks on your behalf.

 

 

These questions and answers are provided for general information only and may not be completely accurate in every situation. The information provided is not legally binding on MutualBank or any of its affiliates or subsidiaries. For assistance with specific questions regarding your account(s), please contact us.

ALL YOU NEED TO KNOW

Frequently Asked Questions

 

 

Back To Top

questionmark sign - Mutual BankNeed Help?