Whether you need a loan for that home improvement project or just want a line of credit in case of an emergency, Bell State Bank & Trust can help you find a loan or line of credit that suits you.
Let us help you determine which equity-based loan is best for you. To apply, just call any Bell State Bank & Trust location. We generally will need the following:
Check with us on the loan you need, and see what we can do for you! Contact a personal banker.
A home equity loan is a type of loan in which you use the equity – the current market value minus the balance you still owe on your mortgage – you’ve built up in your home as collateral.
Compared to other loan options such as personal loans, a home equity loan at Bell State Bank & Trust has many benefits:
If you’ve been thinking about adding on to your house, remodeling or redecorating, using the equity in your home could make a lot of sense. People just like you also use home equity loans for education payments, medical bills, wedding expenses, vacations and consolidating debt.
Here’s another one. If you’re thinking about buying a new car, you may want to consider a home equity loan. Why? Home equity loan interest may be tax deductible; interest on an auto loan is not. When you compare a home equity loan to an auto loan, you should include the benefit of a tax deduction to find out which provides the least cost to you, the borrower. Consult your tax advisor to learn more about the tax benefits of a home equity loan.
A home equity loan and a home equity line of credit (HELOC) are not the same; however, both are based on the equity you’ve built up in your home. The main difference is that a home equity loan is taken as a lump-sum, one-time loan with a fixed interest rate, while a HELOC is a revolving “line of credit” that remains available to you for a specified time period, with an adjustable interest rate that is applied to the outstanding balance. HELOCs are used primarily as financial safety nets, or “rainy-day funds.”
Most people choose a home equity loan if they:
On the other hand, a HELOC might be the right way to go for people who:
Do you have a question, or need more information about home equity loans? Contact one of our personal bankers.