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What index is used to determine rates on home equity line of credit?

April 26, 2017determine home equity index line of credit rates Used

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What index is used to determine rates on home equity line of credit?

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The index is based on the The Wall Street Journal Prime Rate. This index plus the stated margin is what determines the home equity line of credit rate and annual percentage rate (APR). Note: This index is used in Arkansas, Arizona, Washington D.C., Florida, Georgia, Iowa, Illinois, Kansas, Maryland, Missouri, North Carolina, New Mexico, Nevada, Oklahoma, South Carolina, Tennessee and Vargina. In California, Idaho, Oregon and Washington the index is the equivalent coupon issue yield of the average bill rate for 26-week Treasury bills as published in the Money & Investing section of The Wall Street Journal. This index plus the stated margin is what determines the home equity line of credit rate and annual percentage rate (APR).