Whats the difference between a fixed rate, fixed term home equity loan and a home equity line-of-credit?
A fixed rate, fixed term home equity loan is a specific dollar amount borrowed for a specific period of time. The borrower cannot add on to the loan and must repay the agreed upon monthly payment until the loan is paid in full. A home equity credit line provides a revolving source of funds for all your borrowing needs. With a credit line, you may access and repay your credit line, up to its limit, however often you wish, up to maturity.
