Repayment of a home equity line of credit requires that the borrower makes a monthly payment to the lender. During the draw period the monthly payment amount will vary based on the amount of the line that is outstanding, any additional draws taken, and the variable interest rate. During the repayment period, the payment includes both repayment of the loan principal, plus monthly interest on the outstanding balance. In this payment example, loan payments for the repayment period are amortized so that the monthly payment remains the same throughout the repayment period, but during that time, the percentage of the amount that goes towards principal will increase as the outstanding mortgage balance decreases. Your actual rate and monthly payment will vary based on changes in the interest rate during the repayment period.
Calculate a Home Equity Line of Credit Payment
This calculator is for illustrative purposes only, and is based on information you provided. Actual payment, interest rate, and loan amortization schedule will be determined at time of loan approval.