Here at Provident State Bank, your local bank, we want our customers to know about the usefulness of home equity lines of credit (HELOC). A HELOC allows you to borrow against the value of your home so that you can complete repairs or renovations, make a large purchase like a car, pay for school tuition or cover the costs of special events like weddings. This line of credit also provides you access to your equity whenever you need it, without having to reapply for it every single time. Several advantages of using a HELOC from PSB includes:

 

  • A 10-year draw period (the time during which you can consistently borrow and pay back your line of credit), followed by a 20-year repayment period. During those first 10 years, your minimum payments can be as low as the interest only on your outstanding balance.

  • HELOC clients from Provident State Bank will have various ways to access their lines. They can choose to come to their local bank or do so over the phone with our dedicated representatives, giving them control over their personal time. They also will receive free HELOC checks that will come pre-printed with your account information.

  • Is your checking account with PSB? If so, you can benefit from discounts of up to 0.50% for allowing your minimum monthly payments directly debited from your account.

 

A unique aspect of a PSB’s HELOC is its “carve out” feature. For example, maybe you have bought a car or made another large purchase and you would like to pay that back at a fixed interest rate for a certain period of time. As a HELOC client, you are allowed up to two “carve out” loans at a time. Even better, the money that you use to pay down the principal balance on your “carve out” loan will go back to the available balance of your line of credit. You will find that the rates and fees of the PSB’s HELOC are:


  • Minimal closing costs — This means that Provident State Bank, your local bank, will pay half of your closing costs (provided that you keep your line of credit open for at least three years)

  • Variable interest rate — This floats at WSJ Prime + 0% with a deposit relationship at PSB Bank

 

Here at Provident State Bank, your local bank, we cannot wait to tell you more about how a HELOC will make life easier. Contact us or stop by today!