For Legal Information. Home Equity Credit Lines Understand the risks before opening up a home equity credit line. Find out what the rate will be at the end of that period. Most credits lines have variable interest rates. If the interest rate goes up, so does your monthly payment.
Some lenders charge continuing fees.
When you open a home equity account, you have three days to cancel the transaction, for any reason. You must cancel in writing. Using a credit line to borrow against the equity in your home has become a popular source of consumer credit. And lenders are offering these home equity credit lines in a variety of ways. You will find most loans come with variable interest rates, some come with attractive low introductory rates, and a few come with fixed rates.