Home Equity Lines of Credit shape of a house made with different home improvement tools like brushes, rulers, paint sticks, hammer

A Home Equity Line of Credit from CPM Federal Credit Union allows you to take advantage of the equity you’ve built in your home. A Home Equity Line of Credit is a flexible and affordable way to use your home’s equity for some of life’s largest expenses. For example, we find that a lot of borrowers want to:

  • Remodel or renovate
  • Pay for a family member’s college education
  • Finance the purchase of a vacation home
  • Consolidate high-interest debts
  • Take that much-deserved dream vacation

How does a Home Equity Line of Credit work?

The equity is calculated by using the appraised value as stated by an approved appraisal company. The difference of the appraised value minus any outstanding mortgages equals your total equity. Once your HELOC is established you can easily transfer from your CPM HELOC to your CPM checking account using our mobile and online banking.  The process is as simple as transferring from your CPM savings account to your checking account, and the transferred funds are available immediately.  There is no need for separate checks or a separate debit card to access your HELOC funds.  You can also transfer just as easily in the other direction when you want to pay down your HELOC.  If you do not have online banking,  you can request checks or request a withdrawal at any CPM location.

Advantages of Home Equity Lines

  • Home equity lines are attractive to borrowers for a few main reasons:
  • Extended repayment schedules help to keep your payment low and affordable
  • Have a lower interest rate (or APR)
  • Easy access to your Line of Credit using online banking
  • Payments on a home equity line may be tax deductible (consult your tax advisor)
  • Fixed Rate Option offers a fixed rate throughout the life of the loan and a set payment. Rates as low as 4.99%!
  • Variable Rate Options offers a variable rate tied to the Prime rate. 0.99% introductory rate/as low as Prime*
  • Borrow up to 90% of your home's value