Home Equity Loan & Line Of Credit: Know Which One Is Right For You
By Tara Millar | Sep 23, 2010
A home equity loan and a line of credit allow you to borrow money with the use of your home as collateral. This might mean that if you’ll not be able to pay the money back, the lender might sell your home to get back the money you borrowed. These 2 are both usually referred to as second mortgages. The reason to consider a second mortgage differs; some could include bill consolidation, college tuition, health costs and home repairs. When it comes to loans, these 2 types are popular. Before you proceed on a second mortgage though, you must be able to differentiate between a home equity loan and a line of credit.
