Put your home to work for you.
Use the equity you've built to tackle home improvements, consolidate expenses and high-interest bills, or pay for college.

Home Equity Line of Credit (HELOC)

HELOCs are beneficial because you're only paying interest on the funds you actually use, so if you're not sure how much money you'll need, or when you'll need it, then a HELOC can be a good option. As with any loan, you'll want to talk to a financial expert and be confident you can pay off the HELOC before establishing one.

Some Benefits to a Home Equity Line of Credit

You pay interest only on the amount you have borrowed
Rate discounts available for auto pay from your WaFd checking account.
NO annual renewal fees
How a HELOC works
Benefits of working with WaFd Bank
We keep your loan and don't sell it to Wall Street or Fannie Mae.
Our experts are standing by to help you with every step.
We are not paid on commission, so your needs come first.

Your neighborhood loan officer can help you get started

Save Up to $600 on Closing Costs With a Checking Account From WaFd Bank*

Frequently Asked Questions

What can a home equity loan cover?

A HELOC* can cover

  • Remodels and repairs
  • Educational costs
  • Energy-efficient appliances
  • A more fuel-efficient car
  • Medical bills
  • Unexpected expenses

*Not available in Texas.

What is a HELOC?

A HELOC is a loan that is underwritten using your current home’s value. For example, if you’ve owned your home for 10 or so years, then you likely have a significant amount of equity, or money, invested in it.

A HELOC essentially serves as a sort-of second mortgage, so the bank would give you a maximum loan amount for you to use based on the equity that you have in your home.

HELOCs have a “draw period,” typically ranging from 5 to 10 years, during which time borrowers can access the funds. During the draw period, the borrower is only required to pay interest on those funds that they actually drew out and used. After the draw period closes, borrowers are required to pay off the HELOC, or refinance it to another loan, during the repayment period. Repayment periods typically range from 10-20 years.

What's the advantage of using a HELOC?

HELOCs are beneficial because you’re only paying interest on the funds you actually use, so if you’re not sure how much money you’ll need, then a HELOC can be a good option. As with any loan, you’ll want to talk to a financial expert and be confident you can pay off the HELOC before establishing one.

Remember, ultimately the goal of homeownership is to own your house free and clear, so if you’re unsure as to whether you can handle additional payments after the draw period, then you may want to explore other avenues of funding, or look at adjusting your existing budget.


* To qualify for the maximum $600 discount, before closing documents are prepared you must (1) have or open the WaFd checking account, (2) register for EZ-Pay from the new checking account, and (3) sign up for direct deposit of at least one form of a monthly recurring source of income.