Home Equity Loans
Home Loans to Fit your Needs
Owning your own home has plenty of rewards. One major benefit is the equity you earn by paying down your mortgage over the years. With a Credit Union Home Equity Loan, you can tap into this equity to borrow the money you need today. Not a homeowner yet? Looking to refinance or step up to a larger home? We have First Mortgages, too. Our experienced home equity loan representatives will help you choose the loan that’s right for you.
Home Equity Line Of Credit†
Our low-interest Home Equity Loan is often your smartest loan choice. That’s because home equity interest is usually 100% tax deductible. Consult a tax professional for specifics. With a Home Equity Line of Credit, you borrow money as you need it. You pay interest only on the amount you actually borrow. As you repay your loan, you can borrow against the principal again.
How It Works
Borrow up to 90% of the current appraised value of your primary residence, minus your First Mortgage balance. With a Line of Credit you can borrow from $10,000 up to $200,000 for a convenient low-cost loan source. You must borrow a minimum of $10,000 at closing.
Payments are based on the amount borrowed from your credit line, not on your total credit limit. Payments are calculated on a 15-year term with a minimum monthly payment of $45. There are no pre-payment penalties.
The interest rate for a Home Equity Line of Credit is based on the current Prime Rate as published in the Wall Street Journal – minus .25% (as low as 4.99%). If the Prime Rate changes, your rate will be adjusted eﬀective the month following the rate change. The interest rate you pay will never be more than 12%.
Low or No Closing Costs*
A USPS FCU Home Equity Line of Credit or Second Mortgage Loan costs less than most other financing options because our rates are highly competitive. We will pay closing costs up to $1,000 for members in our Relationship Rewards and Free Access to Cash programs.
We make it easy for you to access your Home Equity Line of Credit. Your Home Equity Line of Credit comes bundled with any USPS FCU checking account (if you don’t already have one) so you can simply transfer funds from your Line of Credit to your Checking Account through our 24/7 services such as QUE Telephone Teller or CU E-LINK Home Banking.
You have 15 years to draw funds from your Home Equity Line of Credit. Monthly payments are required during this period. At the end of 15 years, no additional draws are allowed and you have 15 years to pay oﬀ the balance of your credit line.
Second Mortgage Loans†
USPS FCU also oﬀers fixed-rate Second Mortgage Loans with terms from 5 years up to 15 years. With a Second Mortgage Loan you can borrow from $10,000 up to $200,000 at a low, fixed rate that makes monthly budgeting easy. Qualified borrowers can tap up to 90% of their home’s equity, less First Mortgage balance.
*Your loan must close, be set up on your Credit Union account, and remain open for 36 months, or you will be responsible for reimbursing the Credit Union for all closing costs incurred by the Credit Union, including the cost of appraisal.
† Not available in Texas, Puerto Rico or the Virgin Islands.
Secure and Fair Enforcement for Mortgage Licensing Act
The Secure and Fair Enforcement for Mortgage Licensing Act (SAFE Act), requires credit union mortgage loan originators and their employing institutions to register with the Nationwide Mortgage Licensing System & Registry (NMLS). A listing of the mortgage loan originators of U. S. Postal Service Federal Credit Union can be found below:
Arthur Turcotte 608040
Connie Parham 608039
Susan Messick 608038
U. S. Postal Service Federal Credit Union 501858
If there are any questions, please call 800-877-7328 or visit the Mortgage Licensing System & Registry Consumer Site at www.nmlsconsumeraccess.org.