Lock in your rate on a HELOC and get funds when you need them.
Interest rates are rising: Lock in the rate on your Home Equity Line of Credit with a Fixed Rate Advance* and rest easy knowing you'll pay no more than your locked rate. Plus, get a $50 Home Depot gift card as an added bonus!
BECU is a not-for-profit credit union invested in the financial health of our members. It's one reason we keep our rates as low as we do – we want you to save as much money as possible. It's also why we're encouraging HELOC users to fix their rate on the advanced portion of their HELOC before interest goes up any further: Maintaining what you pay in interest is ideal during a positive economic climate when rates tend to climb higher. Rate hikes can hurt your wallet.
Whether it's a home improvement project, consolidating debt, or a major purchase, BECU wants you to rest easy by offering fixed-rate advances. As an added benefit, you can have up to three active fixed-rate loans at once. Wondering about rates? Check out our current rates.
There are no affiliated fees or costs when choosing to lock in the rate. Lock your rate on the advanced portion of your current loan, and we'll give you a $50 Home Depot gift card (only one card per HELOC, not per fixed-rate advance). Consider it an extra perk for taking advantage of one of your HELOC's already great benefits.
Say you have a HELOC with a maximum credit limit of $40,000, and you have $8,000 in outstanding debt. You're concerned about rising interest rates, and want to lock in the rate on what you already owe; you also plan to borrow $12,000 in the coming year for a bathroom remodel. Simply lock in the rate on the current $8,000. Then, when it's time to remodel, take a fixed-rate advance on $12,000. Keep in mind that rates are always changing: The rate you lock in today on your $8,000 may vary from the interest rate you lock in on the $12,000 you borrow a few months from now. However, you ultimately get the peace of mind by locking in the rate on major sums of money.
You now have two fixed-rate advance loans on your HELOC, both with locked interest rates. As time passes, you have multiple options on your remaining funds: lock in yet one more large loan, up to $20,000; draw from your remaining funds with no fixed rate; or, draw as you need it and eventually lock in a third loan once the amount exceeds $5K.
Enjoy the peace of mind from establishing a rate that stays put! Click below to get started.
*The APR for a Fixed Rate Advance (FRA) as of 07/01/2017 range from 4.29% -11.29%. FRAs provide for up to 15 years of monthly principal and interest payments, depending on the amount advanced. No more than 3 FRAs allowed at one time. Minimum amount for a FRA is $5,000. FRAs are subaccounts of a HELOC. Loan Program offered, including rates and terms, is subject to change without notice.
**Offer valid 7/26/17 – 9/15/17. Home Depot gift cards will be fulfilled within 60 days of completing an eligible fixed-rate advance. Gift cards will be emailed if there is a valid email on file, or mailed if we are unable to email. The $50 bonus may be reported to the IRS on form 1099-MISC as income at year end.