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Home Equity Line of Credit, Think Twice!

Home Equity Line of Credit, Think Twice!

It amazes me how many people have a home equity line of credit (HELOC) on their primary residence.  What’s even more amazing is of those people, how many have one with a zero balance.  What is a home equity line of credit?  It simply could be viewed as a credit card that is secured by the consumer’s home.  So if a consumer has a zero balance, why is that so bad?  Well, here is the dirty little secret that the bank doesn’t tell the consumer when they are giving them a HELOC.  Read the rest of this entry