Home Equity Loans/LOC
Making use of the equity in your home to achieve your goals makes good financial sense in many situations. Home equity loans and lines of credit are secured by your most important investment, your home; therefore, we can offer rates and terms that are generally more favorable than with other types of loans.
Apply for a Home Equity Loan/LOC
Home Equity Loan
A Home Equity Loan provides a one-time lump sum with a fixed interest rate and set repayment term, allowing for predictable monthly payments over the life of the loan.
- Available in 5-, 10-, 15-, and 20-year terms
- Borrow up to 80% of the equity in your home (appraised value minus the amount owed on your first mortgage)
- Maximum loan amount of $250,000
- Rates may vary based on creditworthiness, loan-to-value, and loan term
Consult your tax advisor regarding the deductibility of interest.
To obtain current rate information or to apply online, select the loan product you are interested in. To speak with a loan representative or schedule an appointment, call 413-536-0475 or visit our Chicopee or Belchertown branches.
Home Equity Line of Credit
A Home Equity Line of Credit (HELOC) provides a revolving line of credit secured by your home, allowing you to access funds as needed during the draw period.
- Borrow up to 80% of the equity in your home (appraised value minus the amount owed on your first mortgage)
- Maximum loan amount of $250,000
- 10-year draw period followed by a 10-year repayment period
- Rates are variable and may increase or decrease based on market conditions
- Rates and programs vary based on creditworthiness and loan-to-value
Consult your tax advisor regarding the deductibility of interest.
Additional Information
All loans are subject to credit approval. Rates, terms, and conditions are subject to change without notice.
| Term | Interest Rate | APR | Payment per $1000 |
|---|---|---|---|
| 5 Year | 5.990% | 5.990% | $19.33 |
| 10 Year | 6.490% | 6.490% | $11.35 |
| 15 Year | 6.740% | 6.740% | $8.84 |
| 20 Year | 6.990% | 6.990% | $7.75 |
Payment Disclosure:
Payment examples are for illustrative purposes only and are based on the stated rate and term. Actual payments may vary based on loan amount, creditworthiness, and other factors.
Loan Terms & Requirements
- Minimum Loan Amount: $5,000
- Maximum Loan Amount: $250,000
- Maximum Combined Loan-to-Value (CLTV): 80%
Important Information
- Property insurance is required. Flood insurance may be required where applicable.
- First position lien home equity loans require lender’s title insurance, which must be paid by the member at closing.
Loan Disclosures
All loans are subject to credit approval. Rates, terms, and conditions are subject to change without notice. Annual Percentage Rate (APR) reflects the cost of credit over the term of the loan.
| Product | Interest Rate | APR | Payment per $1000 |
|---|---|---|---|
| Home Equity Line of Credit
* Rate is based on the highest Prime Rate published in the Wall Street Journal on the last business day of the month. |
6.75% | 6.75% | Minimum payment required $50.00* |
Interest Rate / Annual Percentage Rate (APR):
The interest rate and Annual Percentage Rate (APR) are variable and currently 6.75%, based on the highest Prime Rate published in the Wall Street Journal on the last business day of the month. The rate may change monthly based on changes in the Prime Rate.
Loan Terms:
- Minimum Loan Amount: $10,000
- Maximum Loan Amount: $250,000
- Term: 10-year draw period followed by a 10-year repayment period
- Maximum Combined Loan-to-Value (CLTV): 80%
- Investment and Secondary Homes: Prime + 1%, maximum 75% CLTV
Important Information:
- Property insurance is required. Flood insurance may be required where applicable.
- This is a variable-rate product and the APR may increase after account opening.
- The maximum APR that can be imposed is 18%.First position lien HELOCs require lender’s title insurance, which must be paid by the member at closing.
Prepayment Penalty:
If the line of credit is paid off and closed within the first 36 months, a $350 prepayment penalty will apply. This fee is waived if the loan is refinanced with Alden Credit Union.
Loan Disclosures:
All loans are subject to credit approval. Rates, terms, and conditions are subject to change without notice. Annual Percentage Rate (APR) reflects the cost of credit over the term of the loan. Payment examples, if provided, are for illustrative purposes only and may not reflect actual loan terms.
Property insurance is required. Flood insurance may be required where applicable.
Home equity lines of credit are variable-rate products and rates may increase after account opening.
APR: Annual percentage rate