A HELOC is a great choice for homeowners looking to finance major needs. Talk to us about using your equity to secure flexible credit.
- Competitive rates for several ongoing or seasonal needs:
- Education expenses
- Major life events
- Major home improvements
- Emergency reserve
- And much more
- The existing equity in your home is used as collateral backing
- Flexible repayment terms that work uniquely for you
- Funds available anytime without reapplying; apply once, then use repeatedly thereafter
- Revolving credit – as principal is repaid, more becomes available for use
- Funds easily available via check, in-branch withdrawal, or online banking transfer
- The interest paid might be tax deductible1
- Set up automatic payments to be deducted from your account monthly
- Local decision-making and processing
- Friendly, professional service from start to finish
HOME EQUITY APPLICATION DISCLOSURE
IMPORTANT TERMS OF OUR
HOME EQUITY APPLICATION DISCLOSURE
This disclosure contains important information about our HELOC Decision Pro (the "Plan" or the "Credit line"). You should read it carefully and keep a copy for your records.
AVAILABILITY OF TERMS. All of the terms of the Plan described herein are subject to change. If any of these terms change (other than the ANNUAL PERCENTAGE RATE) and you decide, as a result, not to enter into an agreement with us, you are entitled to a refund of any fees that you paid to us or anyone else in connection with your application.
SECURITY INTEREST. We will take a security interest in your home. You could lose your home if you do not meet the obligations in your agreement with us.
POSSIBLE ACTIONS. Under this Plan, we have the following rights: We can terminate your account, require you to pay us the entire outstanding balance in one payment, and charge you certain fees if:
- (a) You engage in fraud or material misrepresentation in connection with the Plan.
- (b) You do not meet the repayment terms of the Plan.
- (c) Your action or inaction adversely affects the collateral for the Plan or our rights in the collateral.
We can refuse to make additional extensions of ' credit or reduce your credit limit if:
- (a) The value of the dwelling securing the Plan declines significantly below its appraised value for purposes of the Plan.
- (b) We reasonably believe you will not be able to meet the repayment requirements due to a material change in your financial circumstances.
- (c) You are in default of a material obligation of the Plan.
- (d) Government action prevents us from imposing the annual percentage rate provided for under the Plan or impairs our security interest such that the value of the interest is less than 120 percent of the credit line.
- (e) A government authority has notified us that continued advances would constitute an unsafe business practice.
- (f) The maximum annual percentage rate is reached. The initial agreement permits us to make changes to the terms of the Plan at specified times or upon the occurrence of specified events.
The initial agreement permits us to make changes to the terms of the Plan at specified times or upon the occurrence of specified events.
Fees and Charges. In order to open and maintain an account, you must pay certain fees and charges.
Lender Fees. The following fees must be paid to us:
At Account Opening
At Account Opening
Upon Each Occurrence
Late Charge. Your payment will be late if it is not received by us within 10 days after the "Payment Due Date"shown on your periodic statement. If your payment is late we may charge you 5.000% of the unpaid amount of the payment or $7.40, whichever is greater. If you already have a mortgage on your home, the late charge will not be less than $7.40 and it will not be greater than the maximum late charge dollar amount allowed under the South Carolina Consumer Protection Code, currently $18.50.
Third Party Fees. You must pay certain fees to third parties such as appraisers, credit reporting firms, and government agencies. These third party fees generally total between $700.00 and $3,000.00.
We estimate the breakdown of these as follows:
|Appraisal||$350.00- $500.00||At Account Opening|
|Recording||$25.00-$45.00||At Account Opening|
|Lender's Title Insurance||$2.50-$3.50 per $1,000 borrowed||At Account Opening|
|Title Binder Fee||$2.50-$3.50 per $1,000 borrowed||At Account Opening|
|Georgia Residential Mortgage Fee||$10.00||At Account Opening|
|Attorney Fee||$250.00-$550.00||At Account Opening|
PROPERTY INSURANCE. You must carry insurance on the property that secures the Plan.
MINIMUM PAYMENT REQUIREMENTS. You can obtain advances of credit during the following period: 240 months (the "Draw Period"). Your Regular Payment will equal the amount of your accrued FINANCE CHARGES. You will make 239 of these payments. You will then be required to pay the entire balance owing in a single balloon payment. If you make only the minimum payments, you may not repay any of the principal balance by the end of this payment stream. Your payments will be due monthly. Your "Minimum Payment" will be the Regular Payment, plus any amount past due and all other charges. An increase in the ANNUAL PERCENTAGE RATE may increase the amount of your Regular Payment.
MINIMUM PAYMENT EXAMPLE. If you made only the minimum payment and took no other credit advances, it would take 20 years to pay off a credit advance of $10,000.00 at an ANNUAL PERCENTAGE RATE of 6.250%. During that period, you would make 239 monthly payments ranging from $47.95 to $53.08 and one final payment of $10,053.08.
TRANSACTION REQUIREMENTS. The following transaction limitations will apply to the use of your Credit Line:
Credit Line HELOC Check, Telephone Request, Overdraft, In Person Request and Request By Mail Limitations. There are no transaction limitations for the writing of HELOC Checks, requesting an advance by telephone, overdrawing a designated deposit account, requesting an advance in person or requesting an advance by mail.
TAX DEDUCTIBILITY. You should consult a tax advisor regarding the deductibility of interest and charges for the Plan.
VARIABLE RATE FEATURE. The Plan has a variable rate feature. The ANNUAL PERCENTAGE RATE (corresponding to the periodic rate), and the minimum payment amount can change as a result. The ANNUAL PERCENTAGE RATE does not include costs other than interest.
THE INDEX. The annual percentage rate is based on the value of an index (referred to in this disclosure as the "Index"). The Index is the "Base Rate on corporate loans posted by at least 70% of the 10 largest U.S. banks known as the Wall Street Journal U.S. Prime Rate". Information about the Index is available or published in the Wall Street Journal. We will use the most recent Index value available to us as of the date of any annual percentage rate adjustment. If the Index is no longer available, we will choose a new Index and margin. The new Index will have an historical movement substantially similar to the original Index, and the new Index and margin will result in an annual percentage rate that is substantially similar to the rate in effect at the time the original Index becomes unavailable.
ANNUAL PERCENTAGE RATE. To determine the Periodic Rate that will apply to your account, we add a margin to the value of the Index, then divide the value by 12 (monthly) . To obtain the ANNUAL PERCENTAGE RATE we multiply the Periodic Rate by 12 (monthly) . This result is the ANNUAL PERCENTAGE RATE. A change in the Index rate generally will result in a change in the ANNUAL PERCENTAGE RATE. The amount that your ANNUAL PERCENTAGE RATE may change also may be affected by the lifetime annual percentage rate limits, as discussed below.
Please ask us for the current Index value, margin and annual percentage rate. After you open a credit line, rate information will be provided on periodic statements that we send you.
FREQUENCY OF ANNUAL PERCENTAGE RATE ADJUSTMENTS. Your ANNUAL PERCENTAGE RATE can change by increasing or decreasing monthly beginning the 1st of the month, after remaining fixed for 30 days. There is no limit on the amount by which the annual percentage rate can change during any one year period. However, under no circumstances will your ANNUAL PERCENTAGE RATE exceed 18.000% per annum or, go below 3.250% per annum·at any time during the term of the Plan.
MAXIMUM RATE AND PAYMENT EXAMPLE. If you had an outstanding balance of $1 0,000.00, the minimum payment at the maximum
ANNUAL PERCENTAGE RATE of 18.000% would be $152.88. This ANNUAL PERCENTAGE RATE could be reached immediately or prior to the
PREPAYMENT. You may prepay all or any amount owing under the Plan at any time without penalty.
HISTORICAL EXAMPLE. The example below shows how the ANNUAL PERCENTAGE RATE and the minimum payments for a single $10,000.00 credit advance would have changed based on changes in the Index from 2004 to 2018. The Index values are from the following reference period: as of November 1st. While only one payment per year is shown, payments may have varied during each year. Different outstanding principal balances could result in different payment amounts.
The table assumes that no additional credit advances were taken, that only the minimum payments were made, and that the rate remained constant during the year. It does not necessarily indicate how the Index or your payments would change in the future.
|Year (as of November 1st)||
|Annual Percentage Rate||Monthly Payment (Dollars)|
(1) This is a margin we have used recently; your margin may be different.
1Consult a tax advisor.