Decision time! Home Equity Line of Credit or a Loan?

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Jennifer Streaks Financial Post

Home Equity Finance Options are a Great Choice for Homeowners

This post was sponsored by Capital One but the words and thoughts are my own.


It’s that time of year again. The time when you start to think about your home. During and after winter, there may be home issues that make themselves known. A roof that needs repairing, floors that need refinishing, a furnace that needs replacing, etc.

Home repairs and renovations no matter how expensive will always need to be done. Of course for many homeowners getting the money to do them can pose a problem. So what are a few ways to secure the money to renovate your home?

You can apply for a personal loan. It will mean that you will have to have good to excellent credit in place of collateral. There will also be a shorter repayment time frame and no tax advantages.

Use a credit card. Actually, this is the way most home repairs and renovations are financed, but credit cards can have much higher interest rates.

Save up and pay cash. This might seem ideal for most, but it will take time and patience and what happens if there is an immediate need like the furnace goes out in February?

I would say that a more streamlined way to do it would be to establish a home equity line of credit. Using your home equity may seem overwhelming, but there are many benefits to doing it. You will be using your home as collateral which means your credit score will not play as big of a role in the approval process. There can also be a longer repayment term which will lower the payment amount each month and not put a strain on you financially and the interest you pay is usually tax deductible which is a huge benefit.  Also, Capital One has made it much simpler to go through the entire process of pre-qualifying and applying on your own, too.

To get started with Capital One, visit Just by visiting the website, you can get your customized rate offer and estimated loan amount – with no impact to your credit score – and even begin the application process. It’s simple and there are no burdensome fees, either.

Whether you’re remodeling your home, consolidating debt, or starting a business, Capital One is there to help with simply smarter tools that help you choose the right option for your situation.

I also think it is important when making financial decisions that you are working with a financial institution that you can trust. Capital One is that financial institution you can be sure is looking out for your financial well-being while helping you meet your financial goals.

Visit for more information today.  And continue the conversation about great financial choices by following Jennifer on twitter @JStreaks and visiting her website at!



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