Home Equity Loan

A home equity loan allows you to borrow funds using your home as collateral. 

What is “Equity”?

Equity is the current value of your home minus the amount you owe on other mortgages. The amount you can borrow is based on the equity you have in your home. 

How a Home Equity Loan Works

Sometimes called a second mortgage, a home equity loan is a lump sum of money you borrow against the equity of your home. Just as your first mortgage is secured by the property, so is the home equity loan. You may qualify for up to 100% of the appraised value of your home, minus the balance of your first mortgage.

You repay the loan with equal monthly payments over a fixed term. Interest rates are fixed over the life of the loan to allow you to budget best. 

Prefer the flexibility of accessing available funds on an ongoing basis? Consider a Home Equity Line of Credit.

Get Started

Your Elements Home Equity Loan is best for purchases such as:

• Planned home-improvement projects
• College (paying off student loans or paying tuition directly)
• A second home
• Debt consolidation

Get Started

There are benefits and trade-offs to all loans, especially when it comes to paying off major expenses. Both of the home-equity options allow you to borrow against the appraised value of your home, providing you with cash when you need it. Here are some of the differences:

Home Equity Loan

A home equity loan is more like your original home mortgage. You borrow a specific amount, and then you make regular payments during a fixed repayment period. You apply for the amount you need and receive the money upfront in a lump-sum single payout. Interest rates are fixed over the life of the loan so your payments never change. 

Home Equity Line of Credit

Unlike a conventional loan, a home equity line of credit is something you establish ahead of time and use when and if you need it. In that way, it’s similar to a credit card, except with a HELOC, your home is used as collateral. You can access as much or a little as you need from your HELOC, whenever you need it, up to the credit limit established at closing. A HELOC gives you the flexibility to borrow against your home equity, repay and repeat. Interest rates are variable and often lower than a home equity loan.

Use the chart below to determine which is better for your needs. As always, your support team at Elements is ready to help you find the product that is best for you—just give us a call at 1-317-542-5055.

There are no prepayment penalties or an annual fee associated with a home equity loan. Closing fees typically run between $538 to $641.

You will be given the funds in a lump-sum single payout at closing. The funds can be given to you by check or direct deposit into an account of your choosing.

We do offer consolidation loans to consolidate bills and pay off other debts. A Home Equity Loan (see information on this page) can be used for that purpose. Other options available to most members include Personal Loans, Home Equity Line of Credit, or even a first mortgage refinance with a debt consolidation option.

Like a Bank, Only Better!

Better Rates. Fewer Fees.

Because we’re a credit union, we return profits to members in the form of reduced fees, higher savings rates and lower loan rates.

Trusted Advice. Fresh Approach.

We pride ourselves in being a trusted source for financial education. We come to your workplace to answer questions and can provide you with personalized guidance about your loan.

Respected Locally. Accessed Globally.

Headquartered in Indianapolis since 1930, we rank among the top 3% of credit unions nationally². We serve members in all 50 states and 50+ countries. You’ll have access to 5,000+ shared branches nationwide and 78,000+ surcharge-free ATMs globally.

High Tech. Human Touch.

Our technology makes banking with Elements easy. From quick digital applications to online and mobile banking, we’ll be by your side wherever you go. We’re here for you with member service available 24/7 and live chat during the workday.

Get Started

3 Easy Steps to Apply

1. Apply online - You can apply online in as little as 10 minutes! Submit your application anytime or call 1-800-561-9433 to get started. Have ready your government-issued ID (driver’s license, state ID, or passport) and estimates of your household income, assets, home value and price you paid for your home.
2. Take our call - We'll contact you within one business day after you submit your application to go over what documentation we'll need and to answer your questions.
3. Schedule your closing - We'll contact you with a decision within 10 business days and schedule a closing at a location convenient to you if approved. That's it — your loan can be put to work!

Apply Now