Borrower Beware: Home Equity Loan RisksBy Debbie Wilson
Loan Page Columnist
Email a Friend Printer Friendly
Taking out a home equity loan can help you cover critical expenses like college tuition, a new car, or home improvements. But there are some pitfalls you should be aware of before you sign on the dotted line.
Home Equity Loan PitfallsThe following warning signs of a home equity loan that could land you in financial trouble can help you make a more informed decision regarding your mortgage.
Finally, it is important to note that if you are borrowing against the equity in your primary residence, you have a legal right to walk away from that mortgage, for any reason, within three days of its issue. The Truth in Lending Act requires you to cancel your loan in writing and the lender must release its interest in your home and return all fees to you.
So, next time you need extra cash for education, home repair, or other important items, do a little research before signing on the "home equity loan" dotted line and keep your home safe and sound, just the way it should always be.
About the AuthorDebbie Wilson currently operates a lakeside resort. Debbie holds a B.A. in Business Management with a minor in Physical Education.
30-Year Fixed Rate -Get Mortgage Quotes In Your Area
15-Year Fixed Rate -Get Mortgage Quotes In Your Area