SIGNIFICANCE

A Countrywide home equity loan comes in handy when you are short on cash and need to take care of your personal obligations. If you need to make repairs to your home, pay bills, consolidate your debts, purchase a new vehicle or take a vacation, you can do all of these things and so much more with a home equity loan. Over the years, millions of people in the United States have taken advantage of Countrywide's loan programs. Fortunately, Countrywide continues to offer home equity loans and lines of credit at affordable rates for consumers.

TYPES

Countrywide has two types of home equity loans for customers to choose from: the home equity line of credit and the Super Streamline home equity line of credit. Both loan programs allow customers to borrow money from their revolving line of credit when they need it for the designated time period that is outlined in the loan terms. In order to qualify for a line of credit, applicants must use the equity in their home to secure the loan. However, the Super Streamline line of credit is for people who already have a home loan through Countrywide. These individuals may qualify for a home equity line of credit for up to 80% of the value of their home.

FUNCTION

In order to obtain a Countrywide Home Equity Loan, you must complete an application and go through the approval process. Countrywide will verify all of the information that you provide them, including your name, address, Social Security number, employment information and credit history. You may complete the loan application in person at a Countrywide financial center, online or over the phone. Once your application is approved, a loan agent will discuss the details with you and provide you with helpful information on how to access your line of credit. In addition, you must sign important documents, such as a promissory note, stating that you agree to the terms of the loan and that you will make your monthly payments on time.

FEATURES

Countrywide loans come with several special features. First of all, you can access your funds anytime during the "draw" period (the length of time the credit line is open), and you may obtain your money through your bank account. And as you continue to pay your balance, you can reuse your credit line over and over again during the draw period. Secondly, you may choose to make interest only payments during the draw period. Next, the monthly rate for the loan is based on your outstanding balance, so you are not locked into a set rate. In addition, the interest payments on a loan are normally tax deductible. Lastly, Countrywide offers electronic payment options, and you can also manage your account online.

WARNING

Please be aware that if you do not repay your loan you stand at risk of losing your home. Making late payments or defaulting on your home equity loan can also affect your credit history. In addition, Countrywide home equity loans and lines of credit are currently not available to residents living in Arkansas or West Virginia, and there are restrictions for those living in the states of Texas and New York and the District Of Columbia.