If you are looking for a way to utilize the equity in your home, but do not want to take out a lien or be stuck with very large payments, the Utilities Employees Credit Union Home Equity Visa Platinum credit card may be the perfect card for you. The card uses the equity in your home as the credit line, and you may borrow as much or as little as you wish. Additionally, because the card is secured by your equity, the interest rate is lower than it is for traditional cards.
If you do not want to use the equity in your home to find a card, you can search for many types of cards for people with bad credit here for FREE!
The Home Equity Visa Platinum card is one of four cards available through Utilities Employees Credit Union (UECU). The other types of cards are a secured card and two Visa cards, including one that is ideal for individuals who travel all over the world.
How the UECU Home Equity Visa Platinum Credit Card Works
The Home Equity Visa Platinum card works like any other credit card, except you use your equity for the credit line. Equity is defined as the amount of money that your home is worth minus the amount you owe on your mortgage. For example, if you house is worth $100,000 and your mortgage is $50,000, you have $50,000 in equity.
UECU allows you to have a credit limit that is 100% of your equity, but has to be a minimum of $5,000.
The annual percentage rate is based on the prime rate, but will not be higher than 18%.
It is important to look at all your choices when deciding to borrow against your home for a credit card. Do you qualify for other options such as a traditional credit card or a secured credit card? The Federal Reserve Board offers detailed information on home equity lines of credit if you’re unsure of the implications of drawing equity from your home.
Paying off your UECU Home Equity Visa Platinum Credit Card
You can set up automatic credit card payments from your checking or savings account to make monthly payments on your UECU Home Equity Visa Platinum card, but the minimum payment is at least $25 and can be as high as 1.5% of your outstanding balance.
Take a FREE look here for other cards that might offer a different way to borrow money!
- Utilities Employees Credit Union Share-Secured Visa Power Card
- Utilities Employees Credit Union Visa Global Assistance Credit Card
- Palmetto Citizens Federal Credit Union Visa Equity Credit Card
- Utilities Employees Credit Union Visa Power Card Credit Card
- SELCO Community Credit Union Visa Home Equity Credit Card
- S&T Bank Visa Rewards Credit Card
- Can I refinance credit card debt?