Third Federal HELOC... Does it usually take this long?

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corp_sharecropper
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Third Federal HELOC... Does it usually take this long?

Post by corp_sharecropper »

I began the process of opening a HELOC with Third Federal back on April 14th. We have been quite prompt providing all necessary documents and e-signing documents, almost always within 24hrs of the request. It is now in the final review (5 days ago). This is taking WAY longer than I imagined. Is this normal? I'm a little disappointed with the process. When I first spoke with them in April the rep said the whole thing would probably take 21 days, we're way beyond that. I have not received any indication that there's anything unique to our situation. Anyone else with a recent HELOC with Third Federal?
bkslaintesj
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Re: Third Federal HELOC... Does it usually take this long?

Post by bkslaintesj »

Not sure if normal but here's my recent experience. Applied on April 8th and was approved on May 28th. Longer than expected and the few times I called, they mentioned abnormal volumes. Now waiting on next steps but have not heard anything since May 28th.
fireman
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Re: Third Federal HELOC... Does it usually take this long?

Post by fireman »

Mine took about 2 months. Applied early March. Complete early to mid May. We didn't need the line of credit for anything specific so it was no issue but I did think that it was unnecessarily long (and would have been annoyed had we obtained the line for something specific).
Count of Notre Dame
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Re: Third Federal HELOC... Does it usually take this long?

Post by Count of Notre Dame »

They seem to have the lowest rates in the nation, so their volume must be off the charts?
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simplesimon
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Re: Third Federal HELOC... Does it usually take this long?

Post by simplesimon »

I'm in the early stages, I submitted an app a couple of weeks ago. They quoted me 75 business days originally but then I got a follow up email that it may "take longer than originally anticipated". I don't need the funds...still optimistic this will eventually happen.
rascott
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Re: Third Federal HELOC... Does it usually take this long?

Post by rascott »

Mine took less than 30 days, but that was last fall.
tonyclifton
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Re: Third Federal HELOC... Does it usually take this long?

Post by tonyclifton »

Ours started 2/11/21 and closed on 3/26/21. When we signed the paper work and I made mention of how long it seemed to take they said ours was fairly fast.
giddyup969
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Re: Third Federal HELOC... Does it usually take this long?

Post by giddyup969 »

Answered my own question
tbone555
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Re: Third Federal HELOC... Does it usually take this long?

Post by tbone555 »

I applied a little over a week ago. Just got notice that we are in review for final closing. Using a local credit union. 1.99% for first year then prime plus zero. 15 year term.
jharkin
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Re: Third Federal HELOC... Does it usually take this long?

Post by jharkin »

I have one in progress right now. My loan officer warned me that their volume is off the charts and the underwriting department is the hold up and to be ready for it to take 3 months. Appraisal came in low so I'm negotiating with them at the moment.

I had a prior HELOC with them on former house 3 years ago and that one took less than 3 weeks application to close so I believe this is a temporary slowdown.
nanotube
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Re: Third Federal HELOC... Does it usually take this long?

Post by nanotube »

Off topic but does anyone know how to get a referral to their Loyalty Perks Program to waive HELOC annual fees? Thanks.
CygX1
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Re: Third Federal HELOC... Does it usually take this long?

Post by CygX1 »

I am also shopping for a HELOC and looking for a referral to waive the AF with Third Federal. I would be grateful if any existing customer here would PM me.
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willthrill81
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Re: Third Federal HELOC... Does it usually take this long?

Post by willthrill81 »

I believe that ours took about two months to complete last year. It was very smooth, and I don't have any real complaints about it. The rate is still 2.99%, lower than the mortgage we paid off in early 2020.
“Good and ill have not changed since yesteryear; nor are they one thing among Elves and Dwarves and another among Men.” J.R.R. Tolkien, The Lord of the Rings
sport
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Re: Third Federal HELOC... Does it usually take this long?

Post by sport »

The most recent "loyalty perks" expired 8/31/21. https://www.thirdfederal.com/our-advant ... ks-program
xerxes101
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Re: Third Federal HELOC... Does it usually take this long?

Post by xerxes101 »

I talked to one of their agents today and he said 60 days to close since this HELOC is extremely popular..so IMHO be patient as it is worth the wait. :moneybag :beer
delconte
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Re: Third Federal HELOC... Does it usually take this long?

Post by delconte »

Loyalty Perks were extended to 10/31/2021. Was anyone able to get a referral to the program? Looking like I'll be using them within the next couple of months.
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sport
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Re: Third Federal HELOC... Does it usually take this long?

Post by sport »

delconte wrote: Sun Oct 10, 2021 1:32 pm Loyalty Perks were extended to 10/31/2021. Was anyone able to get a referral to the program? Looking like I'll be using them within the next couple of months.
If you open a small savings account, that makes you a customer. Then you should be able to refer yourself. From their web site:

"As a Third Federal customer, you’re automatically enrolled in our Loyalty Perks program. And we always keep the offering fresh, which means you can enjoy a wide variety of perks—just for being a valued customer. You can even share these benefits with family and friends!"
delconte
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Re: Third Federal HELOC... Does it usually take this long?

Post by delconte »

Looks like deposit accounts need to age for six months. "or have an established outstanding Third Federal deposit account that has been open for at least 6 months"
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audioaxes
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Re: Third Federal HELOC... Does it usually take this long?

Post by audioaxes »

I think this is with just about every lender these days. Took forever to do a HELOC with PNC.
Does anyone know if Third Federal gives an option to lock in your rate?
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cflannagan
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Re: Third Federal HELOC... Does it usually take this long?

Post by cflannagan »

Datapoint: Applied for HELOC on July 23, 2021. Rate was 2.24% (still is now)

Signed paperwork at closing on September 13. So that was 52 days from application date to closing date.

I have a (stupid) question for those who are more familiar with HELOC loans in general. It's 10 year draw, with 20 year repayment.

If I pay back some of principal during draw period, do I have access to that principal again? To illustrate an example: if I decide to draw $200k on day 1. Within the 10-year draw period, I happen to pay back $100k of principal (plus interest). Then I'm nearing end of draw period, do I have a choice of drawing $100k again before draw period ends?
calwatch
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Re: Third Federal HELOC... Does it usually take this long?

Post by calwatch »

cflannagan wrote: Tue Oct 12, 2021 9:33 pm I have a (stupid) question for those who are more familiar with HELOC loans in general. It's 10 year draw, with 20 year repayment.

If I pay back some of principal during draw period, do I have access to that principal again? To illustrate an example: if I decide to draw $200k on day 1. Within the 10-year draw period, I happen to pay back $100k of principal (plus interest). Then I'm nearing end of draw period, do I have a choice of drawing $100k again before draw period ends?
Yes, it's a revolving line of credit. Feel free to pay it back and reborrow. Of course, the amortization period of the loan will depend on when in the draw period you took out the money. So, if you took out $200k on day one, your minimum payment is based on 30 years to pay off the loan. If your balance was $200k on day 3,650, your minimum payment is based on 20 years to pay back the amount.
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cflannagan
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Re: Third Federal HELOC... Does it usually take this long?

Post by cflannagan »

calwatch wrote: Wed Oct 13, 2021 3:18 pm Yes, it's a revolving line of credit. Feel free to pay it back and reborrow. Of course, the amortization period of the loan will depend on when in the draw period you took out the money. So, if you took out $200k on day one, your minimum payment is based on 30 years to pay off the loan. If your balance was $200k on day 3,650, your minimum payment is based on 20 years to pay back the amount.
Thanks for the response. That's great that I could draw principal I've already paid out again, as long as I'm within the draw period.

I could be mistaken but I think with Third Federal HELOC, the 10-year draw period is interest-only (so one could make interest-only payments, any principal payments would be optional). THEN at end of 10 year draw period, that's when the real amortization (required principal + interest) begins - at beginning of the repayment period. At least I think that's what the docs was saying, I'd need to re-review. Not that I would have a problem paying P+I either at any time even if it was inside the draw period.
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willthrill81
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Re: Third Federal HELOC... Does it usually take this long?

Post by willthrill81 »

cflannagan wrote: Wed Oct 13, 2021 3:57 pm I could be mistaken but I think with Third Federal HELOC, the 10-year draw period is interest-only (so one could make interest-only payments, any principal payments would be optional).
The HELOC we have with Third Federal has required payments during the draw period that include principal repayment; it is definitely not interest-only. I believe that the amortization period used is 30 years.
“Good and ill have not changed since yesteryear; nor are they one thing among Elves and Dwarves and another among Men.” J.R.R. Tolkien, The Lord of the Rings
calwatch
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Re: Third Federal HELOC... Does it usually take this long?

Post by calwatch »

willthrill81 wrote: Wed Oct 13, 2021 4:11 pm
cflannagan wrote: Wed Oct 13, 2021 3:57 pm I could be mistaken but I think with Third Federal HELOC, the 10-year draw period is interest-only (so one could make interest-only payments, any principal payments would be optional).
The HELOC we have with Third Federal has required payments during the draw period that include principal repayment; it is definitely not interest-only. I believe that the amortization period used is 30 years.
I can confirm that as the case as well. The monthly payment for a maximum draw goes up the later you take it.
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willthrill81
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Re: Third Federal HELOC... Does it usually take this long?

Post by willthrill81 »

calwatch wrote: Wed Oct 13, 2021 4:29 pm
willthrill81 wrote: Wed Oct 13, 2021 4:11 pm
cflannagan wrote: Wed Oct 13, 2021 3:57 pm I could be mistaken but I think with Third Federal HELOC, the 10-year draw period is interest-only (so one could make interest-only payments, any principal payments would be optional).
The HELOC we have with Third Federal has required payments during the draw period that include principal repayment; it is definitely not interest-only. I believe that the amortization period used is 30 years.
I can confirm that as the case as well. The monthly payment for a maximum draw goes up the later you take it.
That makes sense. The payments are designed to pay off the HELOC exactly 360 months after it was originally taken out.
“Good and ill have not changed since yesteryear; nor are they one thing among Elves and Dwarves and another among Men.” J.R.R. Tolkien, The Lord of the Rings
nonamer800
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Re: Third Federal HELOC... Does it usually take this long?

Post by nonamer800 »

nanotube wrote: Tue Jun 29, 2021 10:59 pm Off topic but does anyone know how to get a referral to their Loyalty Perks Program to waive HELOC annual fees? Thanks.
Hi, has anyone figured out how to get a Third Federal referral? I will be grateful if an existing Third Federal member can send a referral (please message me for my contact details).

I'm looking for a referral so that Third Federal can waive annual fees.

Thank you,
sport
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Re: Third Federal HELOC... Does it usually take this long?

Post by sport »

nonamer800 wrote: Tue Dec 28, 2021 4:08 pm
nanotube wrote: Tue Jun 29, 2021 10:59 pm Off topic but does anyone know how to get a referral to their Loyalty Perks Program to waive HELOC annual fees? Thanks.
Hi, has anyone figured out how to get a Third Federal referral? I will be grateful if an existing Third Federal member can send a referral (please message me for my contact details).

I'm looking for a referral so that Third Federal can waive annual fees.

Thank you,
That offer is one of their "loyalty perks". If you look at their offerings, they all expired on 10/31/21.
https://www.thirdfederal.com/our-advant ... ks-program
So, that may not be available now.
tonyclifton
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Re: Third Federal HELOC... Does it usually take this long?

Post by tonyclifton »

nonamer800 wrote: Tue Dec 28, 2021 4:08 pm
nanotube wrote: Tue Jun 29, 2021 10:59 pm Off topic but does anyone know how to get a referral to their Loyalty Perks Program to waive HELOC annual fees? Thanks.
Hi, has anyone figured out how to get a Third Federal referral? I will be grateful if an existing Third Federal member can send a referral (please message me for my contact details).

I'm looking for a referral so that Third Federal can waive annual fees.

Thank you,
I suggest asking your loan officer about this fee. We have had two helocs from Third Federal, haven't carried a balance, and haven't paid a $65 annual fee. It also seems that the Loyalty Perks Program is a reward to existing customers and is expired.
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willthrill81
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Re: Third Federal HELOC... Does it usually take this long?

Post by willthrill81 »

tonyclifton wrote: Tue Dec 28, 2021 6:39 pm
nonamer800 wrote: Tue Dec 28, 2021 4:08 pm
nanotube wrote: Tue Jun 29, 2021 10:59 pm Off topic but does anyone know how to get a referral to their Loyalty Perks Program to waive HELOC annual fees? Thanks.
Hi, has anyone figured out how to get a Third Federal referral? I will be grateful if an existing Third Federal member can send a referral (please message me for my contact details).

I'm looking for a referral so that Third Federal can waive annual fees.

Thank you,
I suggest asking your loan officer about this fee. We have had two helocs from Third Federal, haven't carried a balance, and haven't paid a $65 annual fee. It also seems that the Loyalty Perks Program is a reward to existing customers and is expired.
We had to pay the $65 annual fee on our Third Federal HELOC after the first year.
“Good and ill have not changed since yesteryear; nor are they one thing among Elves and Dwarves and another among Men.” J.R.R. Tolkien, The Lord of the Rings
tonyclifton
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Re: Third Federal HELOC... Does it usually take this long?

Post by tonyclifton »

willthrill81 wrote: Tue Dec 28, 2021 6:54 pm We had to pay the $65 annual fee on our Third Federal HELOC after the first year.
I just checked and haven't paid annual fee. Maybe because we also have a mortgage, checking and savings account through them? The heloc has had a zero balance since 2019 with no activity in the account.
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willthrill81
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Re: Third Federal HELOC... Does it usually take this long?

Post by willthrill81 »

tonyclifton wrote: Thu Dec 30, 2021 12:19 pm
willthrill81 wrote: Tue Dec 28, 2021 6:54 pm We had to pay the $65 annual fee on our Third Federal HELOC after the first year.
I just checked and haven't paid annual fee. Maybe because we also have a mortgage, checking and savings account through them? The heloc has had a zero balance since 2019 with no activity in the account.
There must be a fee waiver for having multiple accounts.
“Good and ill have not changed since yesteryear; nor are they one thing among Elves and Dwarves and another among Men.” J.R.R. Tolkien, The Lord of the Rings
nanotube
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Re: Third Federal HELOC... Does it usually take this long?

Post by nanotube »

nonamer800 wrote: Tue Dec 28, 2021 4:08 pm
nanotube wrote: Tue Jun 29, 2021 10:59 pm Off topic but does anyone know how to get a referral to their Loyalty Perks Program to waive HELOC annual fees? Thanks.
Hi, has anyone figured out how to get a Third Federal referral? I will be grateful if an existing Third Federal member can send a referral (please message me for my contact details).

I'm looking for a referral so that Third Federal can waive annual fees.

Thank you,
I figured it out - by opening a Third Federal savings account myself with $10 and waiting 6 months before applying for HELOC.

Also as a data point: I just signed closing docs for my HELOC, exactly 60 calendar days after I applied online with Third Federal.
extechie
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Re: Third Federal HELOC... Does it usually take this long?

Post by extechie »

Just applied for Third Federal HELOC last week. Was told to expect 90 business days to close. That's 18 weeks!
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willthrill81
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Re: Third Federal HELOC... Does it usually take this long?

Post by willthrill81 »

extechie wrote: Tue Jan 11, 2022 1:36 pm Just applied for Third Federal HELOC last week. Was told to expect 90 business days to close. That's 18 weeks!
I'm not sure why people would be clamoring for HELOCs since their interest rate is variable and not fixed like most mortgages.
“Good and ill have not changed since yesteryear; nor are they one thing among Elves and Dwarves and another among Men.” J.R.R. Tolkien, The Lord of the Rings
Silk McCue
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Re: Third Federal HELOC... Does it usually take this long?

Post by Silk McCue »

extechie wrote: Tue Jan 11, 2022 1:36 pm Just applied for Third Federal HELOC last week. Was told to expect 90 business days to close. That's 18 weeks!
They are a bit overwhelmed and not as efficient as many others that have this as their sole focus which only makes it worse for them.

Very happy to have our Prime -1.01% HELOC with them for the past 3 years.

Cheers
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Re: Third Federal HELOC... Does it usually take this long?

Post by simplesimon »

willthrill81 wrote: Tue Jan 11, 2022 1:53 pm
extechie wrote: Tue Jan 11, 2022 1:36 pm Just applied for Third Federal HELOC last week. Was told to expect 90 business days to close. That's 18 weeks!
I'm not sure why people would be clamoring for HELOCs since their interest rate is variable and not fixed like most mortgages.
Gives people something to do, provides financial options, and the illusion that they're improving their financial position. Maybe they want to build that swimming pool or addition this spring.

FWIW I opened one late last year and I haven't used it.
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Re: Third Federal HELOC... Does it usually take this long?

Post by Silk McCue »

willthrill81 wrote: Tue Jan 11, 2022 1:53 pm
I'm not sure why people would be clamoring for HELOCs since their interest rate is variable and not fixed like most mortgages.
Everyone isn’t flush with cash for planned projects.. I know that many here are.

Cheers
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Re: Third Federal HELOC... Does it usually take this long?

Post by willthrill81 »

Silk McCue wrote: Tue Jan 11, 2022 5:24 pm
willthrill81 wrote: Tue Jan 11, 2022 1:53 pm
I'm not sure why people would be clamoring for HELOCs since their interest rate is variable and not fixed like most mortgages.
Everyone isn’t flush with cash for planned projects.. I know that many here are.

Cheers
But that's been true for a very long time. Why would so many be suddenly be clamoring for HELOCs? Is it because they don't understand that the rates are variable?
“Good and ill have not changed since yesteryear; nor are they one thing among Elves and Dwarves and another among Men.” J.R.R. Tolkien, The Lord of the Rings
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Re: Third Federal HELOC... Does it usually take this long?

Post by willthrill81 »

simplesimon wrote: Tue Jan 11, 2022 2:26 pm
willthrill81 wrote: Tue Jan 11, 2022 1:53 pm
extechie wrote: Tue Jan 11, 2022 1:36 pm Just applied for Third Federal HELOC last week. Was told to expect 90 business days to close. That's 18 weeks!
I'm not sure why people would be clamoring for HELOCs since their interest rate is variable and not fixed like most mortgages.
Gives people something to do, provides financial options, and the illusion that they're improving their financial position.
Giving oneself the option of very quickly getting cheap cash may be a genuine improvement to one's financial position IF that option is only used prudently.
“Good and ill have not changed since yesteryear; nor are they one thing among Elves and Dwarves and another among Men.” J.R.R. Tolkien, The Lord of the Rings
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Re: Third Federal HELOC... Does it usually take this long?

Post by Silk McCue »

willthrill81 wrote: Tue Jan 11, 2022 5:29 pm
But that's been true for a very long time. Why would so many be suddenly be clamoring for HELOCs? Is it because they don't understand that the rates are variable?
Good point. Within the past couple of months I pointed that out to a member here. That was news to them.

Cheers
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Re: Third Federal HELOC... Does it usually take this long?

Post by simplesimon »

willthrill81 wrote: Tue Jan 11, 2022 5:29 pm
Silk McCue wrote: Tue Jan 11, 2022 5:24 pm
willthrill81 wrote: Tue Jan 11, 2022 1:53 pm
I'm not sure why people would be clamoring for HELOCs since their interest rate is variable and not fixed like most mortgages.
Everyone isn’t flush with cash for planned projects.. I know that many here are.

Cheers
But that's been true for a very long time. Why would so many be suddenly be clamoring for HELOCs? Is it because they don't understand that the rates are variable?
I bet many are relatively new homeowners who have seen considerable asset appreciation so the HELOC becomes available to them.
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Re: Third Federal HELOC... Does it usually take this long?

Post by extechie »

willthrill81 wrote: Tue Jan 11, 2022 5:29 pm
Silk McCue wrote: Tue Jan 11, 2022 5:24 pm
willthrill81 wrote: Tue Jan 11, 2022 1:53 pm
I'm not sure why people would be clamoring for HELOCs since their interest rate is variable and not fixed like most mortgages.
Everyone isn’t flush with cash for planned projects.. I know that many here are.

Cheers
But that's been true for a very long time. Why would so many be suddenly be clamoring for HELOCs? Is it because they don't understand that the rates are variable?
I am well aware that it is variable but happen to think prime-1.01% is a very good rate. For us it will be an emergency fund of sorts and we will probably never use it. We just retired this year, moved and bought a new home. It's just an extra layer of security for us.
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Re: Third Federal HELOC... Does it usually take this long?

Post by calwatch »

Third Federal's $200,000 maximum is just enough to be helpful but not enough to go crazy. Although I did fully draw it when things started going to pot in spring 2020 and invested it in bonds, and later stocks.
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Re: Third Federal HELOC... Does it usually take this long?

Post by 3of10 »

willthrill81 wrote: Tue Jan 11, 2022 1:53 pm I'm not sure why people would be clamoring for HELOCs since their interest rate is variable and not fixed like most mortgages.
For me, it was done to replace an existing HELOC I already had with my credit union. I only applied for just enough to pay off the existing HELOC. Third Federal's rates are so low that it was worth it.
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nkola123
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Re: Third Federal HELOC... Does it usually take this long?

Post by nkola123 »

Can someone please answer this.

1. How many days will it take to get funded via wire after closing. My contact in the bank says it will take 7-10 days is it true?
2. Can we draw the principle the next day we pay the interest + principle. Or the principle is frozen. When I posted this question, I got a very generic response that principle is available to withdraw during the draw period. I just want to make sure.

Thanks in advance.
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Re: Third Federal HELOC... Does it usually take this long?

Post by Silk McCue »

nkola123 wrote: Thu Jan 13, 2022 2:37 pm Can someone please answer this.

1. How many days will it take to get funded via wire after closing. My contact in the bank says it will take 7-10 days is it true?
2. Can we draw the principle the next day we pay the interest + principle. Or the principle is frozen. When I posted this question, I got a very generic response that principle is available to withdraw during the draw period. I just want to make sure.

Thanks in advance.
This is a line of credit. Unless you are getting an initial draw as a apart of the account opening there will be no wire transfer of funds. The account will simply be available for your use. You borrow against the Line by writing a check or using a debit card and make monthly payments that will include both interest and principal. You can borrow funds during the draw period which is 10 years. At ten years you can no longer borrow additional funds but will continue to make payments which will be amortized.

Hope that helps.

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Cheers
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