Second Mortgage Home Equity Loans and Home Equity Lines of Credit (HELOCs)
Rates are effective 5/15/13 and are subject to change without notice. Call 1-800-322-5222 for more information.
| Loan Type | Max Loan Term | Interest Rate | Annual Percentage Rate1 | Payment Per $1000 Borrowed | Max. LTV2 |
|---|---|---|---|---|---|
| Fixed Rate Line of Credit | 60 Months | 4.990 | 4.990 | $4.24/Month interest only payments, with balloon payment of principal plus accrued interest due at maturity. | 80% |
| Fixed Rate Amortizing Second Mortgage | 60 Months 120 Months 180 Months 240 Months |
4.000 4.500 5.000 5.750 |
4.000 4.500 5.000 5.750 |
$18.42/Month $10.36/Month $7.90/Month $7.02/Month $7.02/Month |
80% 80% 80% 80% |
| Variable Rate Line of Credit | 120 Months | Wall Street Journal Prime | Maximum Variable Rate APR is 18.0%, Rate floor is 3.25% | $3.40/Month interest only payments, with balloon payment of principal plus accrued interest due at maturity. | 80% |
- The APR for home equity loans is based upon a $25,000 loan amount and the maximum loan term.
- Maximum Loan-to-Value ratio, including all loans secured by the property.
- Above terms are for 2nd mortgage home equity loans and HELOCs which, when combined with any 1st mortgage on the same property, total $417,000 or less. Contact your Lender for loan terms and eligibility if your combined mortgages will total greater than $417,000.
- Payments do not include taxes and insurance. Actual total payments will be greater.
- Home equity loan and HELOC products are offered for primary residences and second home properties suitable for year-round occupancy.
- Closing fees paid by Merchants Bank for qualifying Vermont properties provided the total of all mortgages does not exceed $100,000 and/or 75% of the current adjusted tax assessed value of the property. For loans exceeding these values, borrowers may be required to pay for an appraisal ($400-$650) and/or title insurance ($550-$900). Property insurance is required. For NY properties, borrowers will also pay the NY Mortgage Tax.
- For Home Equity Line of Credit products, loan balance is due at 60 or 120 months with renewal option available prior to maturity. If only the minimum payment is made each month, a balloon payment of principal plus accrued interest will result.
- Current Wall Street Journal Prime rate is 3.250%.
