Home Equity Lines of Credit

Special Intro Rate!

5.99%1 APR

See below for HELOC disclosures.

Use the home equity you’ve built to open a flexible line of credit for nearly any opportunity that comes knocking.

Key Features

  • Competitive Rates
  • Flexible Terms
  • Only Pay Interest on Used Funds
  • Apply Now

What is a home equity line of credit?

A Home Equity Line of Credit (HELOC) is a loan that allows homeowners to borrow against the equity they've built in their home. It offers flexible access to funds and can be used for various financial needs.

  • Can be used on a primary residence or vacation home
  • Interest paid is potentially tax deductible2
  • Not available for trailers or rental properties

Terms & Definitions

  • Initial Advance

    The minimum amount required for the first advance from your account after opening.

  • Account Balance

    The total unpaid principal of advances made under the account, plus unpaid finance charges, fees and other costs.

  • Draw Period

    The time frame during for which you can request advances from your account.

  • Billing Cycle

    A regular interval of time during the term of the line of credit agreement used to determine finance charges and fees due on your account.

  • Repayment Period

    The period that begins after the draw period ends, during which no further advances can be requested.

What can I use the HELOC for?

A HELOC is a flexible loan secured by your home’s equity. It can be used for large expenses such as home improvements, debt consolidation, college tuition, or even placing a down payment on another property. It offers lower interest rates than most credit cards and personal loans, and you only pay interest on the amount you use.

How can I access my funds?

Funds from your Old Fort Banking Company HELOC account can be accessed through various methods:

  • Issued checks from Old Fort Banking Company
  • Online Banking or Mobile Banking
  • In-person at an OFBC Financial Center

How do I pay back my HELOC?

Repaying a HELOC typically involves monthly payments covering interest and principal, depending on loan terms. A 0.25% interest discount is applied if automatic payments are set up from another OFBC account. You can make payments using the following methods:

  • Checks payable to Old Fort Banking Company
  • Online Banking
  • ACH transfers

Disclaimer

1 Fixed interest rate of 5.99% Annual Percentage Rate (APR) available for applications after December 19, 2024. Six months after your loan origination date, any outstanding balances owed will revert back to a rate as low as Prime -.50%, currently 7.00% variable APR. 

Minimum Payment: Your “regular payment” will be based on a percentage of your outstanding balance or $75, whichever is greater.  Your minimum payment will be the regular payment, plus any amount past due and all other charges.  Please refer to your Original Loan Documentation and Credit Agreement and Disclosures for specific regular payment percentages.  The minimum will not fully repay the principal that is outstanding on your Credit Line and your final payment will be a single balloon payment.  The payments on your loan may not include amounts for taxes and insurance premiums and the total payment obligation will be greater.  

Maximum Rate and Payment Example: If you had an outstanding balance of $10,000, the minimum payment at the maximum annual percentage rate of 25.000% would be $212.33. This ANNUAL PERCENTAGE RATE could be reached at the time of the 7th payment. 

*A change in the ANNUAL PERCENTAGE RATE (APR) can cause the balance to be repaid more quickly or more slowly. When rates decrease, less interest is due so more of the payment repays the principal balance.  When rates increase, more interest is due, so less of the payment repays the principal balance.  If this happens, we may adjust your payment as follows: your final payment may be increased. Each time the APR increases, we will check to see if your payment is sufficient to cover all accrued FINANCE CHARGES. 

Homeowners insurance is a requirement of any mortgage loan.

Annual fee remains as stated in the original terms and conditions (up to $50) with no additional fee or costs for this offer. Annual fee is incurred on this loan even if the line of credit is not utilized.  

Third Party Fees: You may pay certain fees to the Bank for our use of third-parties, such as appraisers, credit reporting firms, and government agencies. These third-party fees generally total between $250.00 and $1,250.00. Upon request, we will provide you with an itemization of the fees you will have to pay to third parties.   

2You should consult a tax advisor regarding the deductibility of interest and charges for this plan.