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It depends on what you need the loan for. Both use your house as collateral for the loan, but they’re distributed in different ways. A home equity loan is disbursed all at once, and has monthly payments that don’t change. The home equity line of credit is accessible for a long-term period of time, and you can take money out as you need it.
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Home Equity Loan Calculator by CreditUnionsOnline.com. – Number of Years: The length of the home equity loan is also referred to as the loan term. The number of years determines how long you will be paying on the loan until paid off. The number of years determines how long you will be paying on the loan until paid off.
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