What's a good U.S. bank from which to obtain a home equity line of credit?

Question

Ideally: 1) they would be friendly and give excellent service. 2) they would NOT telemarket me. 3) they do not outsource their data processing outside the USA.

I live in the San Francisco area and primarily bank with Wells Fargo. The last time I had to go inside one of the banks, both the customer service and the security outside were far less than ideal.

Answer 1

I think with ALL financial institutions it is a craps shoot.

Yes, credit unions get a lot of hype - but even the best credit union could give you crappy service if your representative had a bad day. On the same note, I've found you can have a very positive experience with even the largest commercial banks (cough BofA).

As far as telemarketing - tell your representative you don't wanna be telemarketed - they are REQUIRED by law to honor this request though they may make you submit a request in writing first.

Most data processing CANNOT be outsourced in this case. Since HELOC decisioning tends to be rather speedy, most likely your bank rep will be entering your data right then and there (or later that day).

Hope this helps :-)

Answer 2

There are many banks that offer HELOC's. It really depends on the one that offers you the best %. Citibank, WellsFargo, BofA, WaMu, Flagstar, Chase, etc, etc

BUT I think instead you should be asking yourself should I get a HELOC? Have you though about maybe a HELoan?

Here is article I wrote about Helocs I hope you find it informative:

"HELOC = Home Equity Line of Credit"

Do you own a home and now you are thinking about making some home improvements or want to go on a vacation, or want to pay off your credit cards but cant afford to do it?

Someone mentions to you about a HELOC, and recommend you to take out a second loan on your home since you have built so much “equity.” After you obtain the loan, you have the home improvements done, you go on a vacation and pay off all your credit card debt, what now??

Interest rates are increasing and will continue to go up for the remaining of this year, how does this affect you? Well, a HELOC’s interest rates will also fluctuate when the prime rate fluctuates. Now you are stuck with two loans on your home and with the increasing monthly payment you could end up loosing your home.

Always think twice about the purpose and necessity of taking a second loan on your home as it is not always beneficial to obtain a HELOC, specially now that interest rates are constantly going up.

A HELOC’s rate is based on the prime rate. Most consumers will pay 1% over this prime rate. The prime rate is normally 3%+ over the Federal Funds rate. If you have been paying attention, you will know that the Fed has been raising these rates and most likely will continue to do it for the rest of the year. Therefore if the Federal Funds rate was to be at 5% a HELOC rate could end up being at 9% (5% Fed + 3% Prime + 1% = 9%).

(This week the Fed Funds rate was at 4.75)

A better choice for you would be a second loan with a fixed rate or refinancing your first loan for a bigger amount (only on certain situations). I suggest that you do not jump to the first offer you find, always try to find a mortgage broker who is willing to give you options and explain to you the benefits of each option.

Answer 3

I would recommend a moderately sized community bank. They usually have excellent HELOC programs, and in trying to compete with the national banks, will provide much better customer service.

Answer 4

Only a Credit Union looks out for their members. You will find the best customer service and rates there.

Answer 5

You can use a local FCU, also you can try a lending service like Lending tree who will give a few different offers to choose from.

Answer 6

No-one can do what Countrywide can. They did excellent for me