.com/personal/borrow/consumer-loans/home-equity-loans-lines-credit’ target=’_blank’ rel=”noopener noreferrer – If you have equity in your home, you can use it as collateral to take out a fixed-rate loan. You can use the money to fund a home upgrade, consolidate debt, buy a car.
Should I Pay for College With a 401(k) or Home Equity Loan? – Check out the new MONEY College Planner. Pawlik said the primary reason interest rates on home equity loans are typically more attractive than federal education loans is because home equity loan debt is secured by your home, giving the lender a legal claim to your home in the event of default. Using equity in your home to pay for college costs instead of a federal education loan effectively.