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Do you have a HELOC ? (Home Equity Line of Credit)
This is very valuable information if you have a heloc. I am sure that most of you are familiar with the term “HELOC” short for Home Equity Line of Credit. Banks in the past were relentless trying to get homeowners to sign up and now that has subsided. I want to give all you homeowners a heads up! Listen to what some bankers are doing now.
They are sending out letters to home owners with Heloc’s that might read something like this:
Dear Homeowner:
Because property values in your area have decreased so dramatically this year we are forced to reduce the amount of your Home Equity Line of Credit from $50,000 to 25,000
Or even worse:
We are forced to relinquish your entire Home Equity Line of Credit.
Ouch! For some, this is going to be very painful and stressful but the fact remains that
this letter is being mailed out. It’s my belief that many homeowners will be affected
by this, banks can do this because it’s in the fine print and could read something like…..the bank has the right to “relinquish on demand” your home equity line of credit. Read more
Until we meet again~
