Equity loans or Home equity loans come with a variety of features. The home equity loan has evolved over about 10 years from a simple overdraft-type facility into a transaction account. It allows you to borrow money against equity built up in your home.

For example; A borrower who has a $200,000 mortgage on a $600,000 house might be able to draw down an extra $200,000, which can be used for any purpose. This amount can be repaid and drawn down many times during the life of the loan.

In most case this loan is like a Line of Credit, with the same flexibility. Home equity loans can include ATM access, automated sweeps to pay off credit card bills and offset accounts to reduce the amount of interest you pay on your home mortgage.