GetSmart.com Suggests Ways to Use a Home Equity Loan

A Home equity loan can be a useful, tax deductible, way to tap equity that you have accumulated in your home. As long as you borrow wisely, this may be a good resource for some much needed cash.

Charlotte, N.C. (PRWEB) August 10, 2007 -- Whether you're looking to pay for a costly education, find funding to renovate your home, or cover the costs of a large unexpected expense, you might want to consider a home equity loan (http://www.getsmart.com/loan-resources/Using-your-home-equity/Is-a-Home-Equity-Loan-Right-for-You.aspx). Home equity loans are great alternatives to putting major expenses on a credit card, and have a much lower interest rate.

A home equity loan gives the borrower a lump sum of money at a fixed interest rate, with your home used to guarantee the loan. The borrower then pays the money back in monthly installments.

So when is getting a home equity loan a good idea? GetSmart.com shares some insight:

College tuition

If you need access to money to finance your child's college education, a home equity loan is something you may want to consider, particularly if your child doesn't qualify for a student loan.

Debt consolidation

A home equity loan is a good chance to pay down debt (http://www.getsmart.com/loan-resources/Getting-Out-of-Debt/Debt-Consolidation-101.aspx) from several credit cards. Consolidating the credit card debt into a home equity loan gives you the opportunity to get a much better interest rate and likely pay off your balance more quickly.

A major one-time expense

Home equity loans can be used to finance large one-time expenses such as the purchase of a car or a home renovation (http://www.getsmart.com/loan-resources/Using-Your-Home-Equity/How-to-Get-Cash-Out-of-Your-Home.aspx).

For more information on home equity loans, check out GetSmart.com Loan Resources (http://www.getsmart.com/loan-resources/).

About GetSmart®

GetSmart is a leading financial services marketplace that offers borrowers access to a range of home loan products such as mortgages and refinance loans, home equity loans and lines of credit from a network of more than 250 lenders. Consumers who visit the site at www.getsmart.com of call 1-800-GETSMART complete a short and simple form and will then be matched with up to five competing lenders.

GetSmart is owned by LendingTree, LLC, which is an operating company of IAC.

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