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Home Equity Programs

Is it time for a new vehicle or adding a room onto the house for your growing family? Is there aspecial purchase you need to make? Credit, used wisely, can improve the quality of your life. There are different loan products designed for different needs. If you are a homeowner, using the equity in your home is one of the most cost-effective ways to borrow money. Why? Because these loans generally have a lower interest rate.  And, the interest may be tax deductible*.  

Putnam Bank offers both variable Home Equity Lines (H.E.L.P.) and fixed Home Equity Loans. Here are just a few examples of when using the equity in your home to borrow is a cost effective decision:

Home Equity Lines

When does a home equity line make the most sense? If you are anticipating future funding needs such as investment or education, if your cash flow has seasonal peaks and valleys, if your borrowing experience is intended to be relatively short term, then a home equity line may be the more desirable choice.

Our Home Equity Line Program (H.E.L.P.) can provide the funds you need for just about every reason. Whether it's financing much-needed home improvements, buying a new car, taking a well deserved vacation, consolidating bills or paying off a high interest rate credit card, the possibilities are virtually endless.

Some of the great features of a home equity line include:

• Competitive interest rates
• Minimum line amount $10,000 - Maximum $200,000
• Easy checkbook access
• Flexible payment options
• No application fee
• Potential tax benefits*
• Certain restrictions apply
   

*The introductory rate is fixed for the first six months and the Annual Percentage Rate is subject to change monthly thereafter.  The APR after the initial introductory offer is based on the outstanding loan balance at the beginning of the month, credit score at the time of application and Wall Street Journal Prime Rate plus or minus a margin.  The current Wall Street Journal Prime Rate effective September 21, 2011 is 3.25%.  The disclosed 3.25% APR is based on a credit score of 720 or greater  and an outstanding principle balance of $50,000.00 or more taking into account the floor interest rate of 3.25%.  Please contact us for other rates and terms.  The annual percentage rate imposed under the plan does not include costs other than interest.  Maximum APR is 12%.  Annual maintenance fee of $50.00 applies.  A security interest in your home must be given.  Propery insurance is required.  Prepayment penalty applies.  Offer may be changed or terminated at any time.  Offer is limited to owner-occupied 1-4 family residential properties and cannot exceed 80% loan to value (based on appraised value) when added to the balance owed on any senior mortgage or lien on the propertly.  Properties cannot be listed for sale.  1 You should consult a tax advisor regarding interest deductability.  Applies to new accounts only.

Home Equity Loans

When does a home equity loan make the most sense? If you have a pre-determined use of your funds, have committed a fixed amount of dollars towards the payment each month, and anticipate using most of the borrowed dollars immediately, a home equity loan is usually the most desirable alternative.

Some of the great features of a home equity loan include:

• Fixed rate and fixed payment for the life of the loan
• Borrow up to 100% of the appraised value of your home minus the pre-existing first mortgage
• Flexible repayment terms
• Minimum loan amount $10,000 - Maximum $200,000
• Potential tax benefits¹
• Certain restrictions apply

For more information on Home Equity Programs, contact the branch office nearest you.

Visit our Online Loan Center to apply now!