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When you need a ready, cost effective and flexible source of funds to achieve what’s important to you – consider an Equity Access® home equity credit line.1
The Equity Access® account offers an adjustable-rate revolving line of credit with interest-only payments for 10 years, followed by fully amortizing payments for the remaining term of the loan.2 With an Equity Access® account, you’ll benefit from rates potentially less than prime, potential tax deductions on interest expense3, no up-front fees or lender closing costs, and with a revolving line of credit you can draw or replace funds at your convenience without incurring unnecessary interest expenses.
Equity Access® Account features:
- Rates as low as .75% below prime, first lien (additional discounts available for qualified clients).4
- Quick, convenient loan closings at home or office (see below).
- Interest expense is potentially tax deductible.
- Full line availability and you only pay interest on the portion of the line used, not the entire line.
- Interest-only payments during the draw-down period.
- No Merrill Lynch closing costs except mortgage recording tax, where applicable.
- Choice of 25- or 30-year terms.
- No prepayment penalties.
- Borrow up to 90% of your homes value.5
- Large loan amounts, up to $2 million (financing available for amounts over $2 million on a negotiated basis).
- Easy access to funds via personal check, Visa® (where applicable), wire transfers or cashier’s check.
- Ability to combine an Equity Access® Account with a first mortgage and refinancing available with the advantage of one closing (not available in Texas).
- Secured credit typically offers lower interest rates than unsecured credit, such as credit cards and personal loans.
A home equity line of credit gives you cash flow flexibility to help you meet current and future needs, such as:
- Home improvements – increase the value of your home.
- Major purchases – cars, boats, fine art.
- Seasonal expenses – holiday shopping, tax time.
- Life events – weddings, new baby, college tuition.
- Debt consolidation.
Convenient Loan Closing Program
Merrill Lynch offers the ability to close on your home equity loan from the convenience of your home or office. With this new mail-away closing, you’ll receive closing documents via mail. You simply follow the step-by-step instructions. In addition, we pay all lender closing costs on your behalf and recording taxes on the first $200,000 of all credit lines, the borrower is responsible for any remaining tax due on larger loan amounts, where applicable.
Please note: The following states are not eligible for the Convenient Loan Closing Program: New York, Texas, Connecticut, Maine, Georgia, South Carolina, Delaware and Arkansas because loans in these states must be closed with a local attorney.
10-Day Process – Application to Close
Qualifying clients are eligible to complete their Equity Access® account loan process in 10-days.6 This service is only applicable if you are able to provide the necessary documentation and are available to close within the given timeframes.
Eligible criteria includes:
- Maximum Loan Amount: $150K
- Maximum Appraised Value: $500K
- Minimum Credit Score: > 661
- CLTV: 80% (Note: LS4 & LS5 income types can go up to 85% CLTV)
- Appraisal Source: AVM
- Title Source: FACT
- Income Types: No Ratio; Stated Doc and Salaried Alt Doc, LS 5 and LS 4
- Refinance Transactions: Primary and Secondary homes
- Previous Mortgage History: Required
- Mortgage Position: 2nd Lien
Loans with the following criteria are not eligible:
- POAs
- Trusts
- Co-ops
- Bridge Loans
- Home Equity Credit Line loans requiring an extension or consolidation
- Applicant whose name is included in the master list of persons covered by regulation O and Sarbanes-Oxley Act of 2002
- State Restrictions:
Texas, Wyoming, Florida, Alaska, New Mexico, Oklahoma, Oregon
For more information, contact your Merrill Lynch Financial Advisor or call a Merrill Lynch Loan Consultant at (800) 854-7154.
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1Equity Access® funds may not be used to purchase, carry, or trade securities or repay debt incurred to purchase, carry, or trade securities.
2This is an “interest-only” mortgage that allows you to pay only the interest on the money you borrow for a certain number of years. If you only pay the amount of interest that’s due, once the interest-only period ends, you will still owe the original amount you borrowed and your monthly payment will increase – even if interest rates stay the same – because you must pay back the principal as well as interest. You should ask what the payments on your loan will be after the end of the interest only period. If you are considering an adjustable-rate mortgage, ask about what your payments can be if interest rates increase.
Click here for Important Loan-Cost Disclosures. Subject to applicable charges and mortgage recording taxes that may range from zero to $18.75 per $1,000 of mortgage amount. Recording taxes on the first $200,000 of all credit lines are paid for by MLCC, the borrower is responsible for any remaining tax due on larger loan amounts. Property insurance is required to establish and maintain your line of credit. 3Merrill Lynch does not provide specific recommendations on tax issues.Consult your tax advisor regarding the deductibility of interest expenses. Interest expenses may not be deductible for all taxpayers.
4Rate based on single-family, owner occupied, excellent credit, LTV less than or equal to 85 percent, loans up to $750K and first lien position. Discounted rates also available for second line with rates as low as Prime minus .50 based on single family, owner occupied excellent credit, CLTV less than or equal to 75 percent and loans up to $750K.
590% Loan-to-Value ratio is available to clients with excellent credit histories for Equity Access® line amounts up to $75,000. Not available in Texas.
6Turn around time frame for qualifying loans is 10 business days, with four additional business days before the loan funds.
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