Best HELOC Lenders in South Dakota (December 2024)

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Key Takeaways

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U.S. Bank is the best home equity line of credit (HELOC) lender in South Dakota, with a MoneyGeek score of 94 out of 100. It is followed by Black Hills Federal Credit Union, with a MoneyGeek score of 93 out of 100.

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The average HELOC limit in South Dakota is $85,316. How much you can borrow depends on factors like home equity, mortgage balance and credit score.

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Comparing rates can help you find suitable lenders. MoneyGeek compiled the best HELOC rates in South Dakota, updated weekly to assist you.

Overall Best HELOC Lender in South Dakota

Company logo for U.S. Bank
U.S. Bank
MoneyGeek Score:
94/ of 100

Minimum Credit Score660
Average HELOC APR9.70%
Draw Period10 years
Repayment Period20 years
Time to Receive Funds3 Business Days
PROS
  • Borrow up to $750K
  • Provides a 0.50% autopay discount
  • Option to lock in a fixed interest rate
CONS
  • Minimum line amount is $25,000
  • Closing must be done at a local branch
  • Charges an early closure fee of 1% of loan

Runner-Up for Best HELOC Lender in South Dakota

Company logo for Black Hills Federal Credit Union
Black Hills Federal Credit Union
MoneyGeek Score:
93/ of 100

Minimum Credit ScoreUndisclosed
Average HELOC APR9.00%
Draw PeriodUp to 15 years
Repayment PeriodUndisclosed
Time to Receive FundsUndisclosed
PROS
  • Federally insured by the National Credit Union Administration
  • Minimum credit line is $10,000
CONS
  • Charges a loan processing fee of $150
  • Fixed-rate HELOC option may only be potentially available
  • Other HELOC information not disclosed on website

Calculate Your Monthly Payment

The average HELOC balance in South Dakota in the third quarter of 2023 was $33,214, according to Experian. Calculating your HELOC payments is key to managing this type of debt and planning for any adjustments in your financial obligations.

Use our HELOC payment calculator to estimate your monthly payments based on the amount drawn, APR and loan terms. The full amortization schedule shows how much of your payments go toward interest and principal over time.

South Dakota HELOC Payoff Calculator

This HELOC payment calculator assumes that you take out one lump sum at the start of your interest-only period. Your actual payoff schedule will vary depending on your interest rate and market conditions.

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Draw Period Payment

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Repayment Period Payment

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Credit Payoff Schedule for Home Equity Line

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Best HELOC Lender in South Dakota for Affordability

Company logo for Security First Bank
Security First Bank
MoneyGeek Score:
94/ of 100

Minimum Credit ScoreUndisclosed
Average HELOC APR8.00%
Draw PeriodUndisclosed
Repayment PeriodUndisclosed
Time to Receive FundsUndisclosed
PROS
  • A+ BBB rating
  • Has a mobile app for account management
CONS
  • No online applications
  • Doesn't disclose specific HELOC information on website

Best HELOC Lender in South Dakota for Service Quality

Company logo for Sunrise Banks
Sunrise Banks
MoneyGeek Score:
100/ of 100

Minimum Credit ScoreUndisclosed
Average HELOC APR8.50%
Draw PeriodUndisclosed
Repayment PeriodUndisclosed
Time to Receive FundsUndisclosed
PROS
  • Offers multiple HELOC options for different needs
  • Has a mobile app for account management
  • A+ BBB rating
CONS
  • Need to contact the bank for specific HELOC information
  • No rate discounts disclosed on the website

What You Can Use a HELOC for in South Dakota

Home equity lines of credit (HELOCs) are a popular financial tool in South Dakota, largely because they offer homeowners flexibility in accessing funds tied to their property's value. Here are some common ways to use a HELOC to meet your financial needs.

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    Home improvements or renovations

    A HELOC is ideal for home improvements, offering flexibility as costs may change. It allows you to finance renovations without finalizing costs upfront, making it a smart choice for dynamic projects.

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    Consolidating high-interest debt

    The average 2023 consumer debt in South Dakota was $92,733. Using a HELOC for debt consolidation can simplify payments and reduce interest rates, helping manage multiple debts efficiently.

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    Education expenses

    Using a HELOC for education expenses offers lower interest rates than other debts. It can cover tuition, books and housing, making it a practical choice for funding education.

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    Investment properties

    A HELOC can finance investment properties, offering flexibility and potential tax benefits. Shop around to find the best HELOC lenders for investment properties and secure the best rates and favorable terms.

How to Apply for a HELOC in South Dakota

Understanding the steps to apply for a HELOC in South Dakota can help you confidently navigate the process. We've simplified this journey into six steps below.

  1. 1
    Review your financial health

    Start by checking your credit score, which can influence your approval chances. The average credit score in South Dakota was 734, based on Experian data for the third quarter of 2023. A higher score may improve your chances of approval. Additionally, evaluate your debt-to-income ratio and home equity to gauge your financial health and readiness for a HELOC.

  2. 2
    Compare rates in South Dakota

    Comparing rates from different lenders in South Dakota can help you secure the best HELOC deal. Look beyond interest rates and consider other features such as repayment terms, fees and the option to apply for a fixed-rate HELOC to ensure you choose a lender that aligns with your financial needs and goals.

  3. 3
    Prepare required documentation

    Gathering the necessary documents ahead of time can streamline your HELOC application. Commonly required documents include proof of income, recent tax returns and mortgage and home value information.

  4. 4
    Submit an application

    You can submit your HELOC application online or in person if your lender has a branch. Ensure all information is accurate and complete to avoid delays. Double-check for errors or omissions before submission.

  5. 5
    Undergo a home appraisal

    Some lenders may require a home appraisal to assess your home's current market value. A home appraisal involves a professional evaluating your property to determine its worth, which can impact your HELOC terms.

  6. 6
    Wait for approval and closing

    The approval process for a HELOC can take two to six weeks. Once approved, you'll proceed to closing, which involves signing documents and potentially paying closing costs. Some lenders may cover part of these costs.

Know How Much You Can Borrow in South Dakota

The average HELOC limit in South Dakota was $85,316 in the third quarter of 2023, according to Experian. The amount you can borrow is usually tied to the equity you have in your home, meaning the higher your equity, the higher your potential credit limit can be.

Check the table below to see the range of credit lines offered by South Dakota lenders in our database.

Black Hills Federal Credit UnionFrom $10,000
U.S. Bank$25,000 to $750,000
Ask the experts:

What fees should homeowners expect from a HELOC lender, and how can they minimize or avoid them?

Credit & Mortgage Expert

Some lenders charge much higher fees than others when it comes to HELOCS. That’s why it’s recommended to shop around when applying for a HELOC. Some banks or credit unions will not charge you any fees at all, or you may just have to pay the appraisal fee.

FAQ: Best HELOC Lenders in South Dakota

Who is the best HELOC lender in South Dakota?

How to find the best HELOC lenders for bad credit in South Dakota?

What factors should I consider when choosing a HELOC lender in South Dakota?

What are common fees associated with HELOCs that I should compare in South Dakota?

What is the typical draw period for HELOCs, and does it vary between lenders in South Dakota?

How can I find a lender with flexible repayment options in South Dakota?

MoneyGeek's scoring system offers a comprehensive overview of how each lender performed in areas that matter most to borrowers. Scores were allocated based on the inclusion or exclusion of certain desirable features in various critical categories.

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Our analysis was completed in December 2024 and considered different banks and credit unions in South Dakota from S&P Global's SNL Depository Rates dataset.

101Lenders Analyzed

About Zachary Romeo, CBCA


Zachary Romeo, CBCA headshot

Zachary Romeo is a certified Commercial Banking and Credit Analyst (CBCA), and the Head of Loans and Banking at MoneyGeek. Previously, he led production teams for some of the largest online informational resources in higher education, with over 13 years of experience in editorial production.

Romeo has a bachelor's degree in biological engineering from Cornell University. He geeks out on minimizing personal debt and helping others do the same through people-first content.


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