Best HELOC Lenders in Vermont (November 2024)

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Key Takeaways

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Berkshire Bank is the best HELOC lender in Vermont with a MoneyGeek score of 95 out of 100. Mascoma Bank follows closely with a MoneyGeek score of 94 out of 100.

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The average HELOC limit in Vermont is $87,698. How much you can borrow often depends on factors like your home's equity, outstanding mortgage balance and credit score.

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Comparing rates can help find lenders suited to your needs. MoneyGeek compiled the best HELOC rates in Vermont, updated weekly to assist you.

Overall Best HELOC Lender in Vermont

Company logo for Berkshire Bank
Berkshire Bank
MoneyGeek Score:
95/ of 100

Minimum Credit ScoreUndisclosed
Average HELOC APR8.00%
Draw Period10 years
Repayment Period15 years
Time to Receive FundsUndisclosed
PROS
  • Offers a 0.25% discount for automatic payments
  • Pays standard closing costs
  • Allows interest-only payments during the draw period
CONS
  • Maximum repayment term is 15 years
  • Charges an annual fee of $50
  • Imposes a recapture fee if account is closed within 36 months

Runner-Up for Best HELOC Lender in Vermont

Company logo for Mascoma Bank
Mascoma Bank
MoneyGeek Score:
94/ of 100

Minimum Credit ScoreUndisclosed
Average HELOC APR7.75%
Draw Period10 years
Repayment Period15 years
Time to Receive FundsUndisclosed
PROS
  • Interest-only payments available
  • May pay up to $600 in closing costs
  • Has a mobile app for account management
CONS
  • Maximum repayment term is 15 years
  • Charges an annual fee of $59
  • Other HELOC information not disclosed on website

Calculate Your Monthly Payment

The average HELOC balance in Vermont for the third quarter of 2023 is $32,371, according to Experian. Calculating your HELOC payments is key to managing this type of debt effectively and planning for 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 provided shows how much of your payments go toward interest and principal over time.

Vermont 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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Credit Line Information

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 Vermont for Affordability

Company logo for Community National Bank
Community National Bank
MoneyGeek Score:
93/ of 100

Minimum Credit ScoreUndisclosed
Average HELOC APR8.50%
Draw PeriodUndisclosed
Repayment PeriodUndisclosed
Time to Receive FundsUndisclosed
PROS
  • Allows you to prequalify
  • No prepayment penalty
  • Has a mobile app for account management
CONS
  • Very limited information about HELOC on website
  • No rate discounts disclosed
  • Very limited information about HELOC on website

Best HELOC Lender in Vermont for Service Quality

Company logo for EastRise Federal Credit Union
EastRise Federal Credit Union
MoneyGeek Score:
100/ of 100

Minimum Credit ScoreUndisclosed
Average HELOC APR8.75%
Draw Period15 years
Repayment Period15 years
Time to Receive FundsUndisclosed
PROS
  • Borrow as low as $5,000
  • Covers a portion of other closing costs
  • Maximum draw period is 15 years
CONS
  • Borrowing limit of $250,000
  • Charges a late fee of 5% of the payment
  • Doesn't offer rate discounts

What You Can Use a HELOC for in Vermont

Home Equity Lines of Credit (HELOCs) are popular in Vermont due to their flexibility and control over borrowing and repayment. These features allow homeowners to manage their finances effectively by accessing funds as needed and setting their own repayment timelines.

Here's a look at where you can use a HELOC.

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    Home improvements or renovations

    A HELOC is ideal for home improvements, offering flexibility as costs change. It allows you to finance projects without final cost constraints, making it a smart choice for Vermont homeowners.

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    Consolidating high-interest debt

    With average 2023 consumer debt in Vermont at $90,960, a HELOC simplifies debt consolidation. It combines multiple debts into one, potentially lowering interest rates and monthly payments.

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    Funding education expenses

    Using a HELOC for education expenses is cost-effective compared to other debts. It can cover tuition, books, and supplies, providing a flexible financing option for Vermont families.

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    Investment properties

    A HELOC offers favorable terms for investment properties. It's crucial to shop around for the best HELOC lenders for investment property to secure the best rate and terms.

How to Apply for a HELOC in Vermont

Understanding the steps to apply for a HELOC in Vermont is key to navigating the process smoothly. Below, we've broken down this journey into six steps to guide you.

  1. 1
    Review your financial health

    Reviewing your current financial situation is key when considering a HELOC. Check your credit score, debt-to-income ratio, and home equity. In Vermont, the average credit score is 737 based on Experian data. This score can enhance your chances of HELOC approval in the third quarter of 2023.

  2. 2
    Compare rates in Vermont

    Comparing rates in Vermont can help you secure the best HELOC deal. Look beyond rates and consider lender features like repayment terms, fees, and the option for a fixed-rate HELOC. These factors can significantly impact your overall borrowing experience.

  3. 3
    Prepare required documentation

    Preparing the necessary documents ahead of time can streamline your HELOC application. Commonly required documents include proof of income, recent tax returns, and information on your mortgage and home value. Having these ready can prevent delays in the approval process.

  4. 4
    Submit an application

    Most lenders offer the convenience of online applications, but you can also apply in-person if a branch is available. Ensure your application is free of errors or omissions to avoid unnecessary delays. Double-check all information before submission.

  5. 5
    Undergo a home appraisal

    Some lenders may require a home appraisal to determine your home's current market value. This process involves a professional assessment of your property's worth, which can influence the amount you can borrow through a HELOC.

  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 possibly paying closing costs. Some lenders may cover part of these costs, easing the financial burden.

Know How Much You Can Borrow in Vermont

The average HELOC limit in Vermont is $87,698 for the third quarter of 2023, according to Experian. The maximum HELOC amount you can borrow is often tied to the equity you have in your home. The higher your equity, the higher your potential credit limit.

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

Berkshire BankFrom $17,500
EastRise Federal Credit Union$5,000 to $250,000
NBT Bank$10,000 to $500,000
Ask the experts:

What factors should homeowners prioritize when comparing HELOC lenders?

Credit & Mortgage Expert

When shopping for a HELOC, most people focus only on the interest rate. Instead, you should focus on the annual percentage rate (APR) as that is the true cost of what you are paying back. Also consider any fees the lender may be charging you. A lower rate with higher fees can be deceptive.

FAQ: Best HELOC Lenders in Vermont

Who is the best HELOC lender in Vermont?

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

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

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

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

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

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 October 2024 and considered different banks and credit unions in Vermont 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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