The Best HELOC Rates and Lenders in the District of Columbia

A home equity line of credit (HELOC) works like a credit card since you only borrow the amount of money that you spend. The funds are accessible anytime you need them and can be used for various expenses.

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A HELOC can be used for home improvements, debt consolidation, emergency funds, education and more. It’s best for borrowers with substantial home equity.

Regular HELOC rates can be as low as .99% and go up to 18%. Overall, the best HELOC lender in the District of Columbia is Bank of America, offering an APR of 4.35% variable. When applying for a HELOC, MoneyGeek recommends comparing home equity line of credit rates to find the lender that best fits your needs.

Home Equity Line of Credit (HELOC) Rates for 2023

Since comparing lenders is a crucial part of finding a HELOC, MoneyGeek gathered data from different lenders. The table below contains relevant information about various lenders, such as APRs, loan amounts and credit score requirements.

Rates and other features may have changed since the last update in May 2022. However, MoneyGeek tries to update our data with the latest information about HELOC lenders.

  • Lender
    APR
    Loan Amount
    Min. Credit Score Requirement
    Repayment Terms
    Annual Fees
    Pre-Approval Time
  • 3.75% to 18%

    $25,000 to $1,000,000

    660

    10-year draw period
    and 20-year repayment period

    None

    N/A

  • Not specified

    Not specified

    Not specified

    Not specified

    Not specified

    Not specified

  • 1.99% special
    introductory variable
    APR for 6 months,
    then as low as
    4.35% variable

    $25,000 to $1,000,000

    Not specified

    10-year draw period,
    20-year repayment period

    Not specified

    Not specified

  • 3.65% to 8.80%

    $15,000 to $750,000

    730

    10-year draw period,
    unspecified repayment period

    $90

    Not specified

  • 4.65% to 9.99%

    $35,000 to $300,000

    620

    10 to 30 years

    None

    1 to 2 weeks

  • Starting at 3.99%

    $10,000 to $500,000

    Not specified

    10-year draw period
    and 20-year repayment period

    $75

    Not specified

  • Starting at 4.64%

    $10,000 to $500,000

    Not specified

    10-year draw period
    and 20-year repayment period

    None

    24 hours

  • Starting at 3.50%

    $15,000 to $400,000

    620

    5 to 30 years

    3% to 4.99%

    24 hours

  • Starting at Prime - 0.50%

    Starting at $17,500

    Not specified

    10-year draw period,
    15-year repayment period

    $50

    Not specified

  • Starting at 3.34%

    Starting at $25,000

    740

    Not specified

    $50

    Not specified

  • 3.49% for 6 months
    (4.08% thereafter)

    Starting at $5,000

    Not specified

    15-year draw period
    with 15-year repayment period

    None

    24 hours

  • 3.75% to 10.63% variable

    $10,000 to $500,000

    Not specified

    10-year draw period,
    and then 20 years for repayment

    None

    Not specified

MoneyGeek’s Picks for Best HELOC Lenders in the District of Columbia

MoneyGeek does its research with the consumer’s needs as our top priority. Our mission is to help you make the right financial decisions, and that includes choosing the best HELOC lender based on your situation.

Lenders do not always offer HELOC loans. Usually, the ones that offer them are national banks. If your application has been rejected by a national bank, consider visiting local credit unions to ask if they offer HELOC loans.

Best Overall HELOC Lender in the District of Columbia: Bank of America


  • Bank of America

    Bank of America has an introductory APR of 1.99% for the first six months of your HELOC loan.


    • 1.99% special introductory variable APR for 6 months, then as low as 4.35% variableAPR Range
    • $25,000 to $1,000,000Loan Amount Range
    • 10-year draw period; 20-year repayment periodRepayment Terms
    • NoneAnnual Fees
    • Not specifiedPre-Approval Time

    on Bank of America Website

Best HELOC Lender for Good Credit in the District of Columbia: U.S. Bank


  • U.S. Bank

    U.S. Bank allows borrowers to switch to a HELOC with a fixed interest rate.


    • 4.20% to 9.35%APR Range
    • $15,000 to $750,000Loan Amount Range
    • 10-year draw period; unspecified repayment periodRepayment Terms
    • $90Annual Fees
    • Not specifiedPre-Approval Time

    on U.S. Bank Website

Best HELOC Lender for Bad Credit in the District of Columbia: Figure


  • Figure

    Figure does not charge opening fees, maintenance fees and prepayment penalties.


    • From 6.55% to 15.54%APR Range
    • $15,000 to $400,000Loan Amount Range
    • 5 to 30 yearsRepayment Terms
    • NoneAnnual Fees
    • 24 hoursPre-Approval Time

    on Figure Website

Best HELOC Lender for Competitive Rates in the District of Columbia: PenFed


  • PenFed Credit Union

    PenFed Credit Union has an introductory APR of 0.99%.


    • 0.99% for 6 months; 4.25% to 18% thereafterAPR Range
    • $25,000 to $1,000,000Loan Amount Range
    • 10-year draw period; 20-year repayment periodRepayment Terms
    • $99Annual Fees
    • N/APre-Approval Time

    on PenFed Credit Union Website

HELOC vs. Home Equity Loans

While both are borrowed against your home equity, home equity loans and HELOCs differ. For instance, HELOCs have variable interest rates. This means that their rates differ every month. This changes the monthly amounts that you have to pay as well.

Additionally, a HELOC acts like a credit card. A borrower is given a credit limit that they can use within a draw period. The interest rate usually only applies to the amount that has been credited.

Home equity loans, on the other hand, have fixed interest rates. From the start until the end of the repayment term, the interest rate and the monthly amount due are consistent. These loans are also released to the borrower in a lump sum.

The table below shows a more detailed comparison.

  • HELOC
    Home Equity Loan
  • Interest Rate

    Adjustable interest rate,
    but fixed-rate options are available

    Fixed interest rate

  • Monthly Payment

    Changes depending
    on the amount of money borrowed

    Fixed monthly payments

  • Repayment Terms

    During the draw period, borrowers pay
    interest on the money they borrowed;
    after the draw period, they repay any
    principal owed in addition to interest

    Repayment starts as soon as
    the money is given to the borrower

  • Fund Disbursements

    Line of credit

    Lump sum delivery

How to Apply for a HELOC

Most home equity line of credit lenders allow online applications. Therefore, applying for one can be convenient. Before starting the application process, consider following these steps to guarantee that you find the right lender that fits your needs.

1

Determine how much you need

Sometimes, it’s easy to get carried away with spending money using credit, so it’s better to know exactly how much you need and set that as a limit. One way to determine the amount that you need is by evaluating the expense you’re planning to have. For example, HELOCs can be used for debt consolidation, home improvement, education and more.

2

Assess your financial standing

Before applying, check the requirements of each lender to know whether or not you can qualify for a loan based on your financial profile. Be mindful of interest rates as well since they help determine if the amount you have to pay every month can fit your budget.

3

Shop around and compare lenders

Compare different lenders and research what each of them offers. Doing this allows you to find the best lender that fits your needs.

4

Apply

Most lenders offer online applications for HELOCs. When applying, it’s best to be prepared with all the information and documents that you might need to prove your eligibility. Make sure to provide accurate information to avoid being denied or delayed during your application process.

5

Use funds wisely

Using your funds wisely could mean spending them on projects that help you maximize your space at home. It could also mean using the lower interest rate on the HELOCs to save money while consolidating debt or paying for school. No matter how you want to use it, consider keeping track of your HELOC expenses to avoid paying more in interest.

Frequently Asked Questions About HELOCs

HELOCs might seem complicated at first. Once you begin to understand them, you might realize that they can come in handy in the future. To learn more about HELOCs, MoneyGeek answered frequently asked questions about home equity lines of credit in the District of Columbia.

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