Because a HELOC lets you withdraw a variable amount of funds during the draw period, it can be used for different purposes. This includes home improvements, emergencies, education, building credit, business expenses and down payments, to name a few.

HELOC rates in Hawaii range from 0.99% to 18%. Our study found that Bank of America is the overall best HELOC lender in the state due to its incentives and low rates.

Since different lenders have different requirements and offerings, it’s best to shop around first to find a company that best matches your needs before applying for a HELOC.

WHAT WE’RE GEEKING OUT ON

Home Equity Line of Credit (HELOC) Rates for 2023

The table below provides an overview of rates, requirements as well as other relevant data for various HELOC lenders to help you find the best option for you. MoneyGeek last updated this information in May 2022.

While rates and other features offered by lenders may change with time, we regularly update the table to keep the data relevant.

Lender
APR
Loan Amount
Min. Credit Score Requirement
Repayment Terms
Annual Fees
Pre-Approval Time

PenFed Credit Union

3.75% to 18%

$25,000 to $1,000,000

660

10-year draw period
and 20-year repayment period

None

N/A

PNC Bank

Not specified

Not specified

Not specified

Not specified

Not specified

Not specified

Bank of America

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

U.S. Bank

3.65% to 8.80%

$15,000 to $750,000

730

10-year draw period,
unspecified repayment period

$90

Not specified

Flagstar

Starting at 3.99%

$10,000 to $500,000

Not specified

10-year draw period
and 20-year repayment period

$75

Not specified

SunTrust/Truist

Starting at 4.64%

$10,000 to $500,000

Not specified

10-year draw period
and 20-year repayment period

None

24 hours

Figure

Starting at 3.50%

$15,000 to $400,000

620

5 to 30 years

3% to 4.99%

24 hours

Citizens Bank

Starting at Prime - 0.50%

Starting at $17,500

Not specified

10-year draw period,
15-year repayment period

$50

Not specified

TD Bank

Starting at 3.34%

Starting at $25,000

740

Not specified

$50

Not specified

Connexus Credit Union

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

Regions Bank

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 Hawaii

MoneyGeek compiled a list of the top home equity line of credit lenders in Hawaii to help you find the right lender for your preferred needs.

Remember that not many lenders provide HELOC, and those that do are primarily national banks that only lend to customers with good to exceptional credit. If a national lender rejects your HELOC application, MoneyGeek recommends looking at local credit unions as an alternative.

Best Overall HELOC Lender in Hawaii: Bank of America


  • Bank of America

    Bank of America offers a 1.99% introductory APR and no annual fees.

    • 6.740% for 6 months, then 9.550%APR Range
    • Not specifiedMinimum Credit Score
    • $25,000 to $1,000,000Loan Amount Range
    • 10-year draw period; 20-year repayment periodRepayment Terms
    • NoneAnnual Fees
    • Not specifiedPre-Approval Time
    Bank of America

    on Bank of America Website

Best HELOC Lender for Good Credit in Hawaii: U.S. Bank


  • U.S. Bank

    Borrowers with U.S. Bank can have up to a $750,000 credit limit.

    • 4.20% to 9.35%APR Range
    • 730Minimum Credit Score
    • $15,000 to $750,000Loan Amount Range
    • 10-year draw period; unspecified repayment periodRepayment Terms
    • $90Annual Fees
    • Not specifiedPre-Approval Time
    U.S. Bank

    on U.S. Bank Website

Best HELOC Lender for Bad Credit in Hawaii: Figure


  • Figure

    For borrowers with weak credit, this is an excellent extended-payment alternative.

    • From 6.55% to 15.54%APR Range
    • 620Minimum Credit Score
    • $15,000 to $400,000Loan Amount Range
    • 5 to 30 yearsRepayment Terms
    • NoneAnnual Fees
    • 24 hoursPre-Approval Time
    Figure

    on Figure Website

Best HELOC Lender for Competitive Rates in Hawaii: PenFed


  • PenFed Credit Union

    For the first six months, PenFed Credit Union provides a 0.99% introductory APR.

    • 0.99% for 6 months; 4.25% to 18% thereafterAPR Range
    • 660Minimum Credit Score
    • $25,000 to $1,000,000Loan Amount Range
    • 10-year draw period; 20-year repayment periodRepayment Terms
    • $99Annual Fees
    • Not SpecifiedPre-Approval Time
    PenFed Credit Union

    on PenFed Credit Union Website

HELOC vs. Home Equity Loans

Home equity loans (HELOANs) and home equity lines of credit (HELOCs) are excellent ways to fund major expenses with your home as collateral. However, there are differences between the two.

A home equity loan is a one-time payment made to the borrower. Over the life of the loan, the interest and monthly payments are usually fixed.

A home equity line of credit is a revolving credit line that functions like a credit card. You can withdraw money as often as you need within a certain time period and up to a certain limit (similar to a credit card). You must repay the amount borrowed. HELOC rates are often variable, meaning they might fluctuate according to economic conditions.

There is more information about their differences in the table below.

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

Applying for a home equity line of credit is relatively simple. Most lenders enable applicants to provide basic information via online forms. Here’s how to apply for a HELOC.

1

Determine how much you need

You must know your intended credit line amount and how you will utilize it before applying for a HELOC. Remember that a HELOC may be used for a variety of financial needs, such as debt consolidation, home improvements and college tuition.

2

Assess your financial standing

Evaluate your financial status in addition to deciding how much you need to borrow. Are you financially secure? Do you have any other credit cards open? To determine your capacity to repay the loan, most lenders have minimum credit score requirements. If you can take action to improve your credit before applying for a HELOC, you may be able to get a better interest rate.

3

Shop around and compare lenders

MoneyGeek advises taking the time to evaluate lenders and compare their offerings. This might also help you figure out which lenders and terms are the most suitable for your needs. It's critical to shop around for the best prices so you can lock in low rates before applying.

4

Apply

Although the majority of HELOC applications may be done online, certain lenders need you to contact them directly or visit a physical location. Typically, the application procedure requires you to provide details about your income and assets.

5

Use funds wisely

When using HELOC funds, make sure to keep track of your finances at all times. It's best not to think of it as a piggy bank that you can use for frivolous purchases like vacations and new cars. Also, keep in mind that interest rates may, without any notice, increase.

Frequently Asked Questions About HELOCs

For first-time consumers, understanding how a home equity line of credit works might be confusing. MoneyGeek provides answers to some frequently asked questions below.

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