HELOC Payment Calculators

Calculate your home equity line of credit payments with precision. Choose from interest-only, amortization, draw period, or payoff calculators.

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Interest-Only HELOC Calculator

Calculate your monthly interest-only payments during the draw period. See exactly what you'll pay before principal payments begin.

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HELOC Amortization Calculator

View your complete payment schedule with principal and interest breakdown for the entire loan term.

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Draw Period Payment Calculator

Prepare for payment shock. Calculate how much your payments will increase when the draw period ends.

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HELOC Payoff Calculator

Create a debt payoff plan. See how extra payments can save you thousands in interest and years of payments.

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Understanding HELOC Payments

A Home Equity Line of Credit (HELOC) typically has two distinct phases that affect your monthly payments:

Draw Period (Usually 5-10 Years)

During the draw period, you can borrow money up to your credit limit and typically make interest-only payments. This keeps your monthly payments low, but you're not reducing your principal balance.

Repayment Period (Usually 10-20 Years)

Once the draw period ends, you can no longer borrow money and must repay both principal and interest. This often causes "payment shock" as your monthly payment can double or triple.

How to Use These Calculators

  • Interest-Only Calculator: Use this to estimate your payments during the draw period
  • Amortization Calculator: See your complete payment schedule from start to finish
  • Draw Period Calculator: Prepare for the payment increase when repayment begins
  • Payoff Calculator: Plan to pay off your HELOC early and save on interest

Common HELOC Payment Mistakes to Avoid

  • Only making minimum interest-only payments without reducing principal
  • Not preparing for payment shock at the end of the draw period
  • Treating a HELOC like a credit card with revolving debt
  • Ignoring the impact of variable interest rates on future payments

Check Current HELOC Rates

Interest rates change daily. To get the most accurate calculation, we recommend checking current market rates from trusted sources:

Expert Tips for Smart Borrowing

🛡️Pro Tip

Attack the Principal Early

Don't fall into the 'minimum payment trap'. Making principal payments during the draw period saves you thousands in interest later.

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Watch the Prime Rate

Since HELOCs are variable, pay attention to Fed announcements. A 0.50% rate hike on a $100k balance increases your cost by $42/month overnight.

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The 'Zero Balance' Strategy

You don't pay interest on money you don't use. Keep your balance at $0 until you actually need the cash for a renovation or emergency.

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Refinance Alert

If prime rates drop significantly, ask your lender for a 'loan modification' to lower your margin without a full refinance.

Frequently Asked Questions

Unlike a standard mortgage where you pay both principal and interest from day one, a HELOC has two phases. During the 'Draw Period' (usually 10 years), you often only have to pay interest on what you borrow. During the 'Repayment Period' (usually 20 years), you pay back both principal and interest, which causes the monthly payment to jump significantly.
Yes, and you absolutely should! Paying only the interest keeps your monthly costs low now, but your loan balance stays exactly the same. By paying even $100 extra towards principal each month during the draw period, you reduce the 'payment shock' that happens when the repayment period begins.
HELOC rates are variable, usually tied to the Prime Rate. If the Federal Reserve raises rates, your HELOC rate goes up, and so does your interest payment. Also, if you transitioned from the draw period to the repayment period, your payment increased because you are now paying down the loan balance, not just the interest.
Some lenders offer the ability to 'fix' a portion of your balance. This protects you from rising interest rates. If you believe rates will climb, locking in a fixed rate gives you predictable monthly payments, much like a traditional home equity loan.
It's simple math: Take your Loan Balance × Interest Rate used as a decimal (e.g., 0.08 for 8%). Divide that annual number by 12. For example, $50,000 × 0.08 = $4,000 per year. $4,000 / 12 = $333.33 per month.

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