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iakov
Sep 8th, 2008, 01:14 PM
I was wondering if there was a HELOC that one could open without paying all the legal, assessment and processing fees.
I know that PCF has one very close to free but they still have $150 fee.
I also understand that interest at prime is very common with those type of loans. Anything lower?
Any insight would be appreciated!!!
brew99
Sep 8th, 2008, 06:12 PM
The standard answer is NO. There is always some costs (lawyers, etc.) associated with setting up a HELOC. The difference is, some lenders will cover the costs in part or some may cover it in full depending on what other products you may sign up for.

You need to shop around (actually get appointments), and talk to each of the lenders you are intrested in.

My experience has been that getting lower than $150 like PC offers is quite difficult without opening other products as well.

prime is pretty much standard
iakov
Sep 8th, 2008, 06:28 PM
The difference is, some lenders will cover the costs in part or some may cover it in full depending on what other products you may sign up for.


Do you have a suggestion about a particular lender that will cover those fees in full?
Thalo
Sep 9th, 2008, 01:32 AM
Do you have a suggestion about a particular lender that will cover those fees in full?

$150 is a pretty good deal compared to $300-$500 at most banks and over $1000 with a lawyer. No lender has a policy of covering these fees, it's up to you to negotiate.
HammerRFDer
Sep 9th, 2008, 01:45 AM
Yes, the odds don't seem good. The banks themselves have to usually pay some funds to get the loan itself secured against your property. And since the LoC could simply go unused, they have no guaranteed change of recouping those fees and admin costs.

Of course, some will likely be cheaper than others :)
jl001
Sep 9th, 2008, 10:13 AM
If your HELOC is large enough (100,000+), PCF will waive $150 fee (only if you ask for it).
gman
Sep 9th, 2008, 11:14 AM
Do you have a suggestion about a particular lender that will cover those fees in full?

CIBC (at least used to) has couple promotions every year. I did that 2 times with them, both 'free'.

The first time, it was totally free.
The second time, I need to keep a balance of certain amount until a set date. The interest charged was not even $50 and I needed to use that anyway. In other words, it was also 'free' to me.

My CIBC rep called me when there is a promotion. I did tell her to inform me when there is a 'free' deal.