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Lines of credit

Home Equity Line of Credit

Convenient access to funds when you need them

A home equity line of credit (HELOC) from Bank of America is a flexible financing solution, secured by the equity in your home, to help pay for the things that are most important to you without having to sell assets or deplete your cash reserves. Rate are generally lower than unsecured borrowing options — plus:


  • No application fees, no closing costs (on lines of credit up to $1 million) and no annual fees.1
  • Convenient access to funds through Bank of America Online Banking, by phone or check, or by visiting a financial center.
  • The interest you pay may be tax deductible.2
  • The option to lock in your rate for predictable monthly payments with a Fixed-Rate Loan Option.3



Take advantage of these interest rate discounts

Automatic payments

Interest rate discount when you set up automatic payment at account to opening from your Bank of America checking or savings account4


Initial withdrawal

Up to 1.50%
Make an initial withdrawal when you open your account and receive a 0.10% interest rate discount for each %10,000 withdrawn (up to a maximum discount of 1.50%).


Bank of America Preferred Rewards5

Between 0.125% - 0.750%6
Interest rate discount, based on your rewards tier, for Bank of America clients with eligible accounts and balances at time of application.



How a HELOC works

With a HELOC, you’re borrowing against the available equity in your home which is used as collateral for the line of credit. As you repay your outstanding balance, the amount of available credit is replenished – much like a credit card. This means you can borrow against it again if you need to, and borrow as little or as much as you need throughout your draw period (typically 10 years) up to your approved credit limit. At the end of the draw period, the repayment period (typically 20 years) begins.

Learn more

Contact your Merrill advisor about whether a HELOC might be appropriate for you.

Things to consider

  • What are your current cash flow needs, and do you have enough to cover an upcoming large expense?
  • Do you own and have equity in a home?
  • How would your investment approach be affected by a major expense?

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You are invited to apply. Your receipt of this material does not mean you have been prequalified or pre-approved for any product or service we offer. This is not a commitment to lend; you must submit additional information for review and approval.


Merrill Lynch, Pierce, Fenner & Smith Inc., does not make commitments for or fund loans. Bank of America, N.A., (the “Bank”) does not serve in a fiduciary capacity with respect to all products or services. Fiduciary standards or fiduciary duties do not apply, for example, when the Bank is offering or providing credit solutions, banking or custody services or referrals to other affiliates of the Bank.


1You are invited to apply for a Home Equity Line of Credit (HELOC). This is not a commitment to lend; you must submit additional information for review and approval.


The term of a HELOC is 30 years: 10-year draw period, 20-year repayment period. Property insurance is always required and flood insurance is required where necessary. Certain property types are not eligible collateral. The variable minimum monthly payment will be an amount sufficient to repay the outstanding balance in principal and interest payments over the remaining term at the applicable APR, subject to a minimum payment of at least $100. The minimum line amount is generally $25,000, but lines as low as $15,000 are available in certain locations. Bank of America pays all closing costs on lines up to and including $1,000,000.


2 Please consult your tax advisor regarding interest deductibility.


3 Fixed-Rate Loan Option at account opening: You may convert a withdrawal from your home equity line of credit (HELOC) account into a Fixed-Rate Loan Option, resulting in fixed monthly payments at a fixed interest rate. The minimum HELOC amount that can be converted at account opening into a Fixed-Rate Loan Option is $5,000 and the maximum amount that can be converted is limited to 90% of the maximum line amount. The minimum loan term is 1 year, and the maximum term will not exceed the account maturity date.


Fixed-Rate Loan Option during loan term: You may convert all or a portion of your outstanding HELOC variable-rate balance to a Fixed-Rate Loan Option, resulting in fixed monthly payments at a fixed interest rate. The minimum outstanding balance that can be converted into a Fixed-Rate Loan Option is $5,000 from an existing HELOC account. The minimum loan term is 1 year, and the maximum term will not exceed the account maturity date. No more than three Fixed-Rate Loan Options may be open at one time. Rates for the Fixed-Rate Loan Option are typically higher than variable rates on the HELOC.


HELOC funds may not be used to purchase, carry or trade securities or repay debt incurred to purchase, carry or trade securities.


4 Lower your interest rate when you set up automatic payments at account opening from your Bank of America checking or savings account; by drawing and maintaining an initial qualifying balance for at least the first three billing cycles; and when you're enrolled in Bank of America's Preferred Rewards program at the time of application submission.


5 Preferred Rewards Program Eligibility: You can enroll, and maintain your membership, in the Bank of America Preferred Rewards® program if you have an active, eligible personal checking account with Bank of America® and maintain the balance required for one of the balance tiers. The balance tiers are $20,000 for the Gold tier, $50,000 for the Platinum tier, $100,000 for the Platinum Honors tier, $1,000,000 for the Diamond tier and $10,000,000 for the Diamond Honors tier. Balances include your combined, qualifying Bank of America deposit accounts (such as checking, savings, certificate of deposit) and/or your Merrill investment accounts (such as Cash Management Accounts, 529 Plans). You can satisfy the combined balance requirement for enrollment with either:

1. a three-month combined average daily balance in your qualifying deposit and investment accounts, or
2. a current combined balance, provided that you enroll at the time you open your first eligible personal checking account and satisfy the balance requirement at the end of at least one day within 30 days of opening that account.

Refer to your Personal Schedule of Fees for details on accounts that qualify towards the combined balance calculation and receive program benefits. Eligibility to enroll is generally available three or more business days after the end of the calendar month in which you satisfy the requirements. Benefits become effective within 30 days of y our enrollment, or for new accounts within 30 days of account opening, unless we indicate otherwise. Bank of America Private Bank clients qualify to enroll in the Diamond tier regardless of balance and may qualify for the Diamond Honors tier based on their qualifying Bank of America, Merrill and Private Bank balances. Certain benefits are also available without enrolling in Preferred Rewards if you satisfy balance and other requirements. For details on Bank of America employee qualification requirements, please call Employee Financial Services or refer to the Bank of America intranet site. Employees of companies participating in the Bank of America Employee Banking and Investing Program may be eligible to participate on customized terms. Refer to CEBI Program for details.


Home Equity Line of Credit (HELOC) interest rate discounts are offered to clients who are enrolled or are eligible to enroll in Preferred Rewards, based on their rewards tier at the submittal of home equity application (for co-borrowers, at least one applicant must be enrolled or eligible to enroll). Amount of discount (0.125% for Gold tier, 0.250% for Platinum tier, 0.375% for Platinum Honors tier, 0.625% for Diamond tier and 0.750% for Diamond Honors tier) is based on the rewards tier at the submittal of home equity application and is not subject to adjustment after the application is submitted. For further details, refer to the Preferred Rewards section of the Personal Schedule of Fees. Benefit is non-transferable. Preferred Rewards home equity benefit can be combined with certain other home equity interest rate discounts.


Banking, mortgage and home equity products offered by Bank of America, N.A., and affiliated banks, Members FDIC and wholly owned subsidiaries of Bank of America Corporation. Home Icon for Equal Housing Lender Equal Housing Lender.  Credit and collateral are subject to approval. Terms and conditions apply. This is not a commitment to lend. Programs, rates, terms and conditions are subject to change without notice.



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