Home Equity Loans are used to access the equity or stored value in a borrower’s home. These loans are structured either as a Home Equity Line of Credit (HELOC) or an Adjustable Rate or Fixed Rate Home Equity Loan. With a HELOC, the borrower can access the line of credit for cash needed for home improvements, college expenses or other costs that may vary over time. The payment on the HELOC changes depending on the outstanding balance of the loan and the current interest rate. With a Home Equity Loan, the borrower receives a lump sum payment at closing, and the payments, unless changed in connection with a change in the interest rate on an Adjustable Rate loan remain the same, regardless of the loan balance.