The draw period of a Home Equity Line of Credit is the time when you can borrow from your approved credit line as needed. At People Driven Credit Union, the HELOC draw period is 10 years, and during that time you make interest-only payments on the amount you have borrowed.
During the draw period, you can borrow, repay, and borrow again within your available credit line while the HELOC remains open and in good standing. This can be helpful if you need flexible access to funds for expenses that may come up over time instead of all at once.
After the 10-year draw period ends, the HELOC enters the 20-year repayment period. At that point, you can no longer draw additional funds, and your payments will include both principal and interest. If you have questions about how the draw period works, call 248-263-4100 or connect with a Home Equity Specialist.
