If you have an open home equity line of credit you were counting on for renovations or other projects, you might want to read CNN Money’s article about how lenders are freezing them around the country. The main triggers for HELOC freezing are credit score changes and a rapid drop in home value in your area. The freeze may also be a computer-determined action, so if your HELOC suddenly goes away and you don’t think it was justified, it may be worth checking your FICO score and then contacting the lender to reopen the line or renegotiate it.
Is Your HELOC In Danger Of Being Frozen?
By cwalters April 22, 2008
More From Consumerist
- 3 Ways You Could Be Hurting Your Credit Score Even If You Pay Your Bills On Time
- Potential FICO Credit Score Changes Could Hurt, Rather Than Help Some Consumers’ Creditworthiness
- I Can’t Buy A Car Because Acura Thinks I’m Dead
- Facebook Patent Would Allow Lenders To Determine Creditworthiness By Looking At Your ‘Friends’
- Senator Pushes For System To Notify Consumers ‘The Moment Access To Their Credit Is Requested’