I'd like to sign up for Azura's monthly eNewsletter too!


What is a HELOC and How Can I Use It?

By Azura Credit Union

 A HELOC, or Home Equity Line of Credit, is a valuable tool many home owners use to make the equity in their home work for them!

HELOC's typically have lower interest rates than unsecured loans and credit cards, and the line of credit is there when you need it. By tapping into your home's equity, you can use the funds to make home improvements, pay off high interest debt, and more!


Young Couple Home Equity Construction-955195-edited


Whether you say in your home or sell it, making updates to your home can be a great way to increase your happiness and quality of life. Before taking on renovation projects, you'll want to set goals that help you make the most sense for your home and deliver the investment you expect.

A few high-return home improvement projects you may want to take on with a HELOC include:

  • Kitchen renovations
  • Touching up your landscaping
  • Modernizing your bathroom
  • Converting your basement into a living area
  • Upgrading your interior paint

While these improvements can range from a few hundred to tens of thousands of dollars tend to be what future buyers look for, you may find you want to stay in your home instead.



When tackling your debt you'll typically save the most if you pay off high interest debt first. Since the average interest rate on a HELOC can be lower than the average credit card interest rate, using a HELOC to pay off their credit card debt, student loans, or other financial debts could be a great strategy for you.

Keep in mind that there is no one size fits all approach to getting out of debt, so if you're not sure where to start you can reach out to one of our financial counselors to start developing a plan for setting and achieving financial goals.



Everyone should have an emergency fund to cover events such as unexpected car repairs and appliance breakdowns. Most people keep these in savings accounts, but you might consider a home equity line of credit as another source of emergency funds. You only pay interest on the amount you borrow, and you could pay the loan off quickly to save money. 


If you think you're ready for the next step, speak with one of our Home Loan team members to learn more about Azura's HELOC options by calling (785)233-5556 or request an appointment online today.


Tags: Home Loans