What is an Equityline VISA?
What is Equity?
What can I use my Equityline VISA for?
What amount can I borrow?
Who qualifies?
Do I have to declare or prove my income in order to apply?
I own a condominium. Can I apply?
What is the meaning of Loan to Value (LTV)?
Are there any restrictions associated with the Equityline VISA?
Can an Equityline VISA be issued to a corporation?
Are there any costs associated with setting up my Equityline VISA?
What is title insurance and how much does it cost?
What is a beacon score?
What is the minimum monthly payment?
Is there an annual fee?
How much can I spend?
How do I make a payment?
What is the grace period?
How long will I have my line of credit?
How do I access my line of credit?
Can I get a cash advance?
What is an Equityline VISA?
- The Equityline VISA combines the advantages of a line of credit with the convenience of a credit card using the equity in your home as security.
What is Equity?
- The equity in your home is the difference between the value of your home and the amount you still owe on your mortgage.
What can I use my Equityline VISA for?
- Your Equityline VISA is available to use any way you want. Whether it’s those small everyday purchases, consolidating your debt, vacation planning or home improvements, your Equityline VISA works for you.
What amount can I borrow?
- At Home Trust you can borrow up to 85% of the value of your home less any mortgages on the property.
Who qualifies?
- Owners of single family, owner-occupied homes - valued up to $500,000 - in all major and suburban areas of
Ontario with populations of over 25,000 may apply. Home owners who live in selected areas of Alberta,
British Columbia, Manitoba, New Brunswick, Nova Scotia and PEI may also apply.
Owners of properties valued at over $500,000 will have their applications reviewed on a case-by-case basis.
Home values will be verified with a property appraisal from a Home Trust approved appraiser. As well, your
existing institutional first mortgage must be up to date and i good standing.
(Our application process is title based, no guarantors may be used.)
Do I have to declare or prove my income in order to apply?
- Home Trust takes a very flexible approach to income verification. We know that many of our customers are
self-employed and look at each application accordingly.
I own a condominium. Can I apply?
- Yes, condominium owners can apply. High-rise condo owners may borrow to a maximum 80% Loan to Value (LTV)
in Ontario and a maximum 75% LTV in other provinces.
What is the meaning of Loan to Value (LTV)?
- Loan to Value is the ratio of the total mortgage balance owing divided by the fair market value of your home
(including the amount you are applying for).
Are there any restrictions associated with the Equityline VISA?
-
Yes, there are some restrictions:
- The product cannot be registered behind a private mortgage.
Can an Equityline VISA be issued to a corporation?
- No, corporations may not apply.
Are there any costs associated with setting up my Equityline VISA?
- Yes, there is a one-time account set-up fee of 2% of the approved credit limit and a title insurance fee. Both will be charged to your account and appear on your first statement.
What is FCT Insurance Company Limited and what is their fee?
- Home Trust uses FCT Insurance Company Limited (FCT) or FNF Canada (FNF) as its representative to prepare and register the documentation required to secure your Equityline VISA.
Both FCT and FNF offer convenient, personalized service that allows you to have this documentation signed or executed in the comfort of your own home. FNF is currently used only in Ontario.
The costs vary by province
What is a beacon score?
- A beacon score is another name for a credit score as calculated by Equifax, a leading credit scoring agency.
The score is calculated by factoring details of your personal credit history.
What is the minimum monthly payment?
- The minimum monthly payment is half of most other major credit cards, at 1% or 1.5% of the outstanding balance or $10.00, whichever is greater. Your minimum payment term will be based on your income, credit history and home equity available.
Is there an annual fee?
- No, there is no annual fee with your Equityline VISA.
How much can I spend?
- You can make purchases up to your credit limit. The amount of credit still available at any point of time will vary depending on your current outstanding balance.
How do I make a payment?
- A pre-authorized chequing form is required for every account. The minimum monthly payment of 1% or 1.5% of the balance or $10 (whichever is greater) will be deducted from your bank account each month on the payment due date as shown on your monthly VISA statement. Additional payments can be mailed in the envelope provided with your monthly statement. You also have the option of paying through online and telephone banking through the Bank of Nova Scotia, Toronto Dominion Bank, Canadian Imperial Bank of Commerce, Royal Bank, The Alberta Treasury, President's Choice Financial and the Bank of Montreal.
What is the grace period?
- Equityline VISA has a grace period of 21 days. The grace period is the time between the statement date and the payment due date during which you are not charged interest on your purchases. Cash advances are not included in the grace period.
How long will I have my line of credit?
- The Equityline VISA Card is yours as long as you own your home.
How do I access my line of credit?
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There are many ways to access your line of credit:
- write a convenience cheque
- use any ATM machine with a VISA logo
- use your credit card!
Can I get a cash advance?
- Yes, you can withdraw money from an ATM or visit any bank branch with a VISA logo.
