Arkansas HELOC Rates and Lenders
Looking for a HELOC in Arkansas? There are plenty of options available to residents of the state. Online lenders are more convenient and competitive than ever, and local lenders can offer competitive rates, terms, and customer service.
For the most part, HELOC interest rates in Arkansas are similar to those in other areas of the country. Here’s exactly what you’re looking at regarding Arkansas HELOCs and how to get the best rate and terms.
Reviews of the best online HELOCs in Arkansas
Online HELOC lenders have two main benefits: convenience and transparency. It’s convenient because you’ll be able to apply and qualify quickly. It’s transparent because you’ll do it knowing exactly what your interest rate is going to be, what your loan terms are, and what the cost of the loan will be.
Having all that information upfront can help you make the best decision for your financial situation. To start, here are some top lenders to take a look at:
Figure
Best overall
Why we picked it
Figure stands out for its fixed interest rates, eliminating the uncertainty of fluctuating payments. The process is streamlined with no in-person appraisal needed, and the option to redraw up to 100% of funds adds flexibility. The platform offers quick funding, potentially available in as few as 5 days, and allows you to check your rate without affecting your credit score.
- Fixed interest rates
- No in-person appraisal is needed
- Option to redraw up to 100% of funds
- Funding can be available in as few as 5 days
- Check your rate without affecting your credit score
Loan details
| Rates (APR) | 6.55% – 15.54% |
| Loan amounts | $15,000 – $400,000 |
| Draw period | 5 years |
| Repayment term | 5, 10, 15, or 30 years |
| Funding time | As few as 5 days |
| Properties | Primary home, second home, or investment property |
| Credit score | 640 |
Bethpage
Best for large HELOCs
Why we picked it
Bethpage is ideal for those needing large HELOCs, offering borrowing limits from $10,000 up to $1 million without application, origination, or appraisal fees. Borrowers can benefit from a 12-month fixed introductory rate for qualified borrowers and $0 closing costs, with the added flexibility to convert part of the HELOC to a fixed-rate option.
- Borrow $10,000 – $1 million
- No application, origination, or appraisal fees
- Convert part of your HELOC to a fixed-rate option
- 12-month fixed introductory rate for qualified borrowers
- $0 closing costs
Loan details
| Rates (APR) | 6.99% for 12 months, then variable |
| Loan amounts | $10,000 – $1 million |
| Draw period | 10 years |
| Repayment term | 5, 10, or 20 years |
| Funding time | 36 – 70 days, on average |
| Properties | Primary homes, second homes, or condos |
| Credit score | 670 |
LendingTree
Best for comparison shopping
Why we picked it
LendingTree excels in providing access to multiple lenders, allowing for comprehensive comparison tools to find competitive rates and customizable loan options.
This platform is ideal for evaluating various loan offers to find the best fit for their financial situation.
- Access to multiple lenders
- Comprehensive comparison tools
- Competitive rates
- Customizable loan options
Loan details
| Rates (APR) | Starting at 6.24% |
| Loan amounts | $10,000 – $2 million |
| Draw period | 2 – 20 years |
| Repayment term | 5 – 30 years |
| Funding time | Varies |
| Properties | Varies |
| Credit score | Varies, 620 advisable |
Local HELOCs in Arkansas
There’s a lot of value in local lenders. Local lenders often have the advantage over online lenders when it comes to service and knowledge of the local market.
Also, if you’re not as comfortable with technology as you are walking into a branch, you’ll want to consider the personal side of Arkansas HELOCs. Here are some of the top HELOC lenders in Arkansas.
| Company | Rates (APR) | Location |
| Arkansas Federal Credit Union | From 7.50% variable | Little Rock, Jacksonville, Sherwood, Cabot, Conway, Bryant, Greenbrier, Benton, Searcy, |
| First Arkansas Bank and Trust | Not disclosed | Jacksonville, Cabot, Sherwood, Austin, Conway, Greenbrier, Guy, Quitman, Damascus, Heber Springs, Greers Ferry, Clinton, Higden, |
| Success Credit Union | From 8.25% variable | Blytheville, Gosnell, Paragould, Jonesboro, Forrest City |
As with other lenders, asking the following questions about your HELOC loan can help you decide on a lender:
- What terms (years to pay off) does the lender offer on a HELOC?
- Is it fully amortized from the beginning, or is there a draw and repayment period?
- What is the interest rate?
- Do I qualify for a discount on the interest rate?
- Do I need to become a member?
- How long does it take to fund the loan?
- What kind of appraisal is required?
- Can I check my loan terms and interest rate without a hard credit check?
What’s the difference between online and local HELOCs in Arkansas?
You’ll see several differences between online and local HELOC lenders.
Convenience
Online lenders offer online applications and processing that are hard to beat. Local lenders offer an online presence, but you usually won’t see a preapproval tool or other robust features.
The convenience you’ll find with a local lender is being able to drive to a physical location and ask questions face-to-face to a loan officer.
Comparison Shopping
Comparison shopping is a lot easier when you shop online, whether you’re doing it lender-by-lender or looking at a lending marketplace. It’s easy to submit your information to a single source and have multiple lending options presented to you, as is the case with LendingTree Marketplace.
Funding time
The amount of time it takes to receive your loan funds varies from lender to lender. However, some online HELOC lenders use technology that speeds the process along. They may be able to use automated valuation models (AVMs) in some cases; in others, a desktop or drive-by appraisal is all that is needed.
The appraisal is often the longest piece of the process, so if your lender accepts one of these alternative appraisal methods, your loan will likely be funded faster.
Transparency
Online lenders can show a potential borrower what the terms of their loan will be in minutes – and sometimes without a hard credit check. After submitting your information, the lender will show your loan options, including the loan term, interest rate, and cost of the loan.
Customer Service
Local lenders usually hold the edge over online lenders when it comes to service. They’ll be able to walk you through the process, call you if any paperwork is missing, or even help find alternative financing methods if a HELOC isn’t the right financing tool.
How do Arkansas HELOC rates compare to other states?
Nationwide, HELOC rates by state average 8.46% for credit unions and 8.54% for banks in 2024. This is in line with what we’ve seen offered for Arkansas HELOCs.
Though there isn’t much you can do to change the prime rate, you can move the dial regarding your personal qualifications.
How to get the best HELOC rates in Arkansas
If you want the best HELOC rates in Arkansas, you’ll want to consider these tips.
Work on your personal credit profile
Interest rates will vary a bit from lender to lender, but the real difference you’ll see in the kind of interest rate you’ll qualify for is from your own personal credit profile.
If your credit needs some work, you can pay down debt, increase your income, automate your bills so they’re always on time, and fix errors (if there are any). Working to get your credit in tip-top shape will benefit you the most.
Consider a lower loan amount
The interest rate you get also depends on your loan’s combined loan-to-value ratio. If you keep a substantial amount of equity in your home, say 75%, you can access the lender’s best rates. However, you’ll likely find less favorable terms if you try to get a HELOC that would increase your CLTV ratio to 85%.
Shop around
Check out all the different lenders available to you. Compare fees, loan terms, loan amounts, interest rates, and other loan conditions to find a lender that will suit your situation.
Are there any Arkansas-specific requirements or regulations?
Arkansas has consumer protection laws for loans using home equity under the Arkansas Home Loan Protection Act. If the loan is considered a “high-cost home loan,” which, as it applies to HELOCs, is a second mortgage with an APR 8.5 percentage points higher than the average prime rate offer for a second mortgage.
In other words, it’s a lot like a subprime loan:
Restrictions for the lender include:
- Maximum prepayment penalties are limited to 3% within the first 12 months, 2% in the second 12 months, and 1% thereafter.
- Points and fees cannot be more than 5% of the total loan amount if the total loan is $75,000 or more; 6% if the loan is between $20,000 and $75,000; and 8% if the loan is $20,000 or less.
- Cannot make a loan that does not offer a “tangible, net benefit to the borrower.”
- Cannot take more than four years for the borrower to recoup the costs of obtaining the second mortgage.
- Balloon payments and negative amortization are not allowed.
- The interest rate cannot increase.
Again, these restrictions are limited to high-cost home loans and most likely won’t apply to traditional HELOCs.
Before applying for a HELOC, you’ll also want to tell the lender what the property is being used for. HELOC rates differ for first and second properties, and some lenders may not offer HELOCs for second homes.
FAQ
What credit score do you need for an Arkansas HELOC?
The credit score requirement for a HELOC in Arkansas typically varies by lender. Most lenders prefer a minimum credit score of 620 to 640. However, higher credit scores can help secure better interest rates and terms.
What are the typical fees for an Arkansas HELOC?
Typical fees for an Arkansas HELOC can include application fees, origination fees, appraisal fees, and closing costs. These fees can vary depending on the lender and the loan amount.
Some lenders, like Bethpage, may offer HELOCs with no application, origination, or appraisal fees, and $0 closing costs, which can significantly reduce the overall cost of obtaining a HELOC.
Are there any special programs or incentives for Arkansas HELOCs?
While no state-specific HELOC programs are unique to Arkansas, borrowers may benefit from special offers or incentives provided by individual lenders. These include introductory interest rates, waived fees, or flexible draw and repayment terms.
Shopping around and comparing different lenders is advisable to find any available incentives or special programs that best suit your financial needs.
How we selected the best Arkansas HELOC rates and lenders
LendEDU evaluates HELOC lenders to help readers find the best HELOCs. Accessibility is important to this evaluation, so our editorial ratings system primarily focuses on companies available in most U.S. states. That’s why the lenders we selected in the online section have editorial ratings.
They’ve gone through an extensive review process and were determined to offer superior products compared to other lenders. We’ve also independently verified that these companies are available in Arkansas
Since most local lenders aren’t available outside state lines, they haven’t gone through the same review process as the online lenders. Instead, we found them through separate research and determined that each offered solutions worthy of consideration by readers.
Recap of online Arkansas HELOC lenders
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