Offer only applies to new Fixed Rate Choice HELOC credit requests made by United States citizens or resident aliens with a valid U.S. Taxpayer identification number. Available for properties in Florida and Texas. Mercantil Bank Fixed Rate Choice Home Equity Lines of Credit (FRC HELOC) have a draw period of 10 years, after which you will no longer have access to borrow funds and will be required to repay the borrowed balance within a 10 or 20-year term. During the draw period, you may convert all or a portion of your outstanding FRC HELOC balance to a Fixed-Rate Loan Option (FRLO) for a term of 1, 3, 5, 7 or 10 years, resulting in fixed monthly payments on such balance at a fixed interest amortized over the selected term; provided, the fixed term does not extend beyond the draw period of the line. The minimum amount for a FRLO is $4,000. No more than 5 FRLOs may be outstanding at one time. Hazard, liability and windstorm insurance is required; flood insurance may be required. Subject to credit approval and program requirements.
1The Annual Percentage Rate (APR) for a FRC HELOC is variable and is based on the Prime Rate published in the Wall Street Journal (5.50% as of 12/19/2018), plus a margin. This APR is based on a 10-year repayment term and reflects (1) an "auto-pay" discount of 0.25% for Mercantil Bank checking account customers and (2) an "initial draw" discount of 0.25% for making a $150,000 minimum initial draw at closing and maintaining that balance through the first 3 billing cycles. To qualify for the “auto-pay” discount, payments must be made via automatic payment from a Mercantil Bank checking account which must be open and funded prior to closing. The discount may be terminated upon closure of the qualifying checking account. Your APR may vary based on credit history, property type, occupancy, lien position, line amount and other factors. At no time will the APR exceed 18%. Rates and programs are subject to change without notice. Contact us for current rates.
*Certain eligibility requirements and restrictions apply for line amounts greater than $1,000,000.
**Mercantil Bank pays all closing costs on lines up to and including $250,000. Initial escrow-related funding costs may apply. For lines over $250,000 up to $2,500,000, closing costs may range from $1,000 to $26,500.
For loans originated in Florida: Lines of over $250,000 will receive a $2,500 credit towards closing costs. A $500 early closure fee may apply if the line is closed within 2 years from account opening. A $75 annual fee is charged on the first anniversary of the account and every year thereafter.
For loans originated in Texas: Lines of over $250,000 will receive a $500 credit towards closing costs. Early closure fee does not apply. The minimum advance amount on the line is $4,000.
For more information on Home Equity products, refer to “What You Should Know about Home Equity Lines of Credit,” a consumer information booklet prepared by the Consumer Financial Protection Bureau. Consult your tax advisor concerning interest deductibility.