No Insurance Home Equity Loan

Ensuring you can always access the funding you need.

Wish you could access equity in your home but the cost of maintaining insurance prevents you?

Needing to pay for Home Owners’ Insurance and Windstorm Insurance while wanting to borrow from your home equity can often put borrowers between a rock and a hard place. We have heard from a lot of members who chose to discontinue buying these insurances because the cost doesn’t seem warranted compared to other needs. Of course you can only be empowered to make that decision if you own your home free and clear.

Unfortunately, most lenders require maintaining these insurances to borrow against the equity in your home. First Choice Credit Union isn’t going to let that technicality stop us from assisting our esteemed members. FCCU has developed a mortgage loan that provides some relief in these cases.

This loan is not for everyone. There are stringent qualifications:

  • Maximum Loan $50,000
  • Maximum Term 10 years
  • FCCU must be in 1st position with loan
  • Loan to Value less than 35% using Palm Beach County Property valuation adjusted up
  • Land Value must be at least double the loan value
  • Single Family Homes only
  • No Home Equity Lines of Credit (HELOC)

*The Credit Union provides no information or guidance as to the advisability of obtaining or maintaining homeowners and/or windstorm insurance. Members should get proper financial and legal advice to determine their personal insurance needs. Lack of homeowners and/or windstorm insurance to cover lost or damaged collateral property does not modify repayment obligations under loan.

No Insurance Home Equity2, 3, 4, 5
CREDIT SCOREAPR1
5 Years10 Years
720+5.875%6.250%
680-7196.125%6.500%
640-6796.375%6.750%
600-6396.875%7.250%
Less than 6007.875%8.250%
No Insurance Home Equity2, 3, 4, 5
CREDIT SCOREAPR1
5 Years10 Years
720+5.875%6.250%
680-7196.125%6.500%
640-6796.375%6.750%
600-6396.875%7.250%
Less than 6007.875%8.250%
1 APR = Annual Percentage Rate. Individual loan rates are determined by members’ specific credit history. Loans are subject to credit approval. Some restrictions may apply. Rates may vary depending on your credit report. We rely on a national credit bureau for obtaining your credit score. This score may differ from a credit score you find from other sources. We will not use credit scores from other score providers or accept for consideration other scores you provide. Rates are subject to change at any time. Contact a First Choice Credit Union associate for complete details. Full loan disclosures will be given when loan is disbursed at closing.
2 Rate discounts are not available for Home Equity or Home Equity Line of Credit.
3Payments do not include taxes and insurance which are the obligation of the borrower.
4Terms of Repayment Example: a $50,000 loan, with a term of 10 years at 6.25% APR, would work out to a payment of $561.40 a month.
5First Position indicates there will be no other lienholder other then First Choice Credit Union. If the applicant is not in First Position as indicated here the loan is a Second Position loan.