I just got something in the mail from a business called Figure Home Equity Line. It's offering as low as 4.5% on a loan if I put my house up for equity and offers as much as 150k to borrow. Well, I was always told if it's too good to be true, it probably is. This business isn't listed in the Better Business Bureau, but when I Google it, I can't find anything bad about the business, only good. Most good things are said by that business but supposedly a banking firm ranked it 4 out of 5.
I also heard there are a lot of predatory lenders out there trying to use this as a way to take someone's house. I want to ensure this business is a legal business doing things correctly, but not sure how to find out. Is there something you can recommend online that I could search in order to find out if this business is good or not?
It is best to deal with local lenders for a home equity line of credit. Many of these "lenders" that send offers, are just fronts, and quickly sell your loan to someone else. They might be legitimate, but it is hard to determine. Before putting a mortgage on your home with a company you do not know, use the Find a Lawyer tab to retain a local real estate attorney to advise you. But an attorney might not be able to investigate the lender for you. Meet with your local lenders and compare their rates for home equity loans. You will know where to find them if issues develop, otherwise, when you pay off your loan, you might note be able to get a release of the mortgage, because you cannot find the lender holding it.
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