Great advice, but honestly 2k in 3month most people can spend it without waiting for home improvement spending…
I had a quote for fixed rate @4.99 for 150k , do you think it’s a good rate.
Or should I still shop around for lower rate?
Any suggestions, highly appreciated 
NJ , citizens bank
Webster Bank that covers Tri-State area also has good rates.
A lot of sign-up bonuses are out of reach for the average household’s spending. The average credit card holder charges somewhere around $500 a month.
Besides, using myself as an example, a lot of people don’t even think about getting new cards while they’re just bumping through life.
Somehow, though, I often remember to open something new when property taxes are due, it’s income tax time, or when it’s time to renew our insurance policies. 
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I’ve used Third Federal several times before and they are fantastic- pretty sure they operate in FL too. They currently have Prime -.75% on that amount of heloc. (Also have 5yr and 10yr loans for 5-5.5%)
When I used in the past they also had very low to zero fees.
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We did our last refi with Third Federal, and our LO was outstanding.
The rate was also amazing… 3/1 ARM at 1.74%, no points (obviously this wasn’t in 2022. ).
The origination fee was a bit higher than elsewhere, but the interest savings compared to other places erased the difference in no time.
Actually they have a branch 9mil from me, i will swing by Tuesday 
Their usual first response is - it is going to affect my credit score - as if it’s their most prized position in life. To which I always say I’ve 24 cards open at one point between my and my wife and everything seems to be pretty cool.
Though I’ve never paid RE taxes via credit card. They always bunded either into mortgage or lease (CT does property taxes on cars).
But car insurance - yep - I did that.
Unfortunately most people seem to learn about credit from places like Kredit Carma 
, but alas.
The escrow account isn’t necessarily required (if anyone’s interested, check your note or call your servicer and ask).
I prefer to pay taxes/insurance myself. Even with the credit card fee (around 2% here) the average person can come out significantly ahead by making the payment with a new card and collecting the sign-up bonus.
I don’t even need a sign-up bonus for this to make sense, though.
For example, my Bank of America Travel Rewards card pays a flat 2.625% back on everything (and has no annual fee). The net ~0.5% back isn’t life changing, but why leave it on the table?
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Agreed on the escrow account, i personally did it because it was my first purchase of a house, and wanted to play it safe …
Now, i know for a fact that for next purchase thier will be no escrow 
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Once you get below 80% loan to value and have made 12+ payments you can typically request to start doing your own escrow with most (all? Not sure if it’s a regulation or not)
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Didn’t know that, will inquiries with them
While shopping around for opening a HELOC , i came across two finds as below
PNC :- introductory rate of 2.99% for 6 month and variable 4.84% after the introductory period i.e i believe it is prime rate - 0.65
Third Federal :- 4.74% i.e prime rate - 0.75
I am naive on understanding these mortgage loans, any expert suggestions if there is any additional details to be looked out for ? Also if the above rates look good and which one is recommended?
Only 6 month introductory rate?
Unless things change it was 1 year before.
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Here are a few things to consider:
Is there an annual fee?
How much are the origination/closing fees? If $0 (meaning the lender pays them), do you have to reimburse them for the costs if you close the line within X years?
How long is the draw period? Most are 10-year, followed by a 20-year repayment window. DCU’s draw period is 20 years (at least it was when we did ours a couple of years ago), though, and there are probably others out there as well. (Is this even important to you?)
Does the credit line have a feature that allows you to lock the rate on a specific advance (while the rest of the line has a variable rate)? This is valuable in an increasing rate environment, especially if you have specific, immediate needs for some of the money.
As far as understanding the product, it’s basically revolving credit - like a credit card - that’s secured by your home. You can borrow and repay over and over and over during the draw period. The repayment window is exactly what it sounds like.
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Thank you trism for your valuable information.
Yes both have an annual maintenance fee and have 10 year draw period.
Good point on the rate lock feature on a specific advance, i shall follow up with them on this.
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Never thought of this. Thanks, will get on the phone with bank on Monday to ask them to remove escrow
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Regarding removing the escrow, the loan needs to be 2y+ in excellent outstanding. So for me need to wait a few more monts.
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