How Does Your Credit Score Affect Your Rate?
Use our comprehensive estimator to see how improving your credit score could lower your HELOC payments.
HELOC Calculator - Comprehensive Estimator
Similar to tools you might find on major financial sites like NerdWallet, this calculator helps you estimate your HELOC payments by factoring in your credit score tier. Lenders typically reserve their lowest "advertised rates" for borrowers with excellent credit (760+). See how your tier stacks up.
Estimate Your Rate & Payment
Estimated Monthly Payment (Interest Only)
$385
Based on a $50,000 balance at 9.25%
How Credit Score Affects Your Cost
| Credit Tier | Est. Rate | Monthly Payment | Annual Cost |
|---|---|---|---|
| Excellent (760+) | 8.50% | $354 | $4,250 |
| Very Good (720-759) | 8.75% | $365 | $4,375 |
| Good (680-719) | 9.25% | $385 | $4,625 |
| Fair (640-679) | 10.50% | $438 | $5,250 |
Frequently Asked Questions
What credit score is needed for a HELOC?
Most lenders require a minimum credit score of 620 to 680 to qualify for a HELOC. However, to get the best rates (like the "Prime Rate" offers often advertised), you typically need a score of 760 or higher.
Does shopping for a HELOC hurt my credit?
Applying for a HELOC triggers a "hard inquiry," which can temporarily drop your score by a few points. However, if you apply with multiple lenders within a short window (usually 14-45 days), credit bureaus typically treat them as a single inquiry for scoring purposes.
How can I improve my rate?
Besides improving your credit score, you can lower your rate by: (1) Lowering your Debt-to-Income (DTI) ratio, (2) Maintaining a lower Loan-to-Value (LTV) ratio (i.e., having more equity), or (3) Setting up automatic payments with the lender.