The bank increased the rate on my variable rate home equity line of credit (HELOC) without providing any notice. Can it do this?
When you contracted for the HELOC, the bank was required to provide you with a disclosure that explained this variable rate feature and when a rate may change, such rate changes are not considered a change in terms. However, your new rate is still required to be disclosed on your periodic statement that is sent before your next payment is due.
Last Reviewed: April 2021
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