Flexibility to have a variable or fixed-rate

$0 Origination Fee

%
APR¹

Easy application

PRIME -.50%

FOR LIFE

10 Year Draw

Quick access to cash

Interested in a fixed-rate loan? You can convert all or a portion of your home equity line to a fixed rate loan with 5, 10, and 15 year terms.⁴

We are a credit union located in Needham, Ma.

• No closing costs²
• No origination fees
• No application fees
• No annual fees
• No recording fee

Borrow up to 80% of the equity in your home³ ; with Equity Lines from $20,000 to $500,000; plus 10-year draw period with interest only monthly payment options.

None of those tricky teaser rates. Your HELOC APR will be Prime - 0.50% which is currently 8.00% APR.

Credit Union established in 1953. We've seen a lot and are happy to share our wisdom.

Designed for today's borrowers, our Home Equity program offers you the convenience of a line of credit and the security of a fixed rate loan.

Message Us or Schedule A Phone Consult

"We got our Home Equity Line from Direct Federal and couldn’t have been more pleased with the entire process. We received a great rate, were able to close quickly, and were kept informed of the loan status every step of the way. We are excited to build our dream kitchen and are so thankful Direct Federal was able to help us find a way to do it affordably."

"I applied for my Home Equity Line at Direct after researching every bank, credit union, and loan website I could find. Direct offered a straightforward, low-cost rate and they were able to offer a quicker turnaround time than anyone else I spoke with. Since then, I have also worked with them to open a Checking Account and Visa card with them. They can’t be beat. I can do all of my banking with them online and have yet to have to step into an actual branch."

Kyle Kessel | Framingham, MA

Kristen Taylor | Franklin MA

RATE

8.00% APR¹

Prime -.50% APR

TERM

Up To  20 Years

REPAYMENT PERIOD

After 10 Years

PRIME MINUS .50% FOR LIFE

• Borrow up to 80% of the equity in your home³ ; with Equity Lines from $20,000 to $500,000.
  
  
• 10-year draw period with interest-only monthly payment options.
  
  
• Convert all or a portion of your balance or available credit to a fixed rate loan.⁴ 

Don’t let that stop you from upgrading to the fastest growing credit union in Massachusetts. You can refinance your existing Home Equity Loan or Line and open one with Direct Federal. Don’t miss out on our market-leading rates. Start saving money each month and refinance today. 

Property Qualifications

• Property Located in MA, RI, or Southern NH
• Primary Residences Only
• 1-4 Family Home or Condo

¹ | The rate listed is the Annual Percentage Rate (APR) which is variable and is equal to the Wall Street Journal prime rate minus 0.50%, subject to a minimum rate of 3.00% and a maximum rate of 18% or the maximum rate permitted by law, whichever is less. Prime as of 7/27/2023 was 8.50%. This APR is available for new home equity lines only. Line must be secured by a 1-4 family home or condo. Primary residences only. The maximum loan to value is 80%. A $395 fee will be assessed if the line is closed within the first two years. Rates are subject to change. Property insurance will be required. Subject to credit approval.

² | An appraisal will be required for line amounts greater than or equal to $250,000. Appraisal to be paid by member. Appraisal fees begin at $500 for single-family and $650 for multi-family. Homes recorded in a Trust- fee’s may apply.

³ | Equity is determined based on the current year assessed value. Member may choose to purchase an appraisal if seeking a higher value. Appraisal fees begin at $500 for single-family and $650 for multi-family.

⁴ | Fixed rate loan option is only available during the home equity line of credit draw period. Minimum conversion amount is $5,000. Options available for fixed rate terms of 5, 10, or 15 years provided no fixed rate loan extends more than 30 years from the initial date of the mortgage that secures your home equity line of credit. Maximum of 3 fixed rate loans. The annual percentage rate for the fixed rate loan will be equal to an index plus a margin. Call for information about current index values and margins.

Already applied for a Home Equity Line?
Click here to check the status of your application.

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MEMBER SERVICES

781.455.6500

HOURS

Monday—Friday

8:00am-5:00pm

Saturday

8:00am-1:00pm

Not-For-Profit

Established 1953

One of the Fastest Growing Credit Unions in Massachusetts

50 Cabot Street Needham, MA 02494

888.2DIRECT

DOES MY PROPERTY QUALIFY FOR A HOME EQUITY LOAN OR LINE?

Qualifications

• Property Located in Massachusetts( Barnstable, Bristol, Essex, Middlesex, Norfolk, Plymouth, Suffolk, and Worcester Counties), Southern New Hampshire, and Rhode Island.
• Primary Residences Only
• 1-4 Family Home or Condo

IF I ALREADY HAVE A HOME EQUITY LINE AM I ELIGIBLE FOR AN INCREASE?

Yes, please apply online. There are no fees if it is once per calendar year.

WHAT IS THE "DRAW PERIOD" ON A HOME EQUITY LINE?

The Draw Period is the period of time you can access funds from your Home Equity Line. Direct offers a 10-year draw period with interest-only monthly payment options.

WHAT IS THE "REPAYMENT PERIOD"?

At the end of your 10-Year Draw Period, you will enter the Repayment Period. The Repayment Period is the time during which you make monthly principal and interest payments to gradually pay off your balance.

I WOULD LIKE TO OPEN A HOME EQUITY LOAN OR LINE. WHAT IS THE MINIMUM OR MAXIMUM AMOUNT I CAN APPLY FOR?

With Direct Federal, you can open a Home Equity Loan or Line for any amount between $20,000 and $500,000.

CAN I PAY OFF A HOME EQUITY LOAN OR LINE WITH ANOTHER LENDER USING A DIRECT FEDERAL HOME EQUITY LOAN OR LINE?

Yes.

WHAT FEES OR COSTS ARE ASSOCIATED WITH A HOME EQUITY LOAN OR LINE FROM DIRECT FEDERAL?

There are no application fees, no closing costs, and no annual fees associated with a Direct Federal Home Equity Loan or Line. If the line is closed within the first two years of being opened an early termination fee of $395 would be applied.

Requested Lines for $250,000+ require an appraisal. Also, if you believe your home value is higher than our assessed value, an appraisal may be required in order for us to approve the amount requested.

Appraisal Fee Estimates: Single-Family $500 and Multi-Family Properties $650

HOW MUCH CAN I BORROW?

You may borrow up to a maximum loan-to-value (LTV) of 80%.

HOW LONG DOES IT TAKE TO APPLY AND RECEIVE A DECISION?

It takes about five minutes to apply and you will have an answer within one business day.

WHAT DOCUMENTATION IS REQUIRED TO CLOSE A HOME EQUITY LOAN OR LINE?

Required documentation will include but is not limited to: an insurance binder, insurance declaration page, income verification, mortgage statement, and valid license or identification.

Equal Housing Lender. Your savings are federally insured to at least $250,000 and backed by the full faith and credit of the United States Government. National Credit Union Administration, a U.S. Government Agency.

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