• Loan or line of credit? Which is right for you?

Home Equity Comparison

The equity that builds up in a house can be one of the greatest benefits of home ownership. You can tap into your home's equity — the difference between the home's fair market value and the outstanding mortgage or liens owed on your home — for virtually any purpose.

A home equity loan is great for major, one-time projects, such as debt consolidation.* A home equity line of credit may be best for a series of projects like home improvements. Both feature low rates, and the interest you pay could be tax deductible.**

Not sure which home equity product is better for you? Use the side-by-side comparison chart below to make an informed decision.

Home Equity Line of Credit  Home Equity Loan  
Apply Now  Apply Now  
Interest may be tax deductible**Interest may be tax deductible**
Low, variable interest rateLow, fixed interest rate
You may be able to borrow up to 90%** of your home's equity.You may be able to borrow up to 90%** of your home's equity.
Easy access to your credit line with a First Tennessee credit cardImmediate funds in one convenient check
Line of credit stays openFixed monthly payments
Interest only payments during draw period†You may opt for automatic payments from your checking account.
No closing costs for lines over $25,000Flexible loan terms
Learn More  Learn More  

Other Resources

See Terms and Conditions for HELOC  

See Terms and Conditions for Home Equity Loan  

* Before consolidating debt, you should consider all factors including the cost of refinancing compared to the benefits.

**Consult your tax advisor about interest deductibility. Interest may not be deductible for loans with LTV greater than 100%.

† See Key Facts About Interest Only Home Equity Lines of Credit.

All loans subject to credit and collateral approval. Geographic restrictions apply.


  • Utilize our home and mortgage calculators

Federal Deposit Insurance Corporation Banking products and services are provided by First Tennessee Bank National Association. Member FDIC. Equal Housing Lender Equal Housing Lender.
All loans subject to credit approval.