Discover is among the top home equity loan lending companies and is well known for charging lower fees than its market competitors. This online bank does not charge origination, application, or appraisal fees. Discover does not charge an upfront cash fee at closing.
Discover home equity loans have fixed interest rates that range from 5.99% to 9.99% for first lenders and 6.99% to 12.99 % for second liens. The company offers loan limits that range between $35,000 and 300,000 and allows borrowers to repay their loans in terms ranging from ten to thirty years.
Discover allows clients to conduct an online self-check to know if they are eligible for the home equity loan before making a formal loan application. Clients who stand a higher chance of getting their loan applications considered are those with a credit score of not less than 620 and an excellent equity in their homes, usually ranging from 10% to 20%.
The amount of loans you can borrow from Discover depends on clients. Creditworthiness. Borrowers with a credit score exceeding 700 are eligible for loans over $150,000 with a guarantee of lower rates.
The company assigns bankers to any client with a successful loan application to help them guide through the process. Discover allows clients to review, sign, and submit closing documents online using its eClosing features.