HELOC

abbreviation or noun

ˈhē-ˌläk 

plural HELOCs

: a line of credit extended to a homeowner who uses their home as collateral : home equity line of credit

With a home equity loan or a home equity line of credit (HELOC), you can draw on your equity for just about anything—to fund your business, pay off high-rate debt or update your home, to name a few. And because … HELOCs are secured by your home, they typically come with lower interest rates than credit cards or personal loans. … A HELOC is a revolving line of credit, so you can borrow and repay funds as you need them.

—Emma Patch

Examples of HELOC in a Sentence

Recent Examples on the Web

Tap a home equity product Homeowners with sufficient equity may also want to consider using a home equity loan or home equity line of credit (HELOC) to pay off credit card debt. —Angelica Leicht, CBS News, 22 Apr. 2026

There are two ways to borrow from the value in your home: a home equity loan and a home equity line of credit (HELOC). —Liz Knueven, CNBC, 2 Apr. 2026

Other parents may decide to take a personal loan from their 401(k) for education or through a HELOC tied to their home. —Vanessa Duplessie, Forbes.com, 31 Mar. 2026

Word History

First Known Use

1987, in the meaning defined above