Established way back in 1852, Wells Fargo is one of America's "big four” banks. With a solution for almost all aspects of everyday finance, including banking, investments, and mortgages, it seems almost inevitable that Wells Fargo should make it onto a rundown of the best home equity loan providers.
Wells Fargo says it wants to help consumers manage their money effectively, and for those looking to release the value in their home, its home equity solution does just that. If you're looking to realize funds to pay off debt, it may be worth considering that Wells Fargo features in our shortlist of the best debt consolidation companies too.
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Wells Fargo HELOC: What you need to know
Wells Fargo HELOCs are available to residents in most states, with varying terms and interest rates to suit each household’s plans. They have a low minimum draw amount of $300 in all states except Texas, where the minimum draw amount is $4,000. They offer different solutions for households depending on their plans for financing. They offer capped interest rates, flexible fixed rates, and discounts for pre-existing Wells Fargo customers. You can find out more about the leading home equity reviews in our round up of the best home equity loan lenders.
Their current starting base rate APR is around 4% variable although they adjust their rates depending on the index. They have options available that allow customers to cap the interest rate increase they could face for the period of the loan whilst maintaining a variable rate. They also offer standard flexible rates and fixed rates. A banker will be able to advise you in terms of which option would be best adapted to your circumstances and plans for the future.
Wells Fargo allows clients to apply online, via an easy to use platform. But they also accept applications in a branch and over the phone. There is a helpful application status tracker on the website too.
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Wells Fargo HELOC: Features
- Flexible interest options
- No closing fees
- Easy application
Information Support: Online, phone, in person
Support: Online, phone, in-branch
Interface: Computer, tablet and mobile
Wells Fargo HELOCs allow homeowners who have already paid off part of their mortgage to borrow money secured against the equity they own in their homes. They offer fixed-rate draw periods, with terms falling into the industry average of around 30 years, but this does depend on the exact product you decide is right for you.
The bank’s offers vary slightly from state to state, with Texas being the only state where a higher draw amount is required. In all other states, the minimum draw amount is just $300. They offer a credit card that is directly linked to the HELOC in all states except for Connecticut, New York, and Texas.
They offer a good range of different terms and rates to suit different household budgets and plans, making their offers more flexible than some other providers who have fewer options available. They also offer existing Wells Fargo customers reduced interest rates on some products, so if you are considering opening a HELOC with them you may find it worthwhile opening an eligible checking account too
Wells Fargo HELOC: Interface and usability
- Easy to apply online, or in-person
- Online application tracking
- Easily manage your account online or on their app
Wells Fargo has a straightforward application process, although you may need some help deciding on the loan that is right for you due to the variety of options they have when it comes to fixed, flexible, and capped rates.
Borrowers can apply online or in person. Wells Fargo has local branches across the county, but their online banking system is so efficient that those who do not live near a branch could seriously consider their offers regardless.
As well as an online application system, which is quite standard, they also offer an application tracking platform that helps take the stress out of the process and prevents any delays from waiting for documents. They offer customer service over the phone, in person, and via live chat online. Once you have opened your account, you can track spending and repayments online too, which makes managing your money more straightforward.
Wells Fargo HELOC: Quality of product
- Discounts for existing customers
- Fixed, capped, and variable interest options available
- No closing fees
Customers can borrow up to 80% of the value of the equity they own in their home, although this can vary depending on circumstances. Their minimum FICO score requirement is 620, so those with fair credit may be able to be approved with Wells Fargo whereas other providers tend to have tougher requirements.
Deciding on which interest option is best for you can be confusing and Wells Fargo’s bankers are there to help answer any questions you have about this. Some of the options even allow you to start on a variable rate whilst giving you the option to lock in a rate at a later stage.
HELOCs are often offered with requirements that push those without good credit out of the market, but the minimum requirements from Wells Fargo make it accessible to a wide range of households.
Wells Fargo HELOC: Customer reviews
As Wells Fargo is such a large bank, tracking down HELOC reviews can be slightly tricky. However, as with most financial companies, the main issue seems to be communication when things go wrong. Whether that’s not being able to make a payment in time, going through a change of HELOC provider or even dealing with a HELOC for a deceased person’s estate, it seems that communications around these issues can be confusing or upsetting for individuals. But overall, these types of complaints are few and far between.
Wells Fargo HELOCs: Verdict
Wells Fargo’s HELOCs fall within the standard range of interest rates, but they offer more options for those looking to lock in predictable payments for the duration of their borrowing. They are a more accessible lender than other providers, with lower than average minimum FICO score requirements.
They have made their online application system very straightforward, and the application tracking option is really helpful to allow customers to keep an eye on when their funds will become available. Customer services are easy to reach, either over the phone, online or in person. They have brought their services into the 21st Century with efficient online systems to help customers keep track of their finances and repayment schedule.
Wells Fargo offers a great range of HELOCs for those who might not otherwise be eligible. Their options are adaptable to a wide range of personal situations and can be adjusted to suit families’ plans for the future.