It’s been months since banks first began closing HELOC lines due to the worsening real estate market. But, customers continue to receive HELOC freeze and closure notices in the mail.

Monitor Bank Rates gives this concerning antedote:

“A close friend of mine had his HELOC closed by JP Morgage Chase on a home he and his wife owned. They didn’t owe any money on the HELOC but the interesting part of this story is they didn’t owe any money on their home at all. No primary or secondary mortgage balance, they owned their home outright but Chase still closed their home equity line of credit.”

Wow…a HELOC cancellation while the homeowner owes nothing? That’s definitely worth taking note of.

photo credit: Thairms

See Also:

HELOC Freeze Help

Tags | Heloc, heloc freeze, home equity line of credit