The availability of no-doc and self-employed HELOCs has pretty much dried up. But, many HELOC lenders are still advertising these loans on their websites.

For example, if you take a look at Wells Fargo’s main home equity webpage, you’ll see information for self-employed borrowers. Here are a few of the “benefits” that they claim to offer:

- Competitive pricing for self employed individual

- Rapid approval

- Flexible term choices

Amazed that they were still offering such loans in today’s market, we gave them a call. Are these HELOCs really available? “No.” Is there even a similar HELOC product available for self-employed borrowers? “No.”

The question is: why are major HELOC lenders still advertising for non-existent loans? The HELOC crisis has been going on since at least January and I doubt these major banks only update their websites once a year. Maybe they are so desperate to find qualifying customers that they are casting their nets as wide as possible. If you fall for the advertising but don’t make the cut, they’ll just throw you back.

See Also:

OCC Chief Urges Stricter HELOC Underwriting

Is a HELOC Right for You?

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