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Bank of America’s HELOC is a revolving line secured by your home, with a six-month introductory variable APR of 5.740% and a subsequent variable APR of 8.525% in the rates published September 23, 2026. Those examples assume excellent credit and include specified discounts; they are not a personal quote or approval promise. The line may suit borrowers who want to draw funds over time, but its rate can change and an early closure fee applies if you close it within 36 months.
What Bank of America’s HELOC rate is—and what it includes
Bank of America’s rate page displayed these variable APRs as of September 23, 2026:
| Rate period | Displayed variable APR | Basis |
|---|---|---|
| First six months | 5.740% | Introductory APR; the bank says customer and other discounts are not available during this period. |
| After the introductory period | 8.525% | Illustrative rate includes a 0.125% automatic-payment discount and a 0.600% initial-draw discount for a $60,000 opening withdrawal. |
These are company-published examples, not guaranteed rates. Bank of America says the examples assume excellent credit, may vary by collateral property state, and can change without notice. The variable rate is based on the Wall Street Journal Prime Rate, so it can rise or fall during the life of the line. Check the rate and discount terms in your own offer before applying. Bank of America’s HELOC rate page provides the current disclosures.
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How the discounts work
- Automatic payments: The bank advertises a 0.125% discount for eligible automatic monthly payments from a Bank of America checking or savings account. Bill Pay does not qualify.
- Initial withdrawal: The advertised discount is 0.10% for each $10,000 withdrawn when the account opens, up to 1.50%.
- Rewards membership: Eligible or enrolled Bank of America Rewards members may qualify for up to 0.625%.
Discount eligibility and combination rules affect the rate; the introductory variable period excludes customer and other discounts. Confirm which discounts apply to you rather than assuming the example rate will be available.
Eligibility and how much you may be able to borrow
Bank of America says applicants need a minimum credit score of 660+ and at least 15% equity to get started. Its general borrowing guidance is up to 85% of the home’s value minus the amount owed on it. These figures are starting guidance, not an approval or guaranteed line limit: underwriting and collateral determine the actual outcome.
The bank says lenders also typically review credit history, employment history, income and monthly debts. Its public pages do not establish every underwriting rule, property restriction, state availability detail, or an individual applicant’s approval odds. Ask the bank to confirm the requirements and terms for your property and location. Bank of America’s HELOC product page describes its application and eligibility guidance.
How access and repayment work
A HELOC is revolving credit secured by your home: as you repay principal during the draw period, that amount becomes available to borrow again. Bank of America describes a typical 10-year draw period followed by a typical 20-year repayment period. These are general periods, not a promise that every account will use those exact terms.
You can access funds through Online Banking, by phone, at a financial center or by check; the bank also says customers can manage and pay the line online or in its mobile app. Payments include principal and interest, and can change as your balance or variable rate changes. When the draw period ends, the account enters repayment, so the payment pattern may differ from what you experienced while drawing funds. Review the payment terms and end-of-draw impact before borrowing. Bank of America’s HELOC explainer describes the typical periods and mechanics; the product page covers access methods.
Fees: what “no fees” leaves out
Bank of America advertises no application fee, no annual fee, no closing costs for lines up to $1,000,000, and no fee to convert a variable-rate balance to its Fixed-Rate Loan Option. Those claims have stated limits and should not be read as meaning the line has no possible fees.
The bank’s explainer says an early closure fee applies if you close the HELOC within 36 months of opening it. The public information summarized here does not establish the amount or every circumstance for that fee. Review the account’s current disclosures and ask the bank for the complete fee schedule before opening or closing the line. The product page lists advertised fee terms, and the HELOC explainer notes the early-closure fee.
Can you fix the rate on part of the balance?
Bank of America allows customers to convert some or all of a variable-rate balance to a Fixed-Rate Loan Option. A selected portion then has fixed payments for its chosen term, which can make that portion’s payment more predictable. The bank says the fixed rate is typically higher than the current variable rate and allows up to three fixed-rate options at once. That can reduce exposure to future rate changes on the converted balance, but it is not necessarily cheaper than leaving the balance variable. Check the offered fixed rate and term before converting. The bank’s Fixed-Rate Loan Option page explains the feature.
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How it compares with other ways to borrow against home equity
A HELOC is not automatically cheaper or better than a fixed home equity loan or cash-out refinance. Compare the structure and total cost against the way you expect to use the money:
| Decision point | HELOC | Fixed home equity loan | Cash-out refinance |
|---|---|---|---|
| How funds arrive | Revolving access; borrow as needed during the draw period. | Typically a lump sum. | Cash is taken from a refinanced mortgage balance. |
| Rate exposure | Bank of America’s rate is variable; a portion may be converted to its fixed-rate option. | Compare the fixed-rate offer and payment terms. | Compare the new mortgage rate and total borrowing cost. |
| Existing first mortgage | Compare the HELOC cost alongside the existing mortgage. | Compare the loan cost alongside the existing mortgage. | Replaces the existing mortgage with a new one, so assess the impact on its rate and terms. |
| Best fit to evaluate | May fit borrowing in stages when the full amount is not needed upfront. | May fit a known expense when a lump sum and fixed payment terms matter. | Worth comparing when refinancing the first mortgage is also under consideration. |
For each offer, compare the rate, whether it can change, draw and repayment schedules, upfront and ongoing fees, early-closure terms, and total cost over the period you expect to borrow. A personalized comparison is necessary; the bank’s public pages do not establish which option will cost a particular borrower less.
Independent reader supportYour contribution helps us test, update, and keep practical guides available for everyone.When this line may—or may not—fit
It may fit if
- You expect to use credit in stages rather than take one lump sum at the start.
- You can manage a variable rate and payment that may change, or the fixed-rate option is suitable for part of your balance.
- You have compared the line’s fees and repayment transition with the cost of other financing.
Consider another structure if
- You need a single known amount and want to compare it with a fixed home equity loan.
- You do not want to put your home up as collateral or cannot manage payments if rates rise.
- You are considering closing the line within three years and need to understand the early-closure fee first.
Other considerations before applying
Bank of America lists renovations, education expenses, unexpected costs and higher-interest debt consolidation as possible HELOC uses; these are examples, not a recommendation to borrow. The bank also says interest may be tax deductible and advises consulting a tax advisor because tax rules can change. Check the tax treatment of your specific use rather than assuming interest will be deductible. The bank’s HELOC explainer discusses uses and its tax caution.
The bank’s calculator page states that its special six-month introductory offer ends December 31, 2026. That date applies to the advertised offer, not to an individual approval or rate lock; verify the terms and availability directly before relying on it. See the HELOC payment calculator page.
Quick Recap
Product prices and availability are accurate as of the date/time indicated and are subject to change. Any price and availability information displayed on Amazon at the time of purchase will apply.
