Home Equity Loan Question

[possumfat]

I'm awaiting closing but have been discharged, is it ok to apply for a home equity loan at this time without any problems ?

[bkadv]

In our case I know the mortgage company has us under the bankruptcy red flags until case closes. Our discharge took place in Dec. but won't close until this August due to assets being distributed. (tax refund) I know we can't do much until case closes.

[FilingOnMyOwn]

Probably best to wait until your case is closed. Even then, I'd keep it small, under 10K.

[SinkingFast]

Probably best to wait until your case is closed. Even then, I'd keep it small, under 10K.

Good idea, FOMO!

Uncle Sam tracks movements of cash. At $10K and above the banks automatically report to the government.

If you need more money than that, maybe take a HELOC instead of a traditional home equity loan to start. A HELOC will give you some flexibility on how much you take out and when you take it. Once you've taken what you need, then you Lock that portion in. The rate is fixed and many times, so is the term from that point on. You get some flexibility at the start, then you Lock and you have the same features of a traditional Home Equity Loan.