Rockland Trust
- Home equity loan, HELOC
- Starting at 6.49%
- N/A
- Live phone support is available at 508-732-7072
Rockland Trust is a full-service commercial and retail bank that was founded in Rockland, Massachusetts, in 1907, and now has nearly $20 billion in assets under management with more than 1,700 employees. The regional bank ranked first this year in customer satisfaction in retail banking in New England in J.D. Power’s banking satisfaction study.
Rockland Trust offers both a home equity loan and a home equity line of credit, or HELOC, as well as a fixed-rate conversion option for its HELOC. The bank’s website has an easy-to-use calculator to help you determine the maximum amount you can borrow from your home.
Rockland Trust: At a glance
| Types of loans offered | Home equity loan | HELOC |
|---|---|---|
| APR range | Starting at 6.49% | Starting at 6.49% |
| Loan amount | $25,000 to $400,000 | $25,000 to $750,000 |
| Credit score minimum | N/A | N/A |
| Repayment terms | Five to 20 years | Up to 20 years |
| Average time for approval | N/A | N/A |
Rates as of Dec. 09, 2022
Homeowners who live in Massachusetts or the New England area are best suited for Rockland Trust as it’s a regional bank. It has more than 120 branches, the large majority of which are in Massachusetts, although it also has some locations in Rhode Island. To qualify for Rockland’s best rates, when it comes to your home equity, you’ll need to have a combined-loan-to value ratio, or CLTV ratio, of 75% or less. Your CLTV is simply your mortgage balance divided by all outstanding mortgages and loans taken out against your property.
Pros
Fixed-rate conversion: You can convert a portion, or all, of your variable-rate HELOC into a home equity loan with a fixed interest rate. The minimum conversion is $10,000.
Competitive interest rates: Rockland offers consistently low rates for both types of loans, which saves you tens of thousands of dollars over the lifetime of your loan. Keep in mind, however, that the smaller the amount you borrow with Rockland, the higher your interest rate will be.
Minimal fees: There are no closing costs or annual fees for Rockland’s home equity loans, and the fee to convert all or a portion of your HELOC into a fixed-rate loan is only $50.
Cons
High minimum loan amount: The minimum loan amount for both HELOCs and home equity loans is $25,000, which can be high for borrowers who are only looking to complete a small project, such as renovating a home office or guest room.
High minimum balance: For the HELOC, you must maintain a daily minimum balance of $25,000 for the first 30 days of your loan, accruing additional interest.
Auto-pay requirements: The bank’s lowest rates require monthly auto-pay from a Rockland Trust checking account. However, if you don’t want to sign up for auto-pay or an account with the bank, it has other loan programs available that don’t include the auto-pay feature.
Home equity loan options
Rockland trust offers home equity loans and HELOCs, as well as various types of mortgages and refinancing.
Fees
If you pay off your loan balance and close your HELOC within 24 months of opening your account, you can be charged a $500 early termination fee. If you choose to convert part, or all, of your HELOC into a fixed-rate home equity loan, there’s a $50 rate lock fee for each time you make a conversion.
How to qualify
Although Rockland doesn’t disclose its credit score requirements, the higher your credit score is, the more attractive a candidate you’ll be to banks and lenders. Generally speaking, lenders also want to see a debt-to-income, or DTI, ratio of 36%, but no higher than 43%.
When it comes to your tappable home equity, Rockland requires that your CLTV ratio be no higher than 75%. What’s more, you must live in the property you’re taking the loan against as your primary residence, and make sure you have up-to-date hazard insurance and flood insurance where it’s required.
Getting started
You can apply for a home equity loan online through the bank’s Home Equity Customer Portal or at one of Rockland’s physical branches. Although not all of its loan programs require it, to get the bank’s best rates you’ll need to sign up for a checking account with auto-pay. When you apply, you’ll need to have all of your financial documents ready to go.
Just like applying for a first mortgage, a home equity loan is a second mortgage on your house, so you’ll need to show proof of sufficient income and stable employment with pay stubs and tax returns, as well as documentation of your existing mortgage.
Customer service
If you live in Massachusetts or Rhode Island, you can get support at any local branch location, and schedule your appointment online in advance. Live phone support is available at 508-732-7072 and the bank’s customer service hours are Monday through Friday from 4 a.m. to 5 p.m. PT, Saturday from 5 a.m. to 2 p.m. PT, and Sunday from 7 a.m. to 12 p.m. PT.
