While considering the real fact, an equity line of credit is a kind of second mortgage. The procedural functionality of equity line of credit is definitely similar like the functionality of a credit card. The only difference is equity line of credit demands the need for collateral, whereas the credit card will never require anything. Basically, equity line of credit is the basic interest rates that are charged from borrower for the money he/she borrowed. This is described as APR or Annual Percentage. Several money lending organizations comes forward to grant excellent equity line of credit and their service plans will vary from one to another.
Though there are several equity line of credit providers, only few grant attractive and inspiring interest rates. On the other hand, some providers will grant loans that come at fixed interest rates. It is absolutely your choice, either to pick fixed interest rate equity or fluctuating interest rates. Generally, equity loan that comes with variable rate of interest will perfectly match individual who expects and looks for low introductory rate. On the other hand, it is also the best choice to avail when you are not going to use the maximum portion of the equity loan amount.