You have always done things by the book. Life is good and then all of a sudden things go wrong. Bills are piling up, your cars needs to be fixed, the kids need braces, and one-by-one the appliances are breaking down. You need to do something to make everything right again, but don’t know if a home equity loan is the right choice for you. A home equity loan is a loan secured by the equity in your home. The equity being the difference between what you owe on your home and what the value of your home is at that particular time in the market. The home equity loan carries a lower interest at a fixed rate. Therefore giving you the ability to payoff those over the limit credit cards, remodel your home, or whatever else you may need the loan for. Some home equity loans are taxable; meaning the interest you pay on it could be taxable. There are two different types of home equity loans. In a home equity loan, the amount you borrow you will get in a lump sum. In a home equity line you will get a line of credit to use as you need it. The best thing to do when thinking about getting a home equity loan is to do what is best for you at that given time.   Determine whether you require a lump sum or line of credit. If you need help then talk to an advisor to get all the information you need up front before making that decision.