About the HELOC Payment Calculator
A HELOC (home equity line of credit) usually has two phases: a draw period where you can borrow and often pay interest-only, and a repayment period where you pay it back with principal and interest. The payment can rise sharply when repayment begins. This calculator estimates both payments and the jump between them so there are no surprises.
How it’s calculated
Interest-only payment (draw period) = balance × monthly rate. Repayment payment = the standard amortizing payment on the balance over the repayment period. Because HELOC rates are usually variable, these are estimates at the current rate.
Example calculation
A $50,000 balance at 8.5% costs about $354/month interest-only during the draw period. Once a 20-year repayment period begins, the payment rises to roughly $434/month.
Frequently asked questions
What is the draw period?
It's the early phase of a HELOC — often about 10 years — when you can borrow against your line and typically make interest-only payments. After it ends, you can no longer draw and must repay.
Why does my payment jump?
During the draw period you may pay interest only. When repayment begins you start paying down principal too, over a shorter remaining term, so the required payment rises.
Are HELOC rates fixed?
Usually not — most HELOCs have variable rates tied to an index, so your payment can change over time. These estimates use the current rate you enter.
This calculator provides estimates for educational purposes and should not be considered financial, tax, or legal advice. Your actual figures may vary with lender terms, fees, and market conditions.