Best HELOC Lenders in Kentucky (November 2024)

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Updated: November 16, 2024

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Key Takeaways

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Truist Bank is the best home equity line of credit (HELOC) lender in Kentucky with a MoneyGeek score of 95 out of 100, followed by Regions Bank with a score of 94 out of 100.

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The average HELOC limit in Kentucky is $81,416. How much you can borrow depends on your home's equity, mortgage balance, and credit score.

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Comparing rates can help find lenders suited to your needs. MoneyGeek's best HELOC rates in Kentucky update weekly to assist you.

Overall Best HELOC Lender in Kentucky

Company logo for Truist Bank
Truist Bank
MoneyGeek Score:
95/ of 100
Minimum Credit ScoreUndisclosed
Average HELOC APR9.63%
Draw Period10 years
Repayment Period20 years
Time to Receive FundsUndisclosed
PROS
  • Offers a fixed-rate HELOC option
  • Can advance your closing costs and waive reimbursement
  • Provides payment relief options on qualifying HELOCs
CONS
  • Charges a $50 annual fee
  • HELOC can only be secured with primary or secondary home
  • Does not disclose minimum credit score requirement

Runner-Up for Best HELOC Lender in Kentucky

Company logo for Regions Bank
Regions Bank
MoneyGeek Score:
94/ of 100
Minimum Credit ScoreUndisclosed
Average HELOC APR8.50%
Draw Period10 years
Repayment Period20 years
Time to Receive FundsUndisclosed
PROS
  • Offers a 6.99% introductory APR for six billing cycles
  • Allows conversion of variable rate balance to fixed rate
  • Provides a rate discount for automatic payments
CONS
  • Charges an overlimit fee of $29
  • Charges a late fee from $29 to $100
  • Loan-in-a-Line conversion costs $100

Calculate Your Monthly Payment

The average HELOC balance in Kentucky for the third quarter of 2023 is $31,709, according to Experian. Knowing your balance is only part of managing this type of debt. Calculating your HELOC payments is essential to effectively handle and plan for any adjustments in your financial obligations.

Use our HELOC payment calculator to estimate your monthly payments based on the amount drawn, APR and loan terms. The full amortization schedule provided will show you how much of your payments go toward interest and principal over time.

Kentucky HELOC Payoff Calculator

This HELOC payment calculator assumes that you take out one lump sum at the start of your interest-only period. Your actual payoff schedule will vary depending on your interest rate and market conditions.

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Draw Period Payment

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Repayment Period Payment

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Credit Payoff Schedule for Home Equity Line

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Best HELOC Lender in Kentucky for Affordability

Company logo for Fifth Third Bank
Fifth Third Bank
MoneyGeek Score:
91/ of 100
Minimum Credit ScoreUndisclosed
Average HELOC APR10.13%
Draw Period10 years
Repayment Period20 years
Time to Receive FundsUndisclosed
PROS
  • Provides a 0.25% autopay discount
  • Minimum line amount of $10,000
  • Option to lock in a fixed rate
CONS
  • Charges a $65 annual fee
  • Has a $95 fixed rate lock fee
  • Requires account creation before applying

Best HELOC Lender in Kentucky for Service Quality

Company logo for PNC Bank
PNC Bank
MoneyGeek Score:
100/ of 100
Minimum Credit ScoreUndisclosed
Average HELOC APR10.57%
Draw PeriodUndisclosed
Repayment Period5 to 30 years
Time to Receive FundsNext Day After Closing
PROS
  • Borrow up to $1 million
  • Provides a 0.25% interest rate discount for automatic payments
  • Allows you to switch between variable and fixed rates
CONS
  • Charges a $50 annual fee
  • Has a $100 fee each time you lock or unlock your interest rate
  • Late fees apply

What You Can Use a HELOC for in Kentucky

HELOCs are popular in Kentucky due to their flexibility and the control they offer over line amounts and repayment timelines. These features make HELOCs an attractive option for homeowners looking to manage their finances effectively.

You can use a HELOC in a few ways:

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    Home Improvements or Renovations

    A HELOC is ideal for home improvements, offering flexibility as costs evolve. It allows you to access funds as needed, ensuring your renovation dreams can adapt to changing expenses.

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    Consolidating High-Interest Debt

    With average 2023 consumer debt in Kentucky at $73,132, using a HELOC for debt consolidation can simplify payments and reduce interest, offering financial relief.

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    Funding Education Expenses

    Using a HELOC for education expenses like tuition and books is often better than other debt types. It offers lower interest rates and flexible repayment options, making it a smart choice for funding education.

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    Investment Properties

    A HELOC can finance investment properties, providing capital for new ventures. Shop around for the best HELOC lenders for investment property to secure favorable rates and terms, maximizing your investment potential.

How to Apply for a HELOC in Kentucky

Understanding the steps to apply for a HELOC in Kentucky is key for homeowners considering this financial option. To guide you through the process, we've broken down the journey into six straightforward steps below.

  1. 1
    Review your financial health

    Reviewing your current financial situation is essential for HELOC approval. Assess your credit score, debt-to-income ratio and home equity. In Kentucky, the average credit score is 705 based on Experian data for the third quarter of 2023. A higher score can improve your chances of approval.

  2. 2
    Compare rates in Kentucky

    Comparing rates in Kentucky can help you secure the best HELOC deal. Look beyond rates and consider a lender's repayment terms, fees, and the option to apply for a fixed-rate HELOC. Evaluating these features ensures you choose a lender that aligns with your financial goals.

  3. 3
    Prepare required documentation

    Preparing the necessary documents for a HELOC application can streamline the process. Commonly required documents include proof of income, recent tax returns, and information on your mortgage and home value. Having these ready can help you avoid delays and make the application process smoother.

  4. 4
    Submit an application

    Most lenders offer online applications, but you can also apply in-person if your lender has a branch. Ensure all information is accurate and complete to avoid delays. Double-check for errors or omissions before submitting your application to ensure a smooth process.

  5. 5
    Undergo a home appraisal

    Some lenders may require a home appraisal to determine your home's current market value. A home appraisal involves a professional assessment of your property's worth, which can influence your HELOC approval and terms. Understanding this process can help you prepare for any potential outcomes.

  6. 6
    Wait for approval and closing

    The approval process for a HELOC can take two to six weeks. Once approved, you'll proceed to closing, which may involve signing documents and paying closing costs. Some lenders might offer to cover part of these costs, so it's worth inquiring about potential savings during this stage.

Know How Much You Can Borrow in Kentucky

The average HELOC limit in Kentucky is $81,416, according to Experian's data for the third quarter of 2023. The amount you can borrow through a HELOC is typically tied to the equity in your home. Higher equity can result in a higher potential credit limit.

Check out the table below to see the range of credit lines offered by Kentucky lenders in our database.

Bank of America$15,000 to $1,000,000
Fifth Third Bank$10,000 to $500,000
PNC Bank$10,000 to $1,000,000
Regions Bank$10,000 to $500,000
Truist BankUp to $500,000
U.S. Bank$25,000 to $750,000
Ask the experts:

What factors should homeowners prioritize when comparing HELOC lenders?

Credit & Mortgage Expert

When shopping for a HELOC, most people focus only on the interest rate. Instead, you should focus on the annual percentage rate (APR) as that is the true cost of what you are paying back. Also consider any fees the lender may be charging you. A lower rate with higher fees can be deceptive.

FAQ: Best HELOC Lenders in Kentucky

Who is the best HELOC lender in Kentucky?
How to find the best HELOC lenders for bad credit in Kentucky?
What factors should I consider when choosing a HELOC lender in Kentucky?
What are common fees associated with HELOCs that I should compare in Kentucky?
What is the typical draw period for HELOCs, and does it vary between lenders in Kentucky?
How can I find a lender with flexible repayment options in Kentucky?

MoneyGeek's scoring system offers a comprehensive overview of how each lender performed in areas that matter most to borrowers. Scores were allocated based on the inclusion or exclusion of certain desirable features in various critical categories.

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Our analysis was completed in November 2024 and considered different banks and credit unions in California from S&P Global's SNL Depository Rates dataset.

101Lenders Analyzed

About Zachary Romeo, CBCA

Zachary Romeo, CBCA headshot

Zachary Romeo is a certified Commercial Banking and Credit Analyst (CBCA), and the Head of Loans and Banking at MoneyGeek. Previously, he led production teams for some of the largest online informational resources in higher education, with over 13 years of experience in editorial production.

Romeo has a bachelor's degree in biological engineering from Cornell University. He geeks out on minimizing personal debt and helping others do the same through people-first content.

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