Finance
An Indiana home equity loan differs from a HELOC in that a home equity loan:
AHas a variable interest rate
BProvides a lump sum disbursement at closing with a fixed interest rate and fixed payment schedule✓ Correct
CIs a revolving line of credit
DDoes not require a mortgage on the property
Explanation
A home equity loan (second mortgage) provides a lump sum at closing, repaid over a fixed term at a fixed rate — like a regular mortgage. A HELOC (home equity line of credit) is a revolving credit line with a variable rate.
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