Alliant Credit Union Home Equity Review

3.3 _/5

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HELOC

• No closing costs
• No appraisal required for HELOCs up to $250,000
• 6-month fixed introductory rate for qualified borrowers
• Prequalify with no impact on your credit

• Only available in AZ, CA, CO, CT, FL, GA, HI, IL, IN, KY, MA, MI, MN, MO, NC, NJ, NV, NY, PA, TN, UT, VA, WA, WI, & DC
• Must join the credit union

Rates (APR)	6-month introductory rate starting at 4.99%, with variable post-introductory rates starting at 8.75%
Loan amounts	$10,000+
Repayment terms	10 yr. draw / 20 yr. repayment
Min. credit score	620

Alliant Credit Union’s home equity line of credit (HELOC) offers no closing costs, no appraisal required for loans up to $250,000, and a six-month introductory rate starting at 4.99%. With a minimum credit score of 620, it’s available in 25 states and Washington, D.C., but you must join the credit union to qualify.

This review will help you determine whether Alliant’s HELOC meets your financial needs and explore other options if it doesn’t.

Alliant Credit Union HELOC at a glance

Here are the most important terms of Alliant Credit Union’s HELOC.

Terms	Details
Eligible properties	Primary and secondary residences (no investment properties)
Rates (APR)	6-month introductory rate starting at 4.99%, with variable post-introductory rates starting at 8.75%
Rate discounts	0.25% with automatic payment
Loan amounts	Minimum $10,000*
Draw period	10 years
Repayment period	20 years
Fees	One-time $1,000 for HELOCs over $250,000; $50 annual fee after year 1
Unique features	No closing costs; No appraisal required for HELOCs up to $250,000

How does an Alliant Credit Union HELOC work?

An Alliant Credit Union HELOC gives you a flexible credit line using your home’s equity, available for primary or secondary residences—but not for investment properties. You can borrow amounts starting at $10,000, with a higher minimum of $25,001 in Washington, D.C., and Wisconsin.

During the 10-year draw period, you can access funds as needed, make interest-only payments, or pay down principal and interest from the start. After this period, a 20-year repayment phase begins.

After the six-month fixed-rate introductory period, the rate is variable and can change monthly based on the prime rate. However, setting up automatic payments can lower your rate by 0.25%. Alliant doesn’t charge closing costs; no appraisal is required for HELOCs up to $250,000. If you borrow over $250,000, a one-time fee of $1,000 applies, along with a $50 annual fee after the first year.

How does home equity affect borrowing?

Your home equity is the key factor in determining how much you can borrow. Alliant lets you borrow up to 80% of your home’s value minus any liens. This makes its HELOC a solid option for homeowners looking for a flexible way to tap into their home’s equity without high upfront costs.

Who qualifies for an Alliant Credit Union HELOC?

You’ll need to meet specific criteria to be eligible for an Alliant HELOC:

Requirement	Details
Properties	Primary and secondary residences (no investment properties)
State of residence	AZ, CA, CO, CT, FL, GA, HI, IL, IN, KY, MA, MI, MN, MO, NC, NJ, NV, NY, PA, TN, UT, VA, WA, WI, & DC
Maximum loan-to-value	80%
Maximum debt-to-income ratio	40%
Minimum credit score	620

What are the costs and fees of an Alliant Credit Union HELOC?

Alliant’s fees are straightforward: a one-time $1,000 fee for loans over $250,000 and a $50 annual fee starting in the second year.

Alliant doesn’t charge closing costs, which can result in significant savings.

How do you repay a HELOC from Alliant Credit Union?

Repaying an Alliant Credit Union HELOC is divided into two phases: the 10-year draw period and the 20-year repayment period. During the draw period, you can borrow up to your credit limit and are only required to make interest payments. This differs from a traditional home equity loan, where you repay principal and interest from the start.

After the draw period ends, you move into the repayment period, where you must repay both the principal and interest. This change can lead to higher monthly payments since you are now reducing the loan’s balance and interest. Even if you borrow the full amount at the start, you’ll still make interest-only payments during the draw period, followed by principal and interest payments once the repayment period begins.

You have multiple ways to make payments, including online, via the mobile app, or by mail. Alliant doesn’t charge penalties for early repayment, so if you choose to pay off your HELOC sooner, you could save on interest costs over time. By making principal payments during the draw period or paying off the loan early, you can lower the total interest paid over the life of the loan.

How does your home’s value affect your HELOC?

Your home’s value plays a crucial role in determining your eligibility and the terms of your HELOC. Alliant allows you to borrow up to 80% of your home’s value minus any outstanding mortgage balance. So the higher your home’s value, the more you may be able to borrow.

Changes in your home’s value can also influence your borrowing power. If your home’s value increases, your available credit may rise. If it decreases, it won’t affect the terms of what you’ve already borrowed but might limit further borrowing.

Alliant Credit Union’s appraisal process

Alliant only requires an appraisal for HELOCs greater than $250,000, simplifying the process for smaller lines of credit. If an appraisal is needed, it typically involves an in-person assessment of your home’s market value and can take a few weeks to complete. You might need to provide access to your property and relevant documentation during this process.

Alliant’s higher threshold for requiring an appraisal makes it more convenient for those seeking smaller credit lines, as it eliminates the need for a formal appraisal and speeds up the application process.

Pros and cons of Alliant Credit Union

Pros

• No fees or appraisal for HELOCs under $250,000

  This can make Alliant’s HELOC more accessible and cost-effective for those seeking smaller credit lines.

• Low fixed introductory rate for 6 months

  Creditworthy borrowers can enjoy a low fixed rate for the first six month the HELOC is open

• Prequalify with a soft credit check

  See what rates you might be eligible for without affecting your credit

Cons

• Limited state availability

  Alliant’s HELOC is not available in 26 states, restricting its accessibility to a broader audience.

• Membership requirement

  Borrowers must join the credit union to access the HELOC, adding an extra step to the borrowing process.

Alliant Credit Union alternatives

If Alliant Credit Union’s HELOC doesn’t meet your needs or if you want to explore your options, several other lenders may offer different features, lower rates, or more flexible terms.

Explore the table below to compare Alliant with other home equity lenders and see which ones offer benefits that better suit your situation.

Is Alliant Credit Union a reputable lender?

Customer reviews can offer insights into real-world experiences with lenders’ products and services. Here’s what we found for Alliant.

Source	Customer rating	Number of reviews
Trustpilot	1.9/5	60
Better Business Bureau (BBB)	1.14/5	43
Google	3.1/5	370

Alliant Credit Union’s reputation through customer reviews is less than stellar. On Trustpilot, its reviews tend to address general banking concerns not specific to its HELOC product. Issues cited include potential fraud, high fees or interest rates, and customer service problems.

Alliant holds an A+ accreditation with BBB. This suggests a level of confidence in its business practices, despite customer dissatisfaction mainly about service and banking processes. 

The reviews on Google highlight bureaucracy and service issues but also note positives, such as favorable card rates.

Does Alliant Credit Union have a customer service team?

Alliant Credit Union’s corporate office is located in Chicago, but most of Alliant’s customer service operations are conducted remotely, aligning with its largely online financial institution status. 

Ways to contact Alliant Credit Union include:

• Email: Accessible through the Alliant website for various inquiries
• Phone number: 800-328-1935
• Mailing address: Alliant Credit Union, P.O. Box 2387, Des Plaines, IL 60017-2387
• Chatbox: Available on the Alliant website for real-time assistance

How to apply for an Alliant Credit Union HELOC

Here are the steps to apply with Alliant:

1. Visit the website: Begin by clicking “Apply Now” on the homepage.

2. Start the application: Even nonmembers can initiate the loan application process. Membership is required later to open the HELOC.

3. Select property and state: Choose the type of property and the state where it’s located.

4. Provide loan details: Fill in information about the loan, including the desired amount and purpose.

5. Submit additional information: As the process continues, Alliant will request more detailed information and necessary documents.
6. Apply for membership (if not a member): Nonmembers must apply for Alliant membership as part of the HELOC process.
7. Final review and approval: Alliant reviews the application for approval after all documents are submitted.

Alliant Credit Union HELOC FAQ

How long does it take to get funds from Alliant Credit Union?

The approval process for an Alliant Credit Union HELOC can take several weeks. This includes credit checks, property appraisal, and financial verification. Once approved, you can likely get funds within a week.

Do you need to tell Alliant Credit Union what the funds are used for?

Alliant Credit Union may ask about the intended use of HELOC funds during application. This helps assess financial plans but usually doesn’t affect eligibility.

Are there any insurance requirements?

Homeowners applying for an Alliant HELOC need an active homeowners insurance policy. This policy should cover the home’s value because it secures the credit line.

Can you back out of a HELOC contract?

Canceling an Alliant HELOC depends on the process stage. Withdrawal is possible during application or after approval but before funds disbursement. Once funds are received, cancellation involves closing the account, which can incur costs.

Can you close your HELOC account at any time?

Closing a HELOC with Alliant Credit Union may involve specific terms. This includes paying off the balance and possibly facing early termination fees.

How we rated Alliant Credit Union

We designed LendEDU’s editorial rating system to help readers find companies that offer the best home equity products. Our system awards higher ratings to companies with affordable solutions, positive customer reviews, and online transparency of benefits and terms.

We compared Alliant to several home equity lenders, using hundreds of data points from company websites, public disclosures, customer reviews, and direct communication with company representatives. We weighted, scored, and combined each factor to produce a final editorial rating. This rating is expressed on a scale from 1 to 5, with 5 being the highest possible score. Our take is represented in our rating, recapped below.

Product	Our rating
Alliant Credit Union HELOC	3.7/5