SECU HELOC Review 2025: A Niche Option With Major Drawbacks

3.3 _/5

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HELOC

Borrow as much as 90% of your home’s value, even on secondary or rental properties
Draw periods up to 15 years
Low introductory rate available*

Only available for properties in four states (North Carolina, South Carolina, Virginia, and Georgia)
Must be a credit union member (certain North Carolina state employees and families) to qualify
Repayment term varies depending on the remaining balance due
Closing costs and fees apply
Limited information online
No soft credit check available (checking rates will affect your credit score)

Rates (APR)	Introductory rates as low as 6.75%*, then a variable rate based on creditworthiness (not to exceed 18.00%)
Loan amounts	Up to 90% of your home’s appraised value
Repayment terms	15-year draw period; Repayment terms vary by loan amount

*Until the first quarterly rate change based on the current index and margin

State Employees Credit Union (SECU) of North Carolina provides home equity lines of credit (HELOCs) with competitive borrowing limits of up to 90% of your home’s value. While SECU offers HELOCs for primary, secondary, and even rental properties, its availability is limited to just four states: North Carolina, South Carolina, Virginia, and Georgia.

In addition, membership at SECU is restricted to select groups of North Carolina state employees and their families. If you’re not a current or retired North Carolina state employee, a member of the North Carolina National Guard, or otherwise eligible through a family member, you won’t qualify for SECU membership or its HELOC products.

SECU’s HELOCs come with a lengthy 15-year draw period and the ability to borrow on rental properties—an uncommon benefit—the credit union’s lack of transparency regarding fees and repayment terms leaves much to be desired. In this review, we’ll explore how SECU’s HELOC compares to its competitors and whether it’s the right fit for you.

Table of Contents

How does SECU help me access my home equity?

SECU offers a HELOC to eligible members, allowing them to access up to 90% of their home’s value, minus any open liens. SECU doesn’t offer home equity loans; the only option is a HELOC, which provides a revolving credit line for primary, secondary, and rental properties.

Borrowers can use their HELOC during a draw period of up to 15 years, making interest and principal payments as required. However, once the draw period ends, no additional borrowing is allowed, and the remaining balance determines your repayment terms. While SECU’s 90% loan-to-value ratio (LTV) is competitive, its limited availability and lack of flexibility in loan products make it less appealing compared to other lenders.

If you need a more versatile or transparent lender, explore our list of the best HELOC lenders.

Pros and cons of a SECU HELOC

Here are the benefits and drawbacks of SECU’s line of credit:

Pros

Borrow up to 90% of your home’s value, minus open liens.
Available on primary, secondary, and even rental homes.
Draw periods last as long as 15 years.
No set repayment period; this term varies depending on the remaining balance due.

Cons

Only available for properties in 4 states (North Carolina, South Carolina, Virginia, and Georgia).
SECU doesn’t waive closing costs and fees.
Limited information online.
Must be a credit union member (certain North Carolina state employees and families) to qualify.

Alternatives to SECU

If SECU’s limited availability or lack of transparency makes it a less-than-ideal choice for your HELOC, consider these top-rated alternatives that offer better accessibility, clearer terms, and stronger customer satisfaction.

Bethpage Federal Credit Union – Best Credit Union HELOC

Bethpage FCU is our highest-rated credit union for HELOCs, and it offers several advantages over SECU. It provides a low introductory rate for the first year, covers all closing costs for lines under $500,000, and allows borrowing up to $1 million—far more than SECU.

Bethpage offers a 10-year draw period followed by a 20-year repayment period, providing longer repayment flexibility compared to SECU’s variable terms. With no application, origination, or appraisal fees, Bethpage is an excellent choice for borrowers seeking a transparent and affordable credit union HELOC option.

Figure – Best overall HELOC

Figure is our best overall HELOC provider, and for good reason. Its streamlined, 100% online application process allows borrowers to get approved in minutes and access funds in as little as five days—far faster than SECU’s process.

With fixed-rate HELOCs, no annual fees, and availability in 45 states, Figure is a much more accessible option for borrowers nationwide. Unlike SECU, which is limited to properties in four states, Figure caters to a broader audience, including those looking to refinance primary, secondary, or investment properties.

Aven – Best customer reviews

For borrowers prioritizing customer service, Aven stands out with its excellent reviews on Trustpilot, boasting a 4.9 out of 5 rating from over 4,000 customers (as of January 22, 2025).

Aven’s HELOC offers a fixed interest rate, a Lowest Rate Guarantee, and a 100% digital application process that provides approvals in as little as 15 minutes. While SECU offers competitive LTVs, Aven provides a more modern and customer-friendly experience, making it a better fit for tech-savvy borrowers.

If SECU’s limitations don’t meet your needs, one of these alternatives is likely to be a better fit.

What do SECU’s customers say?

Source	Rating	Number of reviews
Better Business Bureau	1 .22/5	23
Trustpilot	2.5/5	15

Collected on January 22, 2025.

A thorough online search is essential when evaluating a lender’s products, services, fees, and availability, but you can also learn from its past and current customers. This can give you a better idea of how the lender operates and treats its customers, and you’ll know what to expect if you move forward with borrowing.

The Better Business Bureau (BBB) is a trusted consumer resource agency, allowing for the accreditation of companies as well as providing a platform for consumer reviews and complaints. As of January 2025, SECU is not BBB-accredited and has a C– rating.

It earns overall negative reviews on BBB and Trustpilot, but these aren’t specific to its HELOC. Many comments center around issues contacting customer service. Others involve erroneous credit reporting and account management.

Do I qualify for a HELOC from SECU?

Before you can apply for a SECU home equity loan, you’ll need to apply and be approved for membership in the credit union.

Membership eligibility is limited to select groups of state employees, including the following:

Current and retired employees of the state of North Carolina.
Federal employees of North Carolina state agencies.
North Carolina National Guard members.
North Carolina Board of Education employees.

Household family members and spouses of eligible members may also join.

Once you’re a member, you may qualify for a home equity line of credit if you have a primary, secondary, or rental property with available equity located in North Carolina, South Carolina, Virginia , or Georgia.

You’ll need at least 10% available equity after factoring in other liens on the property.

Borrowers are limited to a maximum debt-to-income ratio (DTI) of 43% in most cases, according to SECU’s guidelines. So you can have no more than 43% of your gross monthly income earmarked for debt repayments. However, SECU states online that exceptions apply for select members, depending on the circumstance.

SECU HELOCs are not available on mobile or manufactured homes.

How do I apply with SECU?

To apply for a SECU home equity line of credit, you must be a credit union member. Once accepted for membership, you may apply for a HELOC online, by phone, or in person at a local branch.

Information SECU requests as part of the application process includes:

Social Security number
Date of birth
Job information, including employer, job title, gross monthly income, and years of employment
Housing information, including ownership status, monthly housing cost, and how long you’ve lived at the residence
Number of dependents
Other liabilities and obligations, such as alimony or child support

As part of the application process, you may also need to provide income verification (recent pay stubs, previous years’ tax returns, or employment award letters), homeowners insurance information (such as your agent’s name and phone number or the declaration page for your policy), and a list of assets.

Because the application process is only available to current members, SECU does not provide much information online regarding how long it takes to approve applications or when HELOCs are funded.

How does SECU determine how much I can borrow?

SECU does not publish a maximum HELOC limit. The amount you can borrow is determined by how much your home is worth according to current market values.

You can borrow as much as 90% of your primary home’s value, minus other liens on the property, such as a mortgage loan balance. This percentage is known as the combined loan-to-value ratio (CLTV).

So if your property’s current value is $400,000, and you don’t have a mortgage or other lien on the property, you could take out a SECU HELOC of up to $360,000 based on the following calculation:

$400,000 value x 90% CLTV = Maximum $360,000 HELOC

A balance on a mortgage loan would reduce your HELOC limit. Using the same example above, let’s say your remaining mortgage balance was $100,000. Your maximum line of credit would be $260,000:

$360,000 maximum HELOC – $100,000 outstanding mortgage = $260,000 available

SECU also caps its CLTV limit at 90% for second homes. If you have a rental or investment property, you may be eligible for a HELOC with a CLTV of as much as 65%. This is unique; few lenders allow HELOCs on nonprimary residences.

These are the top-end limits, so you might qualify for a lower HELOC limit depending on factors such as income, debt-to-income ratio, and credit score. SECU publishes most borrowers’ DTI should be no higher than 43%, but it doesn’t list a minimum credit score for eligibility.

What does the appraisal process look like?

Equity is the amount of your home’s value you own. To calculate equity, subtract any remaining mortgage loan or liens against a property from its current market value.

You’ll often need an appraisal to evaluate your home and determine how much equity is available for a SECU HELOC. SECU will order the appraisal, and an unbiased third-party appraiser will conduct it.

This professional will determine its current value by looking at factors such as your home’s:

Location
Age
Size
Features
Condition

They will also look at “comps,” or recently sold nearby comparable homes. Comps can help an appraiser determine what buyers are willing to pay for a similar home in the current market.

SECU reserves the right to charge borrowers for the appraisal. The cost can vary depending on where your home is located, its square footage, and other factors. Once the appraisal is complete, you’ll receive a copy of the report, even if you don’t proceed with a SECU HELOC.

Does SECU charge any fees?

The fees SECU charges can vary based on where your home is and the line of credit you’re requesting. The credit union may waive certain fees.

Application fee	None
Origination fee	None
Appraisal fee	Yes; cost not disclosed
Closing costs	Average between $0 and $1,850

Does SECU have a customer service team?

If you need to speak with a SECU customer service representative about a new or current HELOC, your options include:

Visit a local branch. As of January 2025, SECU has 275 branches across North Carolina. If you’re interested in applying for a new HELOC, need help with an application in process, or want answers about a current line of credit, you can visit during regular business hours.
Reach out by phone. Lending representatives are available Monday through Friday from 8 a.m. to 9 p.m. Eastern time at 888-732-8562. (The member services department is available 24/7 at this number, but if your question relates to lending, you’ll need to call between the hours shown here.)
Send a secure message online. If you’re a member, you can log in to your Member Access account portal and send SECU a secure message with your questions or concerns. A representative will get back to you during regular operating hours.