HELOC Teaser Rate

[Snave]

Just an FYI for anyone that may have an account of some sort where this might happen. We opened a HELOC in January to do a few things to the house. They had a promo going on where the teaser rate was 5.5% for 6 months. Our rate should have been prime - 0.25%, which would have been above the 5.5% teaser rate. However, now with the interest rate cuts by the fed, our rate would be lower than the teaser. I went to our bank yesterday and they didn't have an answer - they don't remember a time when the rates have dropped below below their "teaser." Needless to say, that was not the answer I was looking for and they are looking in to it. Which only means that they are going to do nothing and hope I go away or call someone else and leave them alone.

[Slug]

I'm sorry that happened. These are extraordinairy times. They should still adjust it for you if they truly value your business.

[sweeps]

What are the rates on HEL's at the bank? Maybe you can get a fixed rate that is less than the previous HELOC teaser rate?

[noppenbd]

I had the same exact issue as the OP. Mine is at 6.0 (teaser until September) when it would be prime - 0.5% (4.75%). I called them and faxed them a request but haven't heard back. Looks like I might have to go into a branch and bust some heads. Either that or suck it up for a few months.