Webster Bank's General Parameters for Consumer Lending Products

Home Equity Lines of Credit

  • Home Equity Line of Credit amounts from $25,000 to $500,000 (call for loans > $500,000)
  • Combined Loan-to-Value up to 89.99% (80% for Condominiums)
  • Credit lines are available where Property State is CT, MA, NY, and RI
  • 1-2 Family owner-occupied residences and 1-unit second homes
  • Investment properties and 3-4 family homes available at higher rates. CLTV restrictions may apply
  • Properties currently listed for sale or that have been listed for sale within the last 6 months are not eligible for a Home Equity Line of Credit.  However may be eligible for a Bridge Line of Credit.  See a Webster banker for details.

The Webster Home Equity Line of Credit Annual Percentage Rate (APR) is a variable rate and will be based on the highest Prime Rate + 1.24% (the Prime Rate is currently 5.25% APR as 11/21/18, which is the highest U.S. Prime Rate as published in The Wall Street Journal). The Prime Rate + 1.24% rate is available for customers opening home equity lines of credit for $50,000 or greater and meeting product credit qualifications covered below and assumes less than or equal to 80% Combined Loan to Value (CLTV). Other rates and terms are available for customers who do not meet the Prime + 1.24% requirements. As an example of payment, a 30-year line of credit of $50,000 at 4.99% APR would result in a monthly interest-only payment of $207.92; a 30-year line of credit of $50,000 at 6.74% APR would result in a monthly interest-only payment of $281.25; and a 30-year line of credit of $50,000 at 7.99% APR would result in a monthly interest-only payment of $332.92. As of 11/21/2018, rates ranged from Prime + 1.24% to Prime + 2.74%. Maximum rate that can apply is 21% APR. Minimum rate that can apply is 3.00% APR. Principal balance will not decrease if interest-only payments are made. The monthly payment will increase once the line draw period (10 years) ends since new payment will include principal and interest.

Webster offers an Intro Rate Option

The intro rate of prime-1.01% (currently 4.24%) is valid for 6 months from funding date. The Prime Rate is currently 5.25% APR as of 11/21/18, which is the highest U.S. prime rate as published in The Wall Street Journal. Rates will adjust after intro period to the life of the loan rate calculated at the time of application (subject to Webster floor of 3.00%). Contact a Webster banker for more details or if you have any questions.

Current Rate Option

Displayed “As low as” rate assumes a line amount of $100,000, a credit score of 740 or greater and a combined loan to value of 80% or less and includes the following discounts:

  • 0.25% discount = Automatic payments (ACH) are set up from a Webster Personal Checking account
  • 0.25% discount = Premier relationship.  A Premier relationship is defined as $10,000 or greater in Webster checking, savings, and money market account deposits or $50,000 or greater in combined Webster checking, savings and money market deposits, CD, Home Equity and Installment loan balances (does not include Webster mortgage balance)
  • 0.50% discount = paying off $25,000 or more of third party debt. Excludes Webster mortgage, Webster Home Equity Line or Loan.  For line amounts >=$25,000 only
  • 0.25% discount = First lien position

Customers may qualify for additional discounts (U.S. Military, Bank at Work, etc.) See a Webster banker for more details

Appraisal: An appraisal will be required to assess the value of the home. This value will represent the full value of the home that Webster will use for calculating the Combined Loan-to-Value (CLTV) amount, which will impact the rates and lending options available.

Restrictions: Home Equity Lines of Credit are available in CT, MA, RI, and Westchester County, NY, with a minimum of $25,000 and maximum of $500,000. For owner-occupied properties with line amounts up to $500,000, there are no closing costs† apart from hazard insurance, which is required. Flood insurance is required, if applicable.

† There are no fees or costs retained by Webster Bank; but for certain loans, a Structural Engineering Assessment Report may be required, and the borrower would be required to pay for this report as part of the loan process.

Line amounts over $250,000 may be subject to asset verification. This offer is only valid for owner-occupied 1-to-2-family homes and condominiums. This offer is not valid for investment properties, second homes, 3 – 4 (or more) family homes, co-ops, or high-rise condominiums. A prepayment penalty of $450 will apply if the line is closed within 3 years of opening for lines in CT, MA, and RI. For lines in NY, a prepayment penalty of $1,000 – $3,500 (based on line amount) will apply if the line is closed within 3 years of opening.

Other Rates: Rates are determined based on credit qualifications and other factors, such as line amount, Combined Loan to Value (CLTV), and Webster relationship. Minimum line amount of $25,000. A $50 Annual Fee is assessed to all accounts, but will be waived for Premier Checking account customers. The APR you will receive is dependent on a variety of factors including household income, debts, and other underwriting criteria.

Home Equity Loans

  • Home Equity Loan amounts from $25,000 to $500,000 (call for loans > $500,000)
  • Combined Loan-to-Value up to 89.99% (80% for Condominiums)
  • Home Equity Loans are available where Property State is CT, MA, NY, and RI
  • 1-2 Family owner-occupied residences and 1-unit second homes
  • Investment properties and 3-4 family homes available at higher rates. CLTV restrictions may apply
  • Properties currently listed for sale or that have been listed for sale within the last 6 months are not eligible for a Home Equity Loan.  However may be eligible for a Bridge Line of Credit.  See a Webster banker for details

Current Rate Option

Displayed “As low as” rate assumes a loan amount of $50,000, a 10 year term, a credit score of 740 or greater and a combined loan to value of 80% or less and includes the following discounts:

  • 0.25% discount = Automatic payments (ACH) are set up from a Webster Personal Checking account
  • 0.25% discount = Premier relationship.  A Premier relationship is defined as $10,000 or greater in Webster checking, savings, and money market account deposits or $50,000 or greater in combined Webster checking, savings and money market deposits, CD, Home Equity and Installment loan balances (does not include Webster mortgage balance)
  • 0.25% discount = First lien position

Customers may qualify for additional discounts (U.S. Military, Bank at Work, etc.) See a Webster banker for more details

Appraisal: An appraisal will be required to assess the value of the home. This value will represent the full value of the home that Webster will use for calculating the Combined Loan-to-Value (CLTV) amount, which will impact the rates and lending options available.

Restrictions: Home Equity Loans are available in CT, MA, RI, and Westchester County, NY, with a minimum of $25,000 and maximum of $500,000. For owner-occupied properties with line amounts up to $500,000, there are no closing costs† apart from hazard insurance, which is required. Flood insurance is required, if applicable.

† There are no fees or costs retained by Webster Bank; but for certain loans, a Structural Engineering Assessment Report may be required, and the borrower would be required to pay for this report as part of the loan process.

Loan amounts over $250,000 may be subject to asset verification. This offer is only valid for owner-occupied 1-to-2-family homes and condominiums. This offer is not valid for investment properties, second homes, 3 – 4 (or more) family homes, co-ops, or high-rise condominiums.

Other Rates: Rates are determined based on credit qualifications and other factors, such as line amount, Combined Loan to Value (CLTV), and Webster relationship. Minimum loan amount of $25,000. The APR you will receive is dependent on a variety of factors including household income, debts, and other underwriting criteria.

All loans and lines of credit are subject to credit approval.