The proceeds of a home equity loan can be used for just about any purpose,and the interest paid is usually tax deductible.

Question

Quizplus · Accepted Answer

This is true. Home equity loan is a loan that uses your home equity as collateral. The proceeds from a home equity loan can be used for any purpose, such as home improvements, debt consolidation, education expenses, medical bills, etc. Additionally, the interest paid on a home equity loan is usually tax deductible, up to a certain limit, which makes the loan more affordable.

The Proceeds of a Home Equity Loan Can Be Used