Home Equity Line of Credit (HELOC)

Home Mortgage Refinance
Home Equity Line of Credit (HELOC)
Credit Cards

Though perhaps not the first approach to generating funds for an adoption, seeking a Home Equity Line of Credit (HELOC) is a viable option for paying your adoption related expenses. This involves using a credit line to borrow against the equity in your home.

Many balk at the thought of going into debt for adoption expenses yet just as many may not think twice about taking out a loan for as much or more to buy a car, a house, go on vacation, etc. and spend 2 years or more making monthly payments to repay the loan. What better investment than in a child?

When choosing this method to generate the funds needed, keep in mind that you must pay this money back. You can use your full tax refund(s) from using the adoption tax credit, you can fundraise, work a second job until your child come homes, etc. See our Affording Adoption section for more idea to pay back the money used in your HELOC.

Be careful to take out only what you can afford to repay monthly should you be unable to raise extra funds. Compare interest rates with lenders and banks for the lowest rates, and be sure to talk with a tax professional regarding the tax implications of this type of loan.