Turn your home equity into a line of credit

The interest rate for the MeritLine home equity line of credit is substantially lower than what you would find with an unsecured line of credit because the loan is backed by the collateral of your home. While an unsecured line of credit relies solely on your creditworthiness and income, the MeritLine provides the lender with the security of real estate, which dramatically reduces their risk profile. This risk reduction is passed directly to the member in the form of a lower rate.

One of the most attractive features of the MeritLine home equity line of credit at FirstOntario is its no-annual-fee structure, which sets it apart from many national bank products that charge $75 to $150 per year just to keep a credit line open. This transparency means that once MeritLine is set up, it costs members nothing to maintain — even if they never draw a single dollar. As a result, it’s an ideal, cost-free rainy day fund for homeowners, offering peace of mind that funds are available in an emergency without ongoing administrative costs.

Accessing the funds in your MeritLine home equity line of credit is designed for modern convenience, offering several ways to tap into your equity instantly. Most members prefer using the FirstOntario mobile app or online banking to transfer funds directly from their HELOC into their chequing account, making the money available for point-of-sale purchases or Interac e-Transfers® within seconds. You can also access your credit line by visiting any of our local branches across Ontario to speak with a teller.

For those who need on-the-go access, the MeritLine home equity line of credit can be used with a debit card at ATMs or in-store terminals. Through THE EXCHANGE Network, FirstOntario members have surcharge-free access to thousands of ATMs across Canada and the U.S.

Consolidating debt with a MeritLine home equity line of credit is a simple yet transformative process that begins with identifying all your high-interest obligations, such as credit card balances, personal loans, or auto financing. Once your MeritLine is approved, you draw from the line to pay off these expensive debts in full. This collapses multiple monthly payments with high interest rates into a single, manageable monthly payment at a much lower secured rate.

The primary benefit is immediate interest savings, which means more of your monthly payment goes toward reducing the principal balance rather than just servicing the interest. This strategy also simplifies your financial life, as you no longer have to track multiple due dates and creditors, reducing the risk of missed payments and the fees that come with them.

For many Ontario families, leveraging the equity in their home via the MeritLine home equity line of credit is the fastest and most effective way to regain control of their budget and accelerate their path to financial freedom.

Yes, FirstOntario is a credit union, which means we serve our members, who are also owners. To access our low-interest MeritLine home equity line of credit and profit-sharing benefits, you must be a member. Becoming a member is easy, open to everyone in Ontario, and gives you ownership in the credit union.