New loan option could be the perfect way to manage inflation and rising debt levels
DETROIT, August 1, 2022 – Rocket Mortgage, the nation’s largest mortgage lender and a part of Rocket Companies (NYSE: RKT), today introduced a home equity loan to give Americans one more way to pay off debt that has risen along with inflation.
Americans are grappling with high credit card bills – driven by a combination of rising prices, and record-high credit card rates resulting from the Federal Reserve’s aggressive Fed funds rate increases. This combination has consumers looking for options to make their monthly payments more manageable.
“Our goal is to consistently create financial products that help our clients achieve their goals,” said Bob Walters, CEO of Rocket Mortgage. “In the current market, short-term interest rates have risen sharply – making it much harder to pay off credit card debt. With our new home equity loan, clients can improve their lives by having a payment they can more comfortably afford.”
In total, Americans have nearly $28 trillion in home equity, according to the Federal Reserve. At the same time, the country’s total household debt stood at $15.84 trillion as of Q1 2022 – $1.7 trillion higher than at the end of 2019, before the COVID-19 pandemic – according to a report from the Federal Reserve Bank of New York. The report also showed that credit card balances in Q1 were $71 billion higher than in 2021.
Homeowners can access $45,000 to $350,000 of their home’s equity in 10- or 20-year term, fixed-rate loans – while maintaining at least 10% equity in their home. This new product fits well into the Rocket platform, providing a financial solution no matter the need. Consumers looking for smaller loan amounts can secure $2,000 to $45,000 from sister company Rocket Loans.
“Rocket’s talented technology, product strategy and capital markets team members came together quickly to develop this important mortgage product, demonstrating the power of the tech platform at Rocket Companies,” Walters said.
Homeowners can connect with Rocket Mortgage’s Home Loan Experts at 800-704-9733 to learn more about this product.
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About Rocket Mortgage
Detroit-based Rocket Mortgage, the nation’s largest home mortgage lender and part of Rocket Companies (NYSE: RKT), enables the American Dream of homeownership and financial freedom through its obsession with an industry-leading, digital-driven client experience. In late 2015, it introduced the first fully digital, completely online mortgage experience. Rocket Mortgage closed $351 billion dollars of mortgage volume across all 50 states in 2021.
Rocket Mortgage moved its headquarters to downtown Detroit in 2010. The company generates loan production from web centers located in Detroit, Cleveland and Phoenix.
Rocket Companies, Rocket Mortgage’s parent company, ranked #7 on Fortune’s list of the “100 Best Companies to Work For” in 2022 and has placed in the top third of the list for 19 consecutive years.
For more information and company news visit RocketMortgage.com/PressRoom.