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How a HELOC can save you money this October (and the months after)

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By borrowing from their home equity with a HELOC this October, owners can save money now and in the months that follow.

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Even though inflation has plummeted from the decades-high it was at in 2022, and while the Federal Reserve cut interest rates earlier this month, the economic burdens from recent years will take some time to recover from. And with concerns over unemployment growing and varied market reactions to those rate cuts, many Americans may be exploring ways to help finance extra costs right now. For homeowners, one of the most cost-effective ways to do so is by accessing your home equity with a home equity loan or home equity line of credit (HELOC)

HELOCs, in particular, have some particularly timely advantages for borrowers right now. Because of the way they’re structured and because of today’s evolving rate climate, there are multiple ways a HELOC can help you save money this October and the months after. These savings can then allow borrowers to focus on using the HELOC for its intended purposes. Below, we’ll break down what borrowers should know now.

Start by seeing what HELOC interest rate you’d be eligible for here

How a HELOC can save you money this October (and the months after)

Not sure if a HELOC is the right home equity tool for you? Consider these three unique ways it can help borrowers save money:

Lower rates than popular alternatives

Have you explored alternative credit options yet? Don’t be surprised to see double-digit interest rates when you do. Personal loans, for example, have an average rate of just under 13% right now. Credit cards, meanwhile, are hovering near a record 23%. 

HELOCs, however, have a median rate of just 9.26% today. And you may be able to get a rate that’s even lower if you have top credit and take the time to shop around for the best offer. That lower rate will save you a significant amount of money both each month and over the life of the repayment period.

Start shopping for HELOCs online today.

A rate that can fall even further

In the rate climate of recent years, a HELOC’s variable rate structure was a distinct disadvantage as the Fed raised rates numerous times. But now, with the first rate cut since 2020 issued on September 18 and additional ones possible for November, December and into 2025, a HELOC becomes advantageous again. 

As rate cuts are issued, HELOC rates will fall in tandem each month, even though it may not be the same increment that rates are cut. No paperwork, refinancing or negotiating will need to occur. So the HELOC rate you get in September could very easily be lower in the weeks and months ahead, putting money directly back into your wallet.

No closing costs to refinance

Right now, home equity loans come with slightly lower rates than HELOCs. So it may be tempting to pursue that option instead. But home equity loan rates are locked, meaning that if you open one now and rates drop again soon, you’ll be stuck with the higher rate, unlike a HELOC which will adjust accordingly. 

Home equity loans can be refinanced, however. But it will cost borrowers 1% to 5% of the total loan value to complete that refinance while a HELOC will cost you nothing to take advantage of the prevailing, lower rate. 

The bottom line

As rates decline, borrowers will need to take a different approach than they had in much of the last two years. One smart way to access large sums of money now is with a HELOC. And you can save money by pursuing this option when stacked against the higher rates that popular alternatives offer now. Plus, rates on a HELOC could drop automatically in the near future as additional rate reductions are issued and you won’t need to pay closing costs to get that better rate. 

Just be sure, no matter the home equity product you ultimately choose, to only borrow an amount of money that you’re comfortable repaying. Your home serves as collateral in these circumstances and you don’t want to jeopardize your homeownership if you can’t repay all that you’ve deducted from your equity. 



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Texas man executed for killing infant son after waiving right to appeal death sentence

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HUNTSVILLE — A Texas man who had waived his right to appeal his death sentence was put to death Tuesday evening for killing his 3-month-old son more than 16 years ago, one of five executions scheduled within a week’s time in the U.S.

Travis Mullis
Travis Mullis

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Travis Mullis, 38, received a lethal injection at the state penitentiary in Huntsville and was pronounced dead at 7:01 p.m. CDT. He was condemned for stomping to death his son Alijah in January 2008.

Mullis was the fourth inmate put to death this year in Texas, the nation’s busiest capital punishment state. Another execution was carried out Tuesday evening in Missouri, and on Thursday, executions were scheduled to take place in Oklahoma and Alabama. South Carolina conducted an execution Friday.

Authorities said Mullis, then 21 and living in Brazoria County, drove to nearby Galveston with his son after fighting with his girlfriend. Mullis parked his car and sexually assaulted his son. After the infant began to cry uncontrollably, Mullis began strangling the child before taking him out of the car and stomping on his head, according to authorities.

The infant’s body was later found on the roadside. Mullis fled the state but was later arrested after surrendering to police in Philadelphia.

Mullis’ execution proceeded after one of his attorneys, Shawn Nolan, said he planned no late appeals in a bid to spare the inmate’s life. Nolan also said in a statement Tuesday afternoon that Texas would be executing a “redeemed man” who has always accepted responsibility for committing “an awful crime.”

“He never had a chance at life being abandoned by his parents and then severely abused by his adoptive father starting at age three. During his decade and a half on death row, he spent countless hours working on his redemption. And he achieved it. The Travis that Texas wanted to kill is long gone. Rest in Peace TJ,” Nolan said.

Mullis declined an offer earlier in the day to phone his attorney from a holding cell outside the death chamber, said Texas Department of Criminal Justice spokeswoman Hannah Haney. His lawyers also did not file a clemency petition with the Texas Board of Pardons and Paroles.

In a letter submitted in February to U.S. District Judge George Hanks in Houston, Mullis wrote that he had no desire to challenge his case any further. Mullis has previously taken responsibility for his son’s death and has said “his punishment fit the crime.”

At Mullis’ trial, prosecutors said Mullis was a “monster” who manipulated people, was deceitful and refused the medical and psychiatric help he had been offered.

Since his conviction in 2011, Mullis has long been at odds with his various attorneys over whether to appeal his case. At times, Mullis had asked that his appeals be waived, only to later change his mind.

Nolan had previously told the 5th U.S. Circuit Court of Appeals during a June 2023 hearing that state courts in Texas had erred in ruling that Mullis had been mentally competent when he had waived his right to appeal his case about a decade earlier.

Nolan told the appeals court that Mullis has been treated for “profound mental illness” since he was 3 years old, was sexually abused as a child and is “severely bipolar,” leading him to change his mind about appealing.

Natalie Thompson, who at the time was with the Texas Attorney General’s Office, told the appeals court that Mullis understood what he was doing and could go against his lawyers’ advice “even if he’s suffering from mental illness.”

The appeals court upheld Hank’s ruling from 2021 that found Mullis “repeatedly competently chose to waive review” of his death sentence.

The U.S. Supreme Court has prohibited the application of the death penalty for the intellectually disabled, but not for people with serious mental illness.

If the remaining executions in Texas, Alabama and Oklahoma are carried out as planned, it will mark the first time in more than 20 years — since July 2003 — that five were held in seven days, according to the nonprofit Death Penalty Information Center, which takes no position on capital punishment but has criticized the way states carry out executions.

The first took place Friday when South Carolina put inmate Freddie Owens to death. Also Tuesday, Marcellus Williams was executed in Missouri. On Thursday, executions are scheduled for Alan Miller in Alabama and Emmanuel Littlejohn in Oklahoma.



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9/24: CBS Evening News – CBS News

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Florida’s Big Bend region braces for another hurricane; Johnny Cash statue unveiled in U.S. Capitol

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9/24: The Daily Report with John Dickerson

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Lindsey Resier reports on the intensifying strikes between Israel and Hezbollah, the takeaways from President Biden’s final address to the United Nations General Assembly, and why the Department of Justice is going after Visa.

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