No Minimum Draw Required: Tap Your Home Equity for $100 or $100,000

When you need access to cash, your home equity can be one of your most powerful financial tools, but not all home equity products are designed for the way you actually use money.

How HELOCs Work: Built-In Flexibility

A home equity line of credit (HELOC) operates like a credit card secured by your home. Once approved for a credit line, you can draw money as needed during what’s called the “draw period,” typically lasting 5-10 years. The beauty of a HELOC is its reusable nature: as you pay down what you’ve borrowed, that credit becomes available again to redraw.

This redraw feature is what makes HELOCs fundamentally different from traditional home equity loans, where you receive a lump sum upfront and immediately start paying interest on the entire amount. With a HELOC, you only pay interest on what you actually use.

The Hidden Catch: Minimum Draw Requirements

Here’s where many homeowners hit an unexpected obstacle. While HELOCs are designed for flexibility, many lenders require a minimum initial draw—often $25,000, $50,000, or more. This requirement forces you to borrow money you might not need right away, and you’ll pay interest on that full amount from day one.

Imagine needing $5,000 for a home repair but being required to draw $25,000. You’re now paying interest on an extra $20,000 that’s just sitting in your bank account. That defeats the entire purpose of a flexible line of credit.

True Flexibility: Access Your Equity on Your Terms

This is where Trovy changes the game. With Trovy’s HELOC, there is no minimum draw requirement. Whether you need $100 for a small emergency or $100,000 for a major renovation, you draw exactly what you need, when you need it.

Here’s what that means for you

• Borrow $100 or $100,000 – access your approved credit line in any amount that makes sense for your situation
• Pay interest only on what you use – if you draw $5,000, you only pay interest on $5,000, not a penny more
• Redraw as you repay – just like any HELOC, as you pay down your balance, that credit becomes available again
• No pressure to borrow more – take what you need today, and know the rest is there if you need it tomorrow

When This Flexibility Matters Most

This kind of true flexibility is valuable in many real-world scenarios:

• Unpredictable projects: Home renovations rarely go exactly as planned. Draw smaller amounts as costs arise rather than guessing what you’ll need upfront.
• Emergency cushion: Keep your line available for genuine emergencies without locking yourself into unnecessary borrowing.
• Multiple smaller expenses: Perhaps you need $8,000 now for one project and might need another $15,000 in six months. Draw each amount when you actually need it.
• Testing the waters: Start with a smaller draw to get comfortable with the product before accessing larger amounts.

The Bottom Line

Your home equity is your money. You should be able to access it in amounts that match your actual needs, not what a lender’s policies dictate. While all HELOCs let you pay interest only on what you draw, some lenders force you to draw more than you need, undermining the whole point of flexible borrowing.

With Trovy, there’s no minimum draw standing between you and your equity. Whether your project costs $100 or $100,000, you’re in control. That’s flexibility that actually works for how you live.