During this period of restrictive credit, would it be advantageous to draw out the maximum amount of funds on my home equity line of credit?

Most home equity lines of credit have terms and conditions that allow the lender to cancel or reduce the amount of credit available on the original loan.  This does not mean that loan has to be paid off; it just reduces or ends the ability to use the loan as a line of credit.  If you have not used all of your line of credit it certainly within your rights to utilize the line before a lender end its availability.  This is not to say that lenders are terminating all of their lines of credit.  It is simply an option they have under most home equity line agreements.  Now, the question turns to why you would want to drawn out these funds.  If you have very favorable terms on the home equity line of credit and use a mortgage calculator to see what the monthly payment will be and the use of these funds exceeds the cost, this is a viable conclusion.  If you want to sock the money away, it would hard to believe that the rate of return that you will get by socking it away will exceed he cost of its use.  The first step would be to use a savings calculator and mortgage calculator to see if using these funds now is advantageous.

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