Ever wondered how you could tap into your home’s value without jumping through endless hoops? I’ve been there, staring at bills or dreaming of a home renovation, wishing for a quick way to access funds. That’s where a home equity line of credit (HELOC) comes in, and in 2025, Figure is making waves in this space. With a process so streamlined it feels almost futuristic, Figure promises approvals in minutes and cash in your account in as little as five days. But is it really as good as it sounds? Let’s dive into what makes Figure’s HELOC tick, its quirks, and whether it’s the right fit for you.
Why Figure’s HELOC Stands Out in 2025
In a world where financial decisions often come with mountains of paperwork and weeks of waiting, Figure’s approach feels like a breath of fresh air. Founded in 2018, this fintech gem has already lent over $14 billion to more than 200,000 households. What’s the secret sauce? It’s all about speed and simplicity. Figure has carved out a niche by offering a fully online application process that can get you approved faster than you can binge-watch your favorite show. But there’s more to it than just quick approvals—let’s break it down.
Lightning-Fast Approvals and Funding
Picture this: you apply for a HELOC, and within five minutes, you’re approved. No endless phone calls or trips to the bank. Figure’s online platform uses advanced tech to assess your eligibility almost instantly. Once approved, funds can hit your account in as few as five days. For anyone who’s ever waited weeks for a loan, this feels like a minor miracle.
“Speed matters when you’re tackling unexpected expenses or seizing opportunities.”
– Financial advisor
But here’s where I raise an eyebrow: while the speed is impressive, you’ve got to be ready to act fast. Figure requires you to withdraw the full line of credit at origination, which isn’t typical for most HELOCs. This could be a game-changer if you need all the funds upfront, but it might feel restrictive if you prefer flexibility.
A Hybrid of HELOC and Home Equity Loan
Unlike a traditional HELOC, which lets you draw funds as needed over a draw period (usually 10 years), Figure’s version has a unique twist. It blends features of a HELOC and a home equity loan. You’re required to take the entire credit line at the start, but as you repay, you can draw again during the draw period, which ranges from two to five years. This shorter window compared to the standard 10 years might catch some folks off guard.
- Traditional HELOC: Draw funds as needed, longer draw period.
- Figure HELOC: Full draw upfront, shorter draw period, repay and redraw.
I find this hybrid approach intriguing. It’s like getting the best of both worlds—immediate access to funds with the option to reuse the credit line. But the shorter draw period means you’ll need a clear repayment plan to make the most of it.
Pros That Make Figure Shine
Figure’s HELOC isn’t just about speed. It’s packed with features that make it a strong contender in 2025. Here’s what I love about it:
- Rapid funding: Cash in as little as five days.
- Online closing: Virtual closings where allowed, saving you time.
- No annual fees: Keep more money in your pocket.
- Flexible use: Use it for second homes or piggyback HELOCs.
- High LTV: Borrow up to 85% of your home’s value.
These perks make Figure a go-to for homeowners who value efficiency and want to avoid hidden costs. The ability to close online, in particular, feels like a nod to our increasingly digital world. Who has time for in-person closings anymore?
Cons to Keep in Mind
No financial product is perfect, and Figure’s HELOC has its quirks. Here’s what might give you pause:
- Short draw period: Only two to five years, compared to 10 for most HELOCs.
- High minimum draw: Starts at $15,000, or higher in some states.
- Origination fee: Can be up to 4.99%, which adds up.
- Full draw required: You must take the entire line at origination.
- Not available everywhere: Sorry, Hawaii and Delaware residents.
The origination fee, in particular, feels like a bit of a sting. I’ve seen other lenders offer no-fee options, so this is something to weigh if you’re cost-conscious. And the full-draw requirement? It’s a bold move that might not suit everyone.
Rates and Terms: What to Expect
Figure’s HELOC terms are designed to be straightforward, but they come with some unique features. Here’s the rundown:
| Feature | Details |
| Draw Period | 2 to 5 years |
| Repayment Terms | 5, 10, 15, 20, or 30 years |
| Loan Minimum | $15,000 ($35,000 in TX, $25,001 in AR) |
| Loan Maximum | $400,000 |
| Origination Fee | Up to 4.99% |
| Annual Fee | None |
The repayment terms are a highlight, offering flexibility to stretch payments over decades if needed. But the loan maximum of $400,000 might feel limiting if you’re sitting on a high-value property. Compare that to some competitors who offer HELOCs up to $6 million, and it’s clear Figure is targeting a specific audience.
Who Qualifies for a Figure HELOC?
Figure’s eligibility requirements are more lenient than some competitors, which is a plus for those with less-than-perfect credit. Here’s what you’ll need:
- Credit score: At least 640.
- Debt-to-income ratio: Up to 50%.
- Combined loan-to-value ratio: Up to 85%.
A 640 credit score is relatively accessible compared to, say, Flagstar’s 700 requirement. This makes Figure a solid option if you’re working on rebuilding your credit but still want access to home equity. That said, the 50% debt-to-income cap means you’ll need to keep your debt in check.
“A lower credit score requirement opens doors for more homeowners.”
– Mortgage expert
How Does Figure Stack Up Against Competitors?
To get a sense of Figure’s place in the market, let’s compare it to two big players: TD Bank and Flagstar.
Figure vs. TD Bank
TD Bank is a traditional lender with over 1,000 branches, but it only offers HELOCs in 15 states and Washington, D.C. Figure, on the other hand, is available in all but one state (Hawaii). TD Bank’s HELOCs go up to $6 million, dwarfing Figure’s $400,000 cap. But Figure’s online closings and faster approvals give it an edge for tech-savvy borrowers.
Where TD Bank shines is flexibility. It offers a standard 10-year draw period and doesn’t require a full draw upfront. If you need a larger loan or prefer in-person service, TD Bank might be the better pick. But for speed and convenience, Figure takes the cake.
Figure vs. Flagstar Bank
Flagstar is another full-service bank with HELOCs ranging from $10,000 to $1 million. It also offers a 0.25% discount for autopay from a Flagstar account, which Figure doesn’t match. However, Flagstar’s 700 credit score requirement is steeper than Figure’s 640, making Figure more accessible.
Flagstar’s draw period is also longer, typically 10 years, and it doesn’t mandate a full draw at origination. But Figure’s lightning-fast approvals and funding timeline make it a standout for those who can’t afford to wait.
How to Apply for a Figure HELOC
Applying for a Figure HELOC is as easy as ordering takeout online. Since Figure operates entirely online, you’ll head to their website to start the process. The preapproval won’t ding your credit score, which is a relief. You’ll need to gather:
- Proof of identification.
- Bank statements.
- Tax returns and W2s from the past two years.
- Deed to your home.
- Proof of homeowners insurance.
Once submitted, Figure’s tech works its magic, and you could be approved in minutes. If everything checks out, funds can arrive in as little as five days, with online closings available in many states. It’s hard to beat that kind of efficiency.
Is Figure’s HELOC Right for You?
Choosing a HELOC is like picking the right tool for a job—it depends on your needs. Figure’s HELOC is a fantastic fit if:
- You need funds fast for renovations, debt consolidation, or emergencies.
- You’re comfortable with an online-only process.
- Your credit score is at least 640, but not perfect.
- You’re okay with a shorter draw period and upfront full draw.
But if you need a larger loan, a longer draw period, or prefer face-to-face service, you might want to explore other lenders. The origination fee and full-draw requirement could also be dealbreakers for some.
“The right HELOC matches your financial goals and timeline.”
– Personal finance expert
Customer Service and Reputation
Figure’s focus on HELOCs means they’ve honed their customer service to a fine point. You can reach them at 888-819-6388, with hours stretching from 6:00 a.m. to 9:00 p.m. PT on weekdays and slightly shorter hours on weekends. Their A+ rating from the Better Business Bureau speaks to their transparency and responsiveness.
I’ve always appreciated companies that prioritize clear communication, and Figure seems to deliver. Their streamlined process and accessible support make it easy to get answers when you need them.
Frequently Asked Questions
Is Figure a Legitimate Lender?
Absolutely. Founded in 2018, Figure has funded over $14 billion in HELOCs for more than 200,000 households. Their A+ BBB rating and status as a top non-bank HELOC lender solidify their credibility.
How Fast Can I Get Funds?
Figure boasts approvals in as little as five minutes and funding in five days. It’s one of the fastest options out there, perfect for urgent needs.
Does Figure Offer Home Equity Loans?
Nope, Figure sticks to HELOCs. If you’re looking for a lump-sum home equity loan, you’ll need to shop elsewhere.
Final Thoughts: Should You Choose Figure?
Figure’s HELOC is like a sports car in the world of home equity financing—fast, sleek, and built for those who know exactly what they want. Its rapid approvals, online process, and flexible credit requirements make it a standout in 2025. But the shorter draw period, full-draw requirement, and origination fee mean it’s not a one-size-fits-all solution.
In my experience, the best financial decisions come from weighing your priorities. If speed and convenience are at the top of your list, Figure’s HELOC is worth a serious look. But if you need more flexibility or a larger loan, you might want to shop around. Either way, understanding your options is the first step to unlocking your home’s potential.
So, what’s your next move? Are you ready to tap into your home’s equity with Figure, or will you explore other paths? Whatever you choose, make sure it aligns with your financial goals.
