loanDepot, the California mortgage lender, said on 29 October 2026 that its fully digital home equity line of credit is now open to qualified homeowners in 47 states, with credit scores from 600, lines of $25,000 to $750,000 and borrowing up to a combined 90% of a home’s value, according to the loanDepot HELOC announcement. Fintechbits compared the loanDepot HELOC with Figure’s: Figure’s HELOC page promises the same 5-minute pre-approval and funding in as few as 5 days, but for loans under $400,000, while loanDepot lends up to $750,000 and accepts credit scores from 600. loanDepot says it plans to reach all 50 states.

What the loanDepot HELOC offers

The loanDepot HELOC lets a homeowner borrow against equity without replacing an existing first mortgage. Borrowers choose fixed or adjustable rates and repayment terms of 10, 15, 20 or 30 years, with an interest-only option during the draw period. Much of the process runs online, using electronic asset checks, bank account connections and automated property valuations that can replace an in-person appraisal in many cases.

Chief growth officer Nikul Patel said accessing home equity “shouldn’t require weeks of paperwork, multiple appointments and a lengthy underwriting process”. The release frames the product against record credit card balances of $1.26 trillion and $35.8 trillion of US home equity, and lists debt consolidation, renovations and tax bills among the uses.

Where the loanDepot HELOC sits against Figure

Speed is no longer a differentiator. The “5×5” name, five minutes to approval and five days to funds, mirrors the pitch on Figure’s own HELOC page, and Figure built its brand on the fast digital HELOC. Where loanDepot does stand out is reach. A $750,000 ceiling is almost double Figure’s under-$400,000 fast-funding limit, and a 600 credit score floor opens the product to borrowers many online lenders turn away.

Other fintech lenders are pushing home equity too. Better pays Coinbase One members a rebate of up to $10,000 to take out its HELOC, as Fintechbits reported in September.

Fintechbits analysis

Why loanDepot is leaning on home equity now

Homeowners who locked in low mortgage rates years ago do not want to refinance, so a HELOC that leaves the first mortgage alone is the obvious product for a lender whose refinance business has shrunk. For loanDepot, it keeps its retail lending machine busy without asking borrowers to give up a cheap rate.

The credit floor is the part to watch. A 600 score combined with borrowing up to 90% of a home’s value leaves a thin equity cushion for weaker borrowers if house prices fall. The release gives no rates, so there is no way to tell how loanDepot is pricing that risk.

In Fintechbits’ view, the loanDepot HELOC is a sensible product with a broader reach than Figure’s fast-funding tier, but the release leaves out the one number borrowers need, the rate, and the 600 floor raises the credit stakes.

Frequently asked questions

What is the loanDepot HELOC?

The loanDepot HELOC is a digital home equity line of credit for $25,000 to $750,000 that lets qualified homeowners borrow up to 90% of their home’s value, including the existing mortgage, without refinancing it.

What credit score does the loanDepot HELOC require?

Under the expanded guidelines, customers with a credit score of at least 600 may be eligible, per the loanDepot announcement.

How fast is the loanDepot HELOC?

loanDepot says approval can come in as little as five minutes and funds in as few as five days, subject to verification. Figure advertises the same timing for loans under $400,000.

What to Watch Next

The marker is loanDepot’s next quarterly results, where home equity volumes will show whether the wider eligibility is bringing in borrowers. Watch also for the rates it publishes, and for which three states it adds to reach national coverage. Fintechbits also covered Better’s preliminary third-quarter results, another read on online mortgage demand.