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Discover: 2024 Home Equity Review

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At a glance

NMLS: 684042

Bankrate Score
Rating: 4.4 stars out of 5
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Bankrate Score

Customer Rating
Rating: 2.1 stars out of 5

9 ratings


Loan amount


Credit Good

Min. credit score required

660 (700 or higher for $150,000 or more)


Repayment terms

10 years to 30 years

Funds available in



  • Discover doesn’t charge any application, appraisal or origination fees and doesn’t require any cash at closing.
  • The lender allows borrowers to have a combined loan-to-value (CLTV) ratio of up to 90 percent between their mortgage and home equity loan, making it easier to get the money you need. Among other lenders, 80 percent is a common maximum.


  • If you’d rather get a HELOC than a home equity loan, you’ll need to apply with another lender. Discover offers only fixed-rate home equity loans.
  • Discover home equity loans start at $35,000, which might be too high for some borrowers. (If you’re looking for a lower loan amount, shop around and compare options from other lenders.)

Home equity loan products offered

Discover offers home equity loans between $35,000 and $300,000, with repayment terms of 10, 15, 20 and 30 years. How much you can borrow, though, depends on your credit score and how much equity you have in your home.

Types of fees charged

Discover doesn’t charge any upfront fees on its home equity loans — no application, origination or appraisal fees. There’s no cash required at closing at all. However, this lender might require expense reimbursement (with a $500 maximum) if you pay off the loan within the first three years. Borrowers in Connecticut, Minnesota, New York, North Carolina, Oklahoma or Texas aren’t required to repay closing fees. Discover might also charge interest and a fee if your payment is late or you do not have sufficient funds to cover payments.

How to qualify for a home equity loan with Discover

Discover requires borrowers to have a FICO credit score of at least 660 to qualify for a home equity loan, as well as a history of responsible credit use and verifiable employment and income. There’s also a maximum debt-to-income (DTI) ratio — your monthly debt payments divided by your monthly gross income — of 43 percent.

Between your first mortgage and a Discover home equity loan, you can have a combined loan-to-value (CLTV) ratio of up to 90 percent (although the loan amount with that ratio is capped at $200,000). There are no minimum assets needed to close on the loan.

How to apply with Discover

You can apply for a home equity loan with Discover online or by phone at 855-361-3435. Its customer service team is available Monday through Friday from 8 a.m. to midnight ET or Saturday or Sunday, 10 a.m. to 6 p.m. ET.

How Bankrate scored Discover

Affordability 9.6/10
Availability 9.2/10
Borrower experience 7.8/10

Discover Home Loans customer ratings and reviews


NMLS: 684042


Rating: 2.11 stars out of 5

9 ratings


This lender has 9 recent reviews.

Rating: 2.7 stars out of 5
Level of service
Rating: 2.6 stars out of 5
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Rating: 2.9 stars out of 5
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22% of customers would recommend this lender.

of 9 reviews

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Bankrate cannot guarantee or verify the accuracy of the opinions shared by individual reviewers, and reserves the right to reject or remove any review, at any time, for any reason at Bankrate’s sole discretion, including but not limited to those that Bankrate deems inappropriate, fraudulent, invalid, irrelevant, or otherwise outside the parameters of the Bankrate Review Guidelines, the Privacy Policy, or the Terms of Use.

To help serve you with relevant information, the consumer reviews shown below are limited to only those that this advertiser has received during the past 12 months.

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