Typically, home equity lines of credit carry a variable rate and not a fixed rate. The variable rate is based on some publicly accessible index, like the US Treasury Bill Rate or the Prime Rate, plus a margin. It is important that you understand what index is used as the interest rate basis of your HELOC, how often the index fluctuates and how high it has been in the last several years. Occasionally, a lender will offer a lower rate as an “introductory rate”, but the low rate is typically only low for a short period of time.