loanDepot introduces digital-first HELOC

In a traditional home equity product, lenders pay out a lump sum upfront to the borrower, who is then asked to pay the loan back in fixed-rate installments. By contrast, a HELOC is a revolving line of credit that allows borrowing as needed, with a variable interest rate.

The mello HELOC expands loanDepot’s diversified origination model and underscores its commitment to provide products that fit consumer demands and trends. Frank Martell, president and chief executive officer of loanDepot, said its mixed assets of diverse customer engagement, proprietary tech stack and national brand puts loanDepot in a great position to help homeowners.

“Homeowners have certainly enjoyed the record-low interest rates of the last two years,” Martell said. “Now with our game-changing mello HELOC, we can give them a safe, fast and easy way to access their equity while preserving historically low interest rates. This is the financial tool America’s homeowners need and we are the company that can deliver it.”

Read more: HELOCs remain the renovation financing option of choice for many

Meaning “about to be” in Greek, the mello unit was only established last March under the leadership of the digital-technology veteran Zeenat Sidi. The new unit focuses on developing mortgage-adjacent lending products and services, including a customer contact center, the mello DataMart, and the performance marketing engine.