 TITLE: Should I Use Home Equity for a Financial Emergency? CONTENT: How Using Home Equity Affects Your Credit\n-----------------------------------------\nBefore pursuing home equity options, check your credit report and scores. Lenders will refer to them to determine qualification and to set terms. You'll want to pursue only those credit products that are within reach and will be to your benefit.\nHome equity loans and cash-out refinance loans appear as installment loans on your credit reports. HELOCs are listed as a revolving line of credit, similar to a credit card. All of these credit types can enhance your credit rating if you manage them responsibly. Miss payments, however, and your credit rating can decline. Go into default or foreclosure, and your credit will suffer and you can lose your home.\nBecause you don't make payments on a reverse mortgage, most lenders don't report that loan to the credit reporting agencies. END