 TITLE: How Do Home Improvement Loans Work? CONTENT: Where to Get a Home Improvement Loan\n------------------------------------\nChoosing how to finance your home improvement project can depend on the type of work you want to do, your project's timeline and your creditworthiness.\nFor example, if you need to borrow $5,000 and have good credit, you might want to consider a credit card that has an introductory 0% annual percentage rate (APR) on purchases. Some of the best 0% APR cards have a 15- to 21-month introductory period, during which your purchases won't accrue interest. If you can pay off your balance before the introductory period ends, you may be able to finance your home improvement project for free.\nHowever, a secured loan or unsecured personal loan might have a higher loan limit than a new credit card. The interest rate may also be much lower than a credit card, although interest starts to accrue right away.\nIf you need a loan quickly, don't want to use your home as collateral or don't have much equity, an unsecured personal loan could be best. But if you're up for a more intricate application process, you are comfortable using your home as collateral, and you've established enough equity to qualify, a secured loan may offer a lower interest rate.\nAdditionally, you might get a tax deduction for the interest you pay on a home equity loan, HELOC or cash-out refinance if you use the money to substantially improve (rather than do basic repairs or maintenance) your home. To qualify, the IRS says your project must add value to your home, increase your home's useful life or adapt your home for a new use. END