These examples illustrate the payment terms of home equity lines of credit offered by Merrill Lynch Credit Corporation. All examples are based on a $50,000 loan amount.

Interest rates are set each day at 9:30 a.m. ET and generally posted to our Web site at 10:00 a.m. These rates are not guaranteed and are subject to change without notice.

For Equity Access® Lines of Credit and Flexible First programs:

The Annual Percentage Rate (APR) for qualified applicants for the Equity Access® Account is based on the prime rate as published in the "Money Rates" section of The Wall Street Journal, applying MLCC’s standard underwriting criteria. Higher APRs will apply to less creditworthy borrowers. The APR may increase or decrease but will never be less than zero. The maximum APR during the life of the loan is 16%, depending upon the program selected and the credit worthiness of the applicant (excluding Iowa where the APR will not exceed 21%).

MLCC will pay all closing costs for credit lines up to $1,000,000. For credit lines over $1,000,000, the borrower will be responsible for all closing costs. This will include a credit report, flood determination, appraisal, recording and closing fees which will range between $330 and $3,450. In addition, the borrower will be responsible for paying title insurance that will range from $1.00 to $9.00 per $1,000 of the mortgage amount and mortgage recording taxes if your property is located in AL, FL, GA, KS, LA, MD, MN, NY, OK, TN or VA that range from $1.50 to $27.50 per $1,000 of the mortgage amount. Property insurance is required to establish and maintain your line of credit.

When deciding whether an adjustable-rate mortgage is right for a client’s situation, the client should consider the potential risk of rising rates and payments and such factors as how long he/she plans to own the home.

For Equity Access® Lines of Credit and Flexible First programs: The required payment is interest only. Example assumes the monthly outstanding balance remains at $50,000. Merrill Lynch does not provide advice on tax issues. Please consult your tax advisor regarding the deductibility of mortgage interest.

"Interest-only" mortgages allow you to pay only the interest on the money you borrow for a certain number of years. If you only pay the amount of interest that’s due, once the interest-only period ends, you will still owe the original amount you borrowed and your monthly payment will increase – even if interest rates stay the same – because you must pay back the principal as well as interest. You should ask what the payments on your loan will be after the end of the interest-only period. If you are considering an adjustable-rate mortgage, ask what your payments can be if interest rates increase.

MLCC reserves the right to reduce or suspend your Equity Access credit limit in the future for reasons set forth in your loan agreement, including but not limited to a significant decline in the value of your property or a material change in your financial circumstances.

To get a precise rate, please call Merrill Lynch at (800) 854-7154 for a brief telephone discussion to determine the actual rate available for your specific situation.