Better.com has announced a streamlined approval process for a home equity line of credit (HELOC) up to $400,000 for self-employed, small business, and gig workers. The “bank statement only” HELOC uses AI-driven technology and can be approved with 12 or 24 months of bank statements, without the need for traditional underwriting processes.

This HELOC allows homeowners to tap into their home equity without refinancing or selling their home, using the property as collateral. Better.com’s CEO, Vishal Garg, credits their artificial intelligence, Tinman, for a more efficient approval process that considers alternative data sources.

Chad Smith, president of Better Mortgage Corporation, estimates that this program could have helped fund $600 million in home equity loans for over 6,000 customers who were previously denied. The HELOC aims to cater to a wide range of borrowers, including those with fluctuating income or recent income increases.

Borrowers must withdraw at least 75% of their credit limit or $50,000 at funding. The maximum loan-to-value ratio depends on borrower eligibility. Better’s Bank Statement HELOC application process is fully online and available in all states except Texas, offering a quick decision and access to funds within seven days.

Read more at Yahoo Finance: The new Better.com Bank Statement HELOC helps self-employed workers tap into their home equity