U.S. Bank is trying out a “green” home-equity-loan program in Colorado that gives borrowers better rates for projects like installing solar panels, geoethermal heat pumps or energy-efficient windows or insulation.
Qualifying projects will earn customers a three-eighths percent rate reduction on their home equity loan. The pilot program follows a similar green auto loan, which reduced rates on loans for fuel-efficient vehicles.
“We launched a green auto loan in April and have had an outstanding response,” said Lisa O’Brien, U.S. Bank’s director of environmental affairs. “We expect our green home equity loans and lines will be equally popular, and most importantly, will result in making a positive impact on the environment.”
No word on when the program might be available in Minnesota.