A huge jump in HELOC rates to start the new year. The $30,000 home equity line of soared 59 basis points to 8.22%, as a major lender ended promotions, according to Bankrate’s national survey of lenders. Meanwhile, the benchmark five-year $30,000 home equity loan dropped two basis points to 7.97%. Before tapping into home equity, borrowers should carefully consider whether it’s the right financial tool for their situation, says Carl Holubowich, certified financial planner and principal at the Washington, D ...

Pinnacle Bankshares Corp. (OTCMKTS:PPBN – Get Free Report)’s share price passed above its 50 day moving average during trading on Wednesday . The stock has a 50 day moving average of $40.96 and traded as high as $45.0990. Pinnacle Bankshares shares last traded at $44.80, with a volume of 1,800 shares. Get Pinnacle Bankshares alerts: Pinnacle Bankshares Trading Down 0.4%The company has a market capitalization of $99.90 million, a P/E ratio of 9.26 and a beta of 0.30. The stock’s fifty day moving average is ...

Core Insights - HELOC rates are currently around 7%, making borrowing against home equity more affordable than in recent years [1] - The average HELOC rate is reported at 7.44%, based on high credit scores and low loan-to-value ratios [2] - Home equity has reached a record high of nearly $36 trillion, indicating significant value available for homeowners [2] HELOC Rates and Market Conditions - Mortgage rates remain low, leading homeowners to retain their primary mortgages instead of selling their homes [3] - HELOC interest rates are typically based on an index rate plus a margin, with the current prime rate at 6.75% [4] - Lenders have flexibility in pricing HELOCs, and rates can vary significantly based on individual creditworthiness [5][10] HELOC Features and Considerations - HELOCs allow homeowners to access equity without refinancing their primary mortgage, providing flexibility in borrowing [6] - Introductory rates can be attractive, but borrowers should be aware of potential rate adjustments after the initial period [7] - The ability to borrow only what is needed and pay interest only on that amount is a key advantage of HELOCs [8] Financial Implications - For a $50,000 HELOC at a 7.50% interest rate, the monthly payment during the draw period would be approximately $313, but rates are variable [12] - Homeowners with low primary mortgage rates and significant equity may find HELOCs beneficial for various expenses, including home improvements and personal use [11]

Core Insights - Figure Technology Solutions, Inc. is a leading blockchain-native capital marketplace focused on on-chain loan products and tokenized assets [1][4] - The company will participate in two investor conferences on December 10, 2025, featuring key executives [2][3] Company Overview - Figure has originated over $19 billion in home equity loans, making it the largest non-bank provider of home equity financing [4] - The company operates a comprehensive ecosystem that includes Figure Connect, DART (Digital Asset Registry Technology), and $YLDS, a yield-bearing stablecoin [4] - Figure is recognized as a market leader in real-world asset (RWA) tokenization, with its recent securitization receiving an AAA rating from S&P, marking a significant achievement in blockchain finance [5]

Core Insights - Upstart Holdings (UPST) has experienced significant stock volatility, dropping over 41% in the last three months despite reporting strong quarterly results [1][7] - The decline is attributed to broader market trends affecting high-growth fintech companies and concerns over Upstart's conservative lending models [1][11] Financial Performance - In Q3, Upstart reported total revenues of $277 million, a 71% increase year-over-year, and loan originations of approximately $2.9 billion, up 80% [3] - The company's AI-driven credit models adjusted approval rates in response to macroeconomic signals, leading to a decrease in conversion rates from 23.9% in Q2 to 20.6% in Q3 [4][3] Product Diversification - Upstart's newer products, including auto, home equity, and small-dollar loans, contributed nearly 12% of total originations, with auto retail loan activity growing over 70% sequentially [5][8] - Instant approvals for small-dollar loans improved significantly, with funding times reduced to under two minutes for qualified borrowers [8] Funding and Partnerships - The company achieved its best quarter for new bank and credit union partnerships, adding seven partners and reaching an all-time high in available monthly funding [9] - Upstart maintained 100% retention of all private credit partners and completed a successful securitization in September, indicating strong investor interest [9] Market Concerns - Despite operational improvements, there are concerns regarding model volatility and the larger-than-normal loan balance as the company transitions new products [11][12] - The stock remains sensitive to macroeconomic factors, particularly interest rates, which adds volatility beyond the company's fundamentals [13] Valuation and Estimates - Recent estimate revisions show an upward trend for the full-year 2025 EPS but downward revisions for 2026, indicating mixed market sentiment [14] - Upstart shares are currently considered overvalued, trading at a forward Price/Sales (P/S) ratio of 3.11, slightly below the industry average [16] Conclusion - Upstart's recent performance contrasts with its stock decline, highlighting improvements in revenues, profitability, and product expansion [17] - The company presents a promising long-term investment opportunity, but requires steadier macro signals and consistent model calibration for a stronger buy case [18]

Core Insights - Less than half of Americans are adequately prepared for retirement, with Vanguard indicating that this group may struggle to maintain their current lifestyles in retirement [1] - The importance of early retirement planning is emphasized, as relying solely on Social Security is insufficient for most individuals [2] Generation Analysis - Vanguard estimates that only 40% of baby boomers are on track for retirement, while Gen Z shows a more favorable statistic with 47% on track [3] - Millennials and Gen X are in the middle, with 42% and 41% respectively [3] Technological Impact - Technology has contributed to Gen Z's preparedness, with automatic wealth-building strategies and accessible financial tools allowing earlier engagement in wealth accumulation [4] - Features such as autoenrollment and target-date funds have significantly improved savings behavior and investment outcomes [4] Homeownership Influence - Homeownership is a critical factor that can enhance retirement preparedness, giving baby boomers an advantage over younger generations [5] - Nearly 90% of baby boomers own homes, providing them with options like home equity loans and reverse mortgages to facilitate retirement [6] - For baby boomers in the lower 30th income percentile, having home equity increases their retirement preparedness from 15% to 42% [7]

Financial Data and Key Metrics Changes - TrustCo Bank Corp NY reported a net income of $16.3 million for Q3 2025, representing a 26.3% increase compared to Q3 2024, with a return on average assets of 1.02% and return on average equity of 9.29% [8][9] - The efficiency ratio improved by almost 9% year-over-year, indicating enhanced operational efficiency [5] - The consolidated equity-to-assets ratio was 10.90% for Q3 2025, slightly down from 10.95% in Q3 2024 [9] Business Line Data and Key Metrics Changes - Average loans grew by 2.5% or $125.9 million to $5.2 billion, with home equity loans increasing by $59.9 million or 15.7% [10][15] - Residential real estate loans increased by $34 million or 0.8%, while average commercial loans rose by $34.6 million or 12.4% [10] - Non-performing loans decreased to $18.5 million from $19.4 million year-over-year, with non-performing loans to total loans at 0.36% [9][18] Market Data and Key Metrics Changes - Total deposits reached $5.5 billion, up $217 million compared to the prior year, reflecting strong customer confidence [11] - The net interest margin for Q3 2025 was 2.79%, an increase of 18 basis points from the prior year [12] - The yield on interest-earning assets increased to 4.25%, while the cost of interest-bearing liabilities decreased to 1.9% [12] Company Strategy and Development Direction - The company aims to build long-term shareholder value through disciplined share repurchase programs, having repurchased nearly half of the approved one million shares [7] - TrustCo Bank Corp NY focuses on maintaining high-quality underwriting standards and conservative lending practices to manage credit risk effectively [10][17] - The company is exploring expansion opportunities in Pasco County, Florida, and other locations in downstate New York [31] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the bank's competitive deposit offerings and the potential for net interest income upside due to maturing CDs [26][27] - The real estate market remains strong, contributing to recoveries and demand for loans, particularly in home equity lending [28][29] - The bank is well-positioned to continue delivering strong financial performance despite potential easing from the Federal Reserve [12] Other Important Information - The wealth management division had approximately $1.25 billion in assets under management, contributing significantly to non-interest income [13][14] - Total non-interest expense was $26.2 million, slightly down from the prior year, indicating effective cost management [14] Q&A Session Summary Question: Can you quantify the expected net interest income upside? - The highest rate offered is 4% for a three-month CD, with about $1 billion in CDs maturing over the next six months, expected to reprice favorably [26][27] Question: How many homes relate to the recoveries mentioned? - The $194,000 in recoveries corresponds to approximately five properties, indicating a strong real estate market with high demand [28][29] Question: What are the plans for branch expansion? - The company is considering expansion in Pasco County, Florida, and is also looking for opportunities in downstate New York [30][31]

Financial Data and Key Metrics Changes - TrustCo Bank reported a net income of $16.3 million for Q3 2025, a 26.3% increase compared to Q3 2024, with a return on average assets of 1.02% and return on average equity of 9.29% [8][9] - The efficiency ratio improved by almost 9% year-over-year, indicating enhanced profitability and operational efficiency [5] - The consolidated equity-to-assets ratio was 10.90% for Q3 2025, slightly down from 10.95% in Q3 2024 [9] Business Line Data and Key Metrics Changes - Average loans grew by 2.5% or $125.9 million to $5.2 billion year-over-year, with home equity loans increasing by 15.7% [10][14] - The residential real estate portfolio increased by $34 million or 0.8%, while average commercial loans rose by $34.6 million or 12.4% [10] - Non-performing loans decreased to $18.5 million, with non-performing loans to total loans at 0.36%, down from 0.38% a year ago [9][17] Market Data and Key Metrics Changes - Total deposits reached $5.5 billion, up $217 million compared to the prior year, reflecting strong customer confidence [11] - The net interest margin for Q3 2025 was 2.79%, an increase of 18 basis points from the prior year [12] - The yield on interest-earning assets increased to 4.25%, while the cost of interest-bearing liabilities decreased to 1.9% [12] Company Strategy and Development Direction - TrustCo Bank aims to enhance shareholder value through a disciplined share repurchase program, having repurchased nearly half of the approved one million shares [7][9] - The company focuses on maintaining high-quality underwriting standards and conservative lending practices to manage credit risk effectively [10][16] - Expansion opportunities are being explored in Pasco County, Florida, and downstate New York, with a focus on strategic locations [29][30] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the bank's long-term strength and the potential for meaningful net interest income upside due to maturing CDs [25][26] - The real estate market remains strong, contributing to recoveries and demand for loans, particularly in residential and home equity segments [28][14] - The bank is well-positioned to continue delivering strong financial performance despite potential easing from the Federal Reserve [12] Other Important Information - The wealth management division had approximately $1.25 billion in assets under management, contributing significantly to non-interest income [12][13] - Total non-interest expense was $26.2 million, slightly down from the prior year, indicating effective cost management [13] Q&A Session Summary Question: What is the average rate for maturing CDs compared to new CDs? - The average rate on the $1 billion in CDs coming due is about 3.75%, with the highest rate currently offered at 4% for a three-month term [25][26] Question: Can you explain the recoveries in New York? - The recoveries are largely due to a strong real estate market, with $194,000 in recoveries relating to approximately five properties taken back [28] Question: What are the company's expansion plans? - TrustCo is looking at opportunities in Pasco County, Florida, and other locations in downstate New York for potential growth [29][30]

Core Insights - Home equity lines of credit (HELOCs) are valuable for debt consolidation and home repairs, but the amount one can borrow depends on individual financial circumstances and lender criteria [1] Borrowing Capacity - The borrowing amount from a HELOC is determined by the combined loan-to-value (CLTV) ratio, which compares the total debt on the property to its market value. Most lenders allow borrowing between 80% and 85% of the home's value minus any existing mortgage balance [2][9] - For example, if a home is valued at $350,000 with a mortgage balance of $100,000, and the lender allows borrowing up to 85%, the potential borrowing amount would be $197,500 [3][4] Factors Influencing HELOC Approval - Lenders consider several factors beyond the CLTV ratio, including: - The appraised value of the home, which directly affects equity and borrowing potential [6] - The debt-to-income (DTI) ratio, with a typical requirement of no more than 40% to 50% [6] - The borrower's credit score, which influences the interest rate and borrowing limits [6] - The borrower's income stability and amount, which assures lenders of repayment capability [6] Lender-Specific Limits - Different lenders have maximum borrowing limits for HELOCs; for instance, PenFed Credit Union has a maximum limit of $500,000 [7] Alternatives to HELOCs - If qualifying for a HELOC is a concern, there are alternative financing options available, such as home equity loans, reverse mortgages, cash-out refinancing, home equity sharing agreements, 401(k) loans, and personal loans [8][13]

Core Insights - Figure Technology Solutions, Inc. (NASDAQ:FIGR) has reached an all-time high of $42.74, reflecting strong investor interest ahead of a potential interest rate cut by the Federal Reserve [2][3] - The company utilizes blockchain technology to facilitate connections between lenders and borrowers in the home loan market, positioning itself to benefit from lower borrowing rates [3][4] Group 1 - Figure Technology Solutions, Inc. extended its winning streak to hit another all-time high, closing up 8.44% at $40.48 [2] - The anticipated interest rate cut by the US central bank is expected to increase demand for mortgages, refinancing, and home equity loans, benefiting lenders [4] - The company claims to fund home equity loans in just 10 days, significantly faster than the industry average of 42 days [4] Group 2 - Figure Technology Solutions debuted on the Nasdaq exchange, raising $787.5 million from the sale of 31.5 million shares [5]