Discover no longer offers home equity loans. The product was discontinued in June 2025, and new applications are no longer accepted. If you’re looking for a similar home equity loan today, you’ll need to consider alternative lenders.
Fortunately, several companies still offer home equity loans and home equity lines of credit (HELOCs) with competitive rates and fully online application processes. Below, we highlight the best alternatives available now based on eligibility requirements, interest rates, loan amounts, and overall features.
Table of Contents
What happened to Discover home equity loans?
Discover’s home equity products were discontinued following a larger corporate shift. In May 2025, Capital One acquired Discover, ending Discover’s role as an independent financial institution. Although Discover continues to operate as a brand within Capital One’s network, it is no longer a separate company.
In the period leading up to the acquisition, Discover rebranded parts of its mortgage and equity business under Discover Home Loans, signaling a change in strategy. That rebrand was short-lived. By mid-2025, Discover exited the home equity lending space entirely and stopped offering new home equity loans and HELOCs.
While existing borrowers can continue managing their loans under their original terms, Discover’s home equity products are no longer available to new customers. As a result, borrowers seeking home equity financing must now turn to other lenders.
Where can I find similar home equity loan and HELOCs to Discover?
Figure
Best Overall HELOC
Why it’s a good alternative to Discover home loans
Figure offers a HELOC that is structured more like a home equity loan. Borrowers receive funds as a lump sum with a fixed interest rate and repay the balance over a set term, similar to a traditional home equity loan. As you pay down the balance, you may be able to draw additional funds, which adds flexibility that standard home equity loans do not offer. The application process is fully online and does not require an in-person appraisal, but origination fees can be higher than average.
Aven
Best Customer Reviews
Why it’s a good alternative to Discover home loans
Aven offers a HELOC that can function like a home equity loan for borrowers who prefer flexible access to funds. While it is a revolving line of credit, it allows you to borrow as needed and repay over time, similar to how some homeowners used Discover’s home equity loan for ongoing expenses. Aven also offers a HELOC-backed card, which provides easy access to funds but requires discipline, since your home secures the balance you borrow.
LendingTree
Best Marketplace
Why it’s a good alternative to Discover home loans
LendingTree isn’t a direct lender—it’s a loan marketplace that lets you compare multiple home equity loan and HELOC offers from dozens of lenders in one place. You fill out one application and get matched with potential options across a range of terms, loan amounts, and interest rates, helping you find a competitive offer without submitting separate forms to each lender.
Rates and eligibility vary by the lender you’re matched with, but LendingTree’s strength is its breadth of choice and easy comparison shopping.
Trovy
<strong>Best for Fast Funding + No Minimum Draw</strong>
Why it’s a good alternative to Discover home loans
Trovy offers a HELOC card designed for homeowners who want to access equity gradually rather than take a lump sum upfront. While it is technically a line of credit, it can serve as a home equity loan alternative for smaller or phased expenses, such as home improvement projects. You only pay interest on what you use, which can help manage costs, but it may not be the best fit if you need a large one-time payout.
Achieve
Best for Debt Consolidation
Why it’s a good alternative to Discover home loans
Achieve offers a fixed-rate HELOC that closely resembles a home equity loan. Instead of a revolving credit line with interest-only payments, Achieve requires principal and interest payments from the start, creating a predictable repayment schedule. This structure can appeal to borrowers who want stability and clear payoff timelines. While it offers more structure than a traditional HELOC, it still provides flexibility compared to a standard home equity loan.
Spring EQ
<strong>Best for Accessing 90% of Equity</strong>
Why it’s a good alternative to Discover home loans
Spring EQ specializes in home equity loans and also offers HELOCs. Its home equity loans provide a lump sum with fixed interest rates and predictable monthly payments, making them a close replacement for Discover’s discontinued loan. Spring EQ also stands out for allowing borrowers to access up to 95% of their home’s equity in some cases. Availability varies by state, and the lender charges an origination fee, which can increase the overall cost.
SoFi
<strong>Best Online Experience</strong>
Why it’s a good alternative to Discover home loans
SoFi offers both home equity loans and HELOCs, giving borrowers flexibility in how they access their home equity. Its home equity loan works well for one-time expenses since you receive a lump sum and repay it at a fixed rate over time.
While SoFi’s process is fully online and user-friendly, its eligibility requirements tend to favor borrowers with strong credit and stable income. For well-qualified borrowers, SoFi can be a solid alternative to Discover’s former home equity loan.
What should you do if you have a Discover home equity loan?
If you already have a Discover home equity loan, you do not need to take any immediate action. Even though Discover no longer offers home equity loans to new borrowers, existing loans remain active and continue under their original terms.
You should continue making payments as scheduled and managing your loan the same way you always have. Your interest rate, repayment terms, and monthly payment amount have not changed solely because Discover exited the home equity lending market.
That said, it’s still a good idea to stay informed. Since Discover is now part of Capital One, servicing could change in the future, such as a transfer to a different loan servicer. If that happens, you would receive advance notice with instructions on where and how to make payments. Until then, regularly check your account statements and watch for official communications from Discover or Capital One.
If you are unhappy with your current rate or want different terms, refinancing with another home equity lender or replacing the loan with a HELOC may be an option, depending on your credit profile and available equity. Otherwise, continuing your existing loan as agreed is typically the simplest and lowest-risk choice.
Discover customer service
If you have an existing Discover home equity loan, customer support is available through Capital One’s servicing channels. The fastest way to get help is usually by calling the phone number listed on your billing statement or within your online account.
Below are the most relevant contact options for Discover and Capital One products. Phone numbers and support routing may change, so always confirm details through official account communications when possible.
- Discover home equity loans: For questions about an existing Discover home equity loan, call 1-866-248-1255.
- General Capital One support: If you are unsure which department to contact, Capital One’s main customer service line is 1-877-383-4802.
- Capital One credit cards: For Capital One credit card questions, call 1-800-227-4825 or use the phone number on the back of your card.
- Capital One banking: For banking-related issues, including checking or savings accounts, call 1-800-655-2265.
Online support options, including secure messaging and chat, may also be available through your account dashboard, depending on the product you have.
How to find the best alternatives to Discover home equity loans
Since Discover no longer offers home equity loans, choosing the right alternative depends on how you want to borrow and repay your home equity. Some borrowers want a direct replacement with a fixed rate and predictable payments, while others are open to HELOCs that are structured more like home equity loans.
If you are not sure which option makes the most sense, these guides can help you narrow it down:
- Best home equity loans: A breakdown of the top lenders offering lump-sum loans with fixed rates and set repayment terms.
- Best HELOCs: A comparison of flexible home equity lines of credit, including options that function similarly to home equity loans.
- HELOC vs. home equity loan: A side-by-side explanation of how the two products differ and when each one makes more sense.
- Home equity loan eligibility requirements: An overview of credit score, income, and equity requirements lenders typically look for.
Taking time to compare products and understand lender requirements can help you find a reliable alternative that fits your financial goals now that Discover’s home equity loans are no longer available.
About our contributors
-
Written by Taylor Milam-SamuelTaylor Milam-Samuel is a personal finance writer and credentialed educator who is passionate about helping people take control of their finances and create a life they love. When she's not researching financial terms and conditions, she can be found in the classroom teaching.
-
Edited by Amanda HankelAmanda Hankel is a managing editor at LendEDU. She has more than seven years of experience covering various finance-related topics and has worked for more than 15 years overall in writing, editing, and publishing.