What is the difference between a Home Equity Loan and a Home Equity Line of Credit?

A home equity loan lets you borrow a fixed amount, secured by the equity in your home, at a fixed interest rate, and you receive the money in one lump sum. A home equity line of credit enables you to withdraw money as you need it up to a predetermined limit and repay the loan over a fixed term and typically with a variable interest rate that may increase or decrease over time.