A HELOC through Prosper has a variable rate, meaning the interest you pay could increase or decrease. Changes to this rate are calculated by adding the margin identified in your credit agreement to the current prime rate.
During the draw period, you can make interest-only monthly payments5 with a minimum determined by the lender. Paying more than the interest you owe will enable you to borrow additional money during the draw period and will reduce the total amount of interest you pay.
During the repayment period, your lender will calculate the regular minimum payment amount using a method that will be described in your loan agreement.