What is a collateral charge?

A Collateral mortgage is a mortgage that either gets registered on title for more than you are borrowing or almost a blanket charge on the title which allows the lender to readvance funds to you without then need for additional legal costs.

What is a HELOC

HELOC is short for Home Equity Line of Credit. A HELOC is a readvanceable line of credit that is secured by the equity in your home. These can be set up by certain lenders at time of purchase and will allow you to have access to the equity in your home as you pay down the principal balance.  HELOC's tend to come with better rates than an unsecured line of credit as the lender has your home as the security so its less risk for them.