The article explores how homeowners using cash-out refinances or HELOCs affect their income and spending. They studied over 50,000 homeowners who tapped into their home equity. Homeowners who did cash-out refinances got lower interest rates but higher monthly payments. Those who used HELOCs saw a drop in income. Both groups spent more after accessing their equity, with HELOC users spending a higher percentage. Younger homeowners and those with higher loan-to-values were more likely to spend the money. These findings have important implications for economic and housing policies.