Is interes rate of 9.75 percent legal on second heloc loan?

Sure... 2nd Mortgages, commonly referred to as Home Equity Loans come at much higher risk to the lender, so generally speaking they are higher rates to begin with. Then based on credit, loan-to-value, terms, etc... It goes up from there.

It appears to be in line, but you can always check with the Usury Rates for your particular State. The site I am providing a link to will provide a quick reference so click on your State and then double check directly with your State Department of Banking to confirm. http://www.loanback.com/category/usury-laws-by-state/ Good Luck!