UPDATE 1-Home Capital may draw more from costly HOOPP loan to repay May debt

(Adds details on HOOPP loan, background, share move)

TORONTO, May 15 (Reuters) - Home Capital may need to draw down more from a high-interest credit facility provided by the Healthcare of Ontario Pension Plan in order to meet a debt repayment due next week, director Alan Hibben told Reuters.

Home Capital has pledged to pay back all of an outstanding C$325 million bond on its maturity date of May 24.

To do so, Hibben said it would likely need to draw down more on a C$2 billion credit line it received last month from HOOPP which analysts say carries an effective interest rate that could be as high as 22.5 percent. HOOPP has so far drawn down C$1.4 billion from the facility.

"That is certainly one of the possibilities, yes," Hibben said. "We're looking at a wide range of alternatives but I'm not sure that any of the other alternatives are going to be in place by May 24 so it's going to be a combination, I would assume, of some of our existing liquidity plus a draw on the HOOPP (facility)."

Depositors have withdrawn nearly 94 percent of funds from Home Capital's high-interest savings accounts since March 27, when the company terminated the employment of former Chief Executive Martin Reid.

The withdrawals accelerated after April 19, when Canada's biggest securities regulator, the Ontario Securities Commission, accused Home Capital of making misleading statements to investors about its mortgage underwriting business. The company has said the accusations are without merit.

Home Capital relies on deposits from savers to fund its lending to borrowers, such as self-employed workers or newcomers to Canada, who may not meet the strict criteria of the country's biggest banks.

Home Capital disclosed data on Monday that showed its deposit base had stabilized. Its shares were up 3.7 percent at C$9.49 in late trading. (Reporting by Matt Scuffham; Editing by Nick Zieminski)