The agency dismantling failed savings institutions said it sold $435 million of home equity loans once owned by a failed New Jersey S&L.

Banc One Corp. of Columbus, Ohio, paid $444 million for the loans - 2.1 percent more than their face value, the Resolution Trust Corp. said.The portfolio consists of 15,700 loans with average outstanding balances of $27,639. The adjustable-rate credit lines have unused credit totaling $430 million. Ninety percent of the homes securing the loans are in New Jersey and 8 percent in Florida.

The loans were previously owned by City Federal Savings Bank of Bedminster, N.J. Once the largest S&L in the state, it was seized by the government Dec. 8. Last month, regulators sold City Federal's Florida branches and nine of its 75 New Jersey offices.