DVC as "investment" (college aid ?)

[BEACHCLUBVILLAS]

But did you pick up the phone and call them?

The page I provided was not intended so you could look up help on line - it was so you can contact them directly and get the right answer. Pick up the phone and call them - the phone number is right there.

Perhaps you missed this:

"
Also, I did call and even the guy I spoke with was very vague when I explained to him about DVC and also my Vistana timeshare. I figured I'd see if anyone had some first-hand experience with DVC particularily.
Thanks for the web address SlyHubby....that is exactly where I'm filling out the online app. I even went to the "help" section to see if they specified anything about leased timeshares. Couldn't find anything."

I think they asked a good question that a lot of people on this board would be interested to know the answer. It sounds to me like the OP was wondering if anyone out there had a hard and fast answer after having done the research themselves. Apparently no one does. The sarcasm is a bit over the top.

 

[MiaSRN62]

Thanks to Bob, Cruella and BEACHCLUBVILLAS for the replies
Thanks for the financial aid calculator also. I was never worried or concerned about listing my timeshares, I just simply was questioning whether DVC was indeed an asset in light of it having an expiration date and all. I do plan on listing it, less my debt still owed. Thanks again.

 

[ErinC]

Geesh Maria, I just read your thread, not really sure why, my kids are 8, 5, & 2, so college is way off in the future at this point. But, ... I'm just so sorry that a few people on this board are so rude!!! It was obvious to me that you were just looking to see if anyone else had any experience with this in the past. I hope you get it all figured out, and I wish you the best with your personal situation. You are always so helpful with others posts, so I just had to post and voice my disgust with some of these other rude posters. Wish I could help with the financial aide paperwork, I worked in financial aide during my college days entering those forms into the computer, but I never had to fill them out on my own, so I am no help. I just couldn't pass this thread over without replying. Best Wishes.

 

[MiaSRN62]

I hope you get it all figured out, and I wish you the best with your personal situation.

Thanks so much Erin.....I appreciate you saying this
I did call DVC Accounting today and got my balance----boy, it was less than I thought it was ! If the college tuition doesn't kill me, maybe a few more points are in my future

 

[Towncrier]

I am glad that the DIS search function is working and that I found this information (although I wish that I would have searched yesterday BEFORE submitting our very first FAFSA form).

The points raised here are valid. I am hesitant to call FAFSA for help for the same reason that I was hesitant to call the IRS for tax advice some 25 years ago. The odds of finding a person who has the definitive answer seem very slim.

Regardless, the situation that I face is that we used our home equity loan to pay off our original DVC purchase and to purchase a resale. We have done a poor job of repaying that particular loan that we made to ourselves and find that the DVC "asset" is worth less than the amount of debt remaining in our home equity line of credit. Even though the primary purpose of that line of credit was to pay off DVC in a manner that would allow us to write off the interest on the loan, there is no direct connection between that line of credit and our DVC ownership. And thus the dilemma. Am I justified in considering the liability of our line of credit as balancing out the worth of the DVC asset? If we end up selling DVC, it would be to pay off a substantial portion of the line of credit and would not result in any increase in our net worth from the standpoint of what FAFSA considers.

I am not looking for advice. I have culled the information in this and the other FAFSA/DVC thread. And I know that if I call FAFSA a dozen times, I still won't have any better idea what to do. But I appreciate all the comments from last year and I am suffering with all of those parents who are filling out the FAFSA this year, perhaps for the first time.

 

[Doctor P]

DVC is an asset and should be listed as such (minus your outstanding loan balance). Let me give you an example and I think you will understand why you need to list it.

Alan and Bob each have $15,000 in the bank and each vacations at Disney each year. They have equal incomes and spend an equal amount on their vacations. Now, Alan takes his $15,000 and buys into DVC prepaying the lodging part of his vacations. Bob keeps his money in the bank to use for his vacations. The prepaid vacations need to be considered as an asset, otherwise you could get around the FAF by just prepaying everything to leave you with no tangible assets (and you clearly cannot do that). It is the same reason you need to count your house as an asset--you are prepaying your living expenses/rent by buying a house. Furthermore, with DVC, you could rent your interest out, so that is definitely an asset. However, I doubt you will get a straight answer from anyone about this because it is not a common situation, I suspect. [Update]: I was wrong. The answer becomes quite clear with a very simple web search. Timeshares are to be listed as assets on the FAFSA, and in applying for need based financial aid in general. You should also be able to deduct any loan that you have to get the net value.