Financing Myth or Truth

[HappyGrumpy]

If you finance through DVC your credit does not take a "hit" in the traditional sense. Is this true, we have made huge strides in the past several months and I am hesitant to let my credit take a bit. Anyone had any experience?

 

[forgop]

Your FICO score is going to reflect your history of payments on time, number of inquiries, and ratio of credit used (balances compared to available limits). Any time you apply for credit, your score will go down a few points. However, achieving lower percentages of credit used compared to limits will boost your score.

If you need to apply, go for it. It just takes time to build your scores through on-time payments and by minimizing the amount you use.

 

[disneynutz]

If you finance through DVC your credit does not take a "hit" in the traditional sense. Is this true, we have made huge strides in the past several months and I am hesitant to let my credit take a bit. Anyone had any experience?

Disney may check your score, but they do not report your loan to any credit agency.

Bill

 

[Crystal_27]

You'll get an inquiry "hit" (to the extent that such a hit will lower your FICO score by a point or two) but the actual loan is invisible and will not be reported to any credit reporting agencies. Hope that helps.

 

[ryanshana]

Ours did not take a hit by any points for checking credit. I know this cause we shortly after checking (about 30-45 days after) bought a house and was really checking into our credit. There was no inquiry. I actually made a big fuss about where or not this was a "hard" or a "soft" pull....My guide told me it was a soft pull and the inquiry will not be seen on my report.

Also you it does not go on your report about paying on time and what not. However, I was also told that it will reflect on your score once it is paid off!

 

[ssawka]

Ours did not take a hit by any points for checking credit. I know this cause we shortly after checking (about 30-45 days after) bought a house and was really checking into our credit. There was no inquiry. I actually made a big fuss about where or not this was a "hard" or a "soft" pull....My guide told me it was a soft pull and the inquiry will not be seen on my report.

This is correct, it is a "soft" pull and will not count against your credit score since a "soft" pull can be initiated with or without your consent.

 

[SCDizneyDawn]

I was told by member acounting we could call for a letter showing we had paid off DVC, but it would only show on our credit if we were late or did not make payments.