Paying Disney VS. Putting money in savings

[mom_of_3_mousketeers]

I did a search and came up with nothing , so I do apologize if this is talked about often.

We booked our 2012 trip in June and I'm trying to decide on how to go about "paying" for our trip. I technically have 12 1/2 months before the money is due, so do I pay for the trip a little each month (DH gets paid every 2 weeks) by sending Disney a payment and the remainder to the ING account or do I pay my ING savings account the whole amount so I can gain the interest $ and pay on the 45 days when it's due? Last time we went I booked less than 4 months out (back when ADRs were at 90 days) and paid it off at 45 days.

May seem like a no brainer but I don't want us to think this is just extra cash set aside, you know? We do have regular savings that we don't touch, but I don't want to use that to pay for Disney.

Just looking for advice from others that book far in advance and what their strategies are. TIA!

 

[hannahdrewmom]

I would put it in savings. It's two fold to me... if something comes up and you need it... it's there and you don't have to worry about where to find it. (I know it's for Disney but sometimes other things that are essential happen.) The other is the interest. No reason to give the mouse the money for him to make more on it. Keep it set aside in your savings and forget about it. But in case of emergency it's there.

 

[ilovemk76]

I did a search and came up with nothing , so I do apologize if this is talked about often.

We booked our 2012 trip in June and I'm trying to decide on how to go about "paying" for our trip. I technically have 12 1/2 months before the money is due, so do I pay for the trip a little each month (DH gets paid every 2 weeks) by sending Disney a payment and the remainder to the ING account or do I pay my ING savings account the whole amount so I can gain the interest $ and pay on the 45 days when it's due? Last time we went I booked less than 4 months out (back when ADRs were at 90 days) and paid it off at 45 days.

May seem like a no brainer but I don't want us to think this is just extra cash set aside, you know? We do have regular savings that we don't touch, but I don't want to use that to pay for Disney.

Just looking for advice from others that book far in advance and what their strategies are. TIA!

What is your interest rate?

If it is not a very good rate I would pay off the trip each paycheck. This way the money is not spent on something else and you know the trip is all paid for.

 

[Disneefun]

I would always choose to keep the money in savings. Not only are you earning interest, which might not be much but it is money, you keep control of the money. When you send it to Disney you lose control. What happens if you desperately need that money for something else between now and then? A year is a long time and a lot can happen. Hopefully it won't, but you never know. Sure, Disney will refund your money, but it will take a few days or weeks (day probably for credit card refund, weeks if they have to write you a check). I'd much rather have total control of that money for as long as I could and just pay them at the 45 day mark.

If you're worried about comingling it w/reg. savings, ING will let you open a second account that's linked to the first. That way you can keep things separate but move money between the two if it becomes necessary. In it's own account it's a bit more "out of mind" than if it's in the regular fund.

Incidentally, I'm not a fan of the "put all the trip money on giftcards" plan, either b/c if you need that money you are totally out of luck since a GC can't be converted to cash or returned.

 

[mom_of_3_mousketeers]

I would put it in savings. It's two fold to me... if something comes up and you need it... it's there and you don't have to worry about where to find it. (I know it's for Disney but sometimes other things that are essential happen.) The other is the interest. No reason to give the mouse the money for him to make more on it. Keep it set aside in your savings and forget about it. But in case of emergency it's there.

That's been the major thing sticking in my mind.



Thank you all for your comments. I appreciate it!

 

[QVCshopper]

I'd keep it in savings until you need to pay off the trip. You get interest and have control over the money. Plus, maybe a deal will come along. For example, just last month, I bought $700 in Disney gift cards to pay off our trip at Acme. I got back $140 in Acme catalina coupons for essentially free food. Thus, paying off my Disney trip was really just $560. I have to buy groceries anyway. Where else can I get back 20% on my money?

To be honest, I don't understand the pay it off early so we don't touch the money thing. Unless an extreme emergency comes up, just don't touch it. Save automatically and pretend like you don't even know it's there.

 

[mom_of_3_mousketeers]

What is your interest rate?

If it is not a very good rate I would pay off the trip each paycheck. This way the money is not spent on something else and you know the trip is all paid for.

Since it's an ING savings account, it's a little higher than our physical bank's % but not overly high. It fluctuates too. I want to say it's at 1.1% or around there?

 

[budbeerlady]

I am an odd ball but I like to pay on the trip each time I get paid. It makes me feel like its getting closer and the end pay off amount if less (in my head anyway) this way.

 

[mom_of_3_mousketeers]

I'd keep it in savings until you need to pay off the trip. You get interest and have control over the money. Plus, maybe a deal will come along. For example, just last month, I bought $700 in Disney gift cards to pay off our trip at Acme. I got back $140 in Acme catalina coupons for essentially free food. Thus, paying off my Disney trip was really just $560. I have to buy groceries anyway. Where else can I get back 20% on my money?

To be honest, I don't understand the pay it off early so we don't touch the money thing. Unless an extreme emergency comes up, just don't touch it. Save automatically and pretend like you don't even know it's there.

That is AWESOME!! I am good at deals but that is an awesome deal.

I completely understand that thinking. I had my mind made up to just put it in the acct and that was it. Then DH mentioned something about paying it off little by little. It seemed like a good idea, but everyone has just made me realize that it's best to go with my original plan to pay myself rather than Disney.

 

[married2mm]

hello from sunny uk(?!)

i am a definite SAVE vote!

in fact, we currently have 2 vacations booked-upcoming in 38 days and counting next years,13 months time!

we have physically "paid" the travel agent our balance-however we used an interest free credit card deal for the final payment-with no credit card fees
The balance is sitting in an account gaining us a little interest of 3.25% but at least it's something rather than nothing!!

The plan for next years balance is save with a monthly savings account-already instigated-then pay off as late as physically possible-or even better look out for another 15 month interest free deal and reinvest our savings rather than have to pay out the pennies

 

[SweetestC]

I put it into a savings account and pay a little at a time aswell

 

[dwonderz]

We put our money into a savings account and then withdrawal/transfer the money whenever we make a payment...

 

[nrpofp]

I put a certain amount from each paycheck into a vacation savings account. I do this even when I don't have a vacation planned. I never book anything until I have enough money to cover it. I pay the whole amount when I feel like I have the best discount out there. Then I start saving for the next vacation.

 

[perthgirl]

not the same thing i know but we have been planning a trip to the US since january and we have been converting money to usd every pay since then. with the aussie dollar as good as it is at the moment i can't lose and can always convert back to aussie dollars if the worst happens and we cant go.