Putting a Disney Vacation on your Disney Visa (0%)

[MommyBryn]

Since Disney offers 0% financing on Disney Vacations for 6 months, do they just "separate" that balance from the rest of your expenses on your statement? Or how does that work? I'm wondering because we've NEVER carried a balance from month to month on any of our cards (we always pay it off in full) but we may take advantage of the 0% financing on our vacation for a few more months to leave the $$ in our savings account and earn the extra interest before we withdraw it. But I wasn't sure how it works.

 

[DISdreamin']

We never carry a balance either, but when I put our Disney vacation on it, it showed as a separate line item with 0% interest. At the time, anything I sent in for payment went towards the balance that would have accrued interest (I always made sure to pay enough that no interest was ever charged).

FWIW, my $200 deposit showed one date, and the balance of the trip showed another - each were 6 months from the date the charge was put through. I thought it was nice how it was arranged and didn't have any issues.

I'm not sure that things haven't changed, though, with the new credit card laws and maybe Chase policies, so I'd double check. My trip was a year and a half ago, before all the changes!

 

[SuzanneSLO]

Under the new credit card rules, any amount above the minimum payment must be credited against charges earning the highest interest. So to make sure you don't get charged itnerest, you need to pay your minimum payment plus any new non-deffered charges. The minimum payment amount will then reduce the amount owed on your Disney vacation. -- Suzanne

 

[PrncesKMW]

Question - I paid for my Disney vacation as well today with my Chase Disney Visa - I still owe the minimum payments each month, right?

 

[MommyBryn]

Under the new credit card rules, any amount above the minimum payment must be credited against charges earning the highest interest. So to make sure you don't get charged itnerest, you need to pay your minimum payment plus any new non-deffered charges. The minimum payment amount will then reduce the amount owed on your Disney vacation. -- Suzanne

Okay thanks. That won't be a problem though as we use the card regularly and pay off the balance every statement (never put a Disney vaca on it before though) so we always definitely get the min. payment done.

 

[su_A_ve]

Before the change in rules, this is how it used to work for me, who never carries a balance.

Disney vacation would show on a separate line at 0% and it's balance. However, the statement balance included this amount.

Now, to make matters worse, is that if after paying your bill in full, any credits you might have afterwards that were more than any new charges (ie you return something to the store), would be applied towards the disney vacation balance.

Therefore, it was important to take a close look at that special balance information which would more likely be less than the original charge, and only deduct that amount.

For example. On a particular month, you charge $1000 dollars, and a $200 disney vacation. Statement would show a balance of $1200, but on the finance section, you would see a 0% promotional offer balance of $200.

You then pay in full the balance, except for the disney deposit, ie $1000.

Next you return a purchase of $50, before you make more charges. Next month comes around and your total statement is $1200. However, that $50 credit was applied towards your special interest, therefore that balance is now $150.

If you make a payment of $1000, you would be faced with interest charges of $50 on your next statement. Instead you needed to pay $1050 to maintain that special balance.

You are probably LOST by now, but it is how it used to work. I doubt it'll be much different with the new credit rules. Won't know until I pay by balance in a couple of months...

 

[MommyBryn]

Before the change in rules, this is how it used to work for me, who never carries a balance.

Disney vacation would show on a separate line at 0% and it's balance. However, the statement balance included this amount.

Now, to make matters worse, is that if after paying your bill in full, any credits you might have afterwards that were more than any new charges (ie you return something to the store), would be applied towards the disney vacation balance.

Therefore, it was important to take a close look at that special balance information which would more likely be less than the original charge, and only deduct that amount.

For example. On a particular month, you charge $1000 dollars, and a $200 disney vacation. Statement would show a balance of $1200, but on the finance section, you would see a 0% promotional offer balance of $200.

You then pay in full the balance, except for the disney deposit, ie $1000.

Next you return a purchase of $50, before you make more charges. Next month comes around and your total statement is $1200. However, that $50 credit was applied towards your special interest, therefore that balance is now $150.

If you make a payment of $1000, you would be faced with interest charges of $50 on your next statement. Instead you needed to pay $1050 to maintain that special balance.

You are probably LOST by now, but it is how it used to work. I doubt it'll be much different with the new credit rules. Won't know until I pay by balance in a couple of months...

Wow, thank you so much for all that info. Let me see if I understand you correctly-

So basically, any payments or credits go first towards your "regular" balance (I say "regular" as in the non-Disney vacation stuff). If you DON'T have a "regular" balance any payments or credits apply to your Disney vacation.

I'm confused about the part in bold though...I thought there wasn't any interest charged for 6 months?

Would it be better to just avoid this all and just pay off the Disney balance in full after I charge it on there?

 

[MommyBryn]

Disney vacation would show on a separate line at 0% and it's balance. However, the statement balance included this amount.

Okay, just coming back to this thread as I've made a few payments on my vacation with my card, but the Disney vacation just shows up among all my other charges, not on a separate line. Does it come up separate AFTER the billing cycle is up?

**Oh, I am looking at this online, as that's where I do all the dealing with our CC's. Perhaps it's on the paper statement that it shows up differently?

 

[Marionnette]

Okay, just coming back to this thread as I've made a few payments on my vacation with my card, but the Disney vacation just shows up among all my other charges, not on a separate line. Does it come up separate AFTER the billing cycle is up?

**Oh, I am looking at this online, as that's where I do all the dealing with our CC's. Perhaps it's on the paper statement that it shows up differently?

Yep. Check your actual statement. If you go paperless, you can download the statements to a .pfd file to view them. There is a separate area where the promotional rates are recorded. It might not be right below all the other charges. Sometimes mine would show up on the third or fourth page of the bill.