questions about dvc

[zdesiree]

there is enough in those two lines for me to tell you dont buy it because it likely is not in your best interest....................pay cash as you go.

Excuse me, but I didn't see the OP asking for any advice if you think she should buy. I can't understand why some people can't just stick to what the person is really asking is that so difficult. You can't be judging persons like that; you are not in their lives.

 

[RobDoc]

yes.......................I have only financed one business for two months.........after i bought it and had it sold in two weeks...........i dont use debt leverage at all................and Doc i am consistent..........the credit score remark is a clear signal she is going to finance something...........and i am consistent in telling everyone if that is the case dont do it.............wait to pay cash and buy a resale of from DVC direct.

Ahh- so even you have financed in the past- in spite of your vehement policy comments to the contrary.

The reality is that few have the ability to pay cash for major purchases like homes and automobiles, yet those purchases continue to help to drive our economy. It's great that you have the cash flow to pay for things like homes and automobiles from pocket change, but the reality is that few can do that and I'll even suggest that there are many reasons to use a mortgage for things like owning property - but that is an entirely different discussion and economic philosophy.

You have still made a huge ASSUMPTION regarding the OP in spite of your assertion otherwise and you have now admitted that even you have violated your own advice regarding financing.

I can assure you that I am well capable of paying for my wants and needs and that, in addition, financing has enhanced my opportunities. I have financed several of my DVC purchases and will wager that a majority on this forum have done the same thing with no ill-effects. I have no problem with the suggestion that there is wisdom in paying cash for things like vacations and welcome the presentation of that concept, but do take issue with the constant berating of those who simply ask a specific question about DVC.

Regardless, you have made assumptions in this thread despite your policy claims to the contrary. You know NOTHING about the financial status of the OP and yet continue to spout your superior attitiude regarding their ability to purchase something based on a simple question asked.

 

[Boston5602]

............i'd rather be a jerk giving sound advice than some one who is kind and filled with humility telling people a little debt for a luxury is OK because we all do it.................herd mentality is dangerous..............leads to performance of the mean of the sample............and if youre an animal who follows a herd you can fall off a cliff doing it too..............do the right thing save your money until your margin of safety is completely secure.

Just because you are giving advice and it works for you ,doesn't make it SOUND ADVICE for that particular poster.

Each of us have a million variables in our lives , including a million different ways of handling finances.

One way or another does not make it right or wrong , it depends on each individual and their circumstances.

 

[allflgirl]

Not directed to anyone at all, but I'm financing my DVC and here's why:

Due to my EXTREMELY good credit, I've been extended a offer of 1.99% for the life of the loan. My current investments, which I would be pulling the cash from, yields 7.45%.

Would it be logical to pull money out of something that's earning 7.45% when I have someone who will lend me the money at 1.99% for the entire life of the loan?

So, at times it's only logical to finance.

Okay, I'm done...

 

[Kick Save]

you lost me, allflgirl...you're pulling from something MAKING 7.45% to finance a PURCHASE at 1.99%? That's a difference of 9.44%, and not in your favor. (Well, not exactly that simple to yield 9.44%, but you know what I mean.)

Oh wait, I'm a little slow...

You're financing at 1.99% and making draws for the payments from something yielding 7.45%. Ah...then, yes, you're in pretty good shape doing the financing, and you get to write that 1.99% off your taxes, assuming it's your second home. I first read it as if you were going to drain the 7.45% account...sorry.

 

[Ooba]

there is enough in those two lines for me to tell you dont buy it because it likely is not in your best interest....................pay cash as you go.

Just want to get back to the OP question....

I believe they are wanting to know what the financing options are (not whether or not anyone agrees with financing). The question concerning the credit score, I interpreted to mean they want to know the financing criteria (i.e. how the "rates" are determined). Rather than belittle someones questions, it would be more productive to actually provide answers to the questions, so the OP can make an informed decision. I, for one, would like to know the true answers.

 

[bongo59]

Ahh- so even you have financed in the past- in spite of your vehement policy comments to the contrary.

The reality is that few have the ability to pay cash for major purchases like homes and automobiles, yet those purchases continue to help to drive our economy. It's great that you have the cash flow to pay for things like homes and automobiles from pocket change, but the reality is that few can do that and I'll even suggest that there are many reasons to use a mortgage for things like owning property - but that is an entirely different discussion and economic philosophy.

You have still made a huge ASSUMPTION regarding the OP in spite of your assertion otherwise and you have now admitted that even you have violated your own advice regarding financing.

I can assure you that I am well capable of paying for my wants and needs and that, in addition, financing has enhanced my opportunities. I have financed several of my DVC purchases and will wager that a majority on this forum have done the same thing with no ill-effects. I have no problem with the suggestion that there is wisdom in paying cash for things like vacations and welcome the presentation of that concept, but do take issue with the constant berating of those who simply ask a specific question about DVC.

Regardless, you have made assumptions in this thread despite your policy claims to the contrary. You know NOTHING about the financial status of the OP and yet continue to spout your superior attitiude regarding their ability to purchase something based on a simple question asked.

Doc i have said on here many times i am ok with a house purchase on credit.......and a tax favored asset on top of it........or an asset designed to appreciate over time.............like a business................not a timeshare vacation or a car. That makes no sense regardless of anyone's situation..............it all comes down to third grade math.............and understanding what you need and what you really want are different principles................I just want to see folks stay out of trouble.............most of Americe uses credit..............infact i called a Disney board member Friday and asked himn to find out how many DVC purchases ove rthe last 5 yrs included some sort of financing................the answer was not surprising...............90% and the follow up was out of all of the defaults and bankruptcies how many were originally financed............98% I also asked what was the number one reason for point forfeture............divorce. I think people who pay as they go have less chance of getting trouble with money...............and DVC is not different than anyother asset involving money.................credit is OK for a home as long as the IRS continues to honor the mortgage credits..............but not much else...............

 

[bongo59]

"Just because you are giving advice and it works for you ,doesn't make it SOUND ADVICE for that particular poster."

Sound advice is good in all circumstances.....not just ones that suits everyone's needs and wants...............that is what sound advice is all about................do i understand that many folks dont understand sound advice when it pertains to money and transactions............of course.....our country was is currently financed by foreigners and our conomy is driven by debt laden consumers.................but that still does not make it right for anyone...............what is right is that one should strive to avoid credit so one's family does not lose its margin of safety............i am not trying to be mean here or tough. I just want to be on the opposite side of the equation that believes luxury items should be paid for when bought because financing them is not sound advice financially.................that is not Bongo's gospel...........it is a fact than many others have coined and told to many..............I just happen to believe that si it prudent and sound advice and many times is left unsaid here on discussions about buying/financing................that is why i am a big believer in resales..............I think paying over double digit interest on a timeshare is not prudent. Excuse me for being different.

 

[Ms.Mouse]

Go to this link it will give the info to get a guide and more info from them.

http://dvc.disney.go.com/dvc/index

The price changes depending on what discounts they offer.

Down is from 10-50 % depending on credit rating

You call member services (or e-mail your request) 11 months out from home resort or 7 months out from others .

If you need a reference or anything else PM me and I will be glad to help

tmt martin's was the second post and as far as I can see, the OP's questions were answered there.

There are incentives to buying at SSR (not the others because there is no incentive to buy into a resort that is sold out (this is what my guide told me because I was questioning why there is no incentive for adding on to BWV's). You'd have to talk to your guide about the incentives if you're new. The DVC owners already got updated about the incentives to add-on points at SSR.

I don't think there is a need for referral any longer because the "friend and family" discount that they had for referrals to SSR are over... BUT I do have a question for you all...A friend of mine told me that if an owner refers a certain number of people new to DVC, they get some sort of bonus. Is that true???? That would explain why not only on this board but a few others, you see the referral PM posts.

I'd just like to add.....Now, let's all and get together to say Best Wishes to all who are going to join us as "neighbors" whether they finance the whole thing or partly or not finance at all.

 

[bongo59]

referral bonus is not sanctioned in every state..............so it wont apply to everyone who gets someone to join.

 

[Kick Save]

I just happen to believe that si it prudent and sound advice and many times is left unsaid here on discussions about buying/financing................that is why i am a big believer in resales..............I think paying over double digit interest on a timeshare is not prudent. Excuse me for being different.

It is prudent advice for many situations (not all, blanket statments are rather dangerous), but I think a portion of the message was lost in the delivery.

Or, state up front, "I don't think it's a good idea to finance a luxury item," rather than, "oh, you're asking about credit scores, you can't afford it." Delivery, man, delivery.

 

[Ms.Mouse]

referral bonus is not sanctioned in every state..............so it wont apply to everyone who gets someone to join.

Thanks for the info.... AND... bongo59.......