Hi everyone:
I'm at work on break so I don't have a lot of time but I just wanted to say that I have used Magical Vacations for our last couple of trips and will definitely use them again.
The reason that they get the best rates is because they book a group. When you book with them, you are part of their group, hence the great discount. Disney gives MV these groups rates along with certain stipulations, and one of them is pre-payment, and strict cancellation fees. Also, MV gets these great rates BECAUSE it's a group rate, and it wouldn't be a group if, for example, a lot of people booked a trip and then cancelled and wanted their money back at the last moment. If that happened, then Disney would not and could not give MV such great discounts.
I am comfortable enough with the company (MV) to know that they are 100% legitimate; they offer EXCELLENT customer service (as evidenced by some Disney problems right before my last trip which Lisa took upon herself, made several phone calls, and bottom line was on MY side and got the issues all straightened out for us), and she does suggest purchasing
travel insurance for the very reason of the strict cancellation policy.
If anyone has any further questions about MV I would strongly recommend that you call them directly because Lisa (the owner) would be more than happy to give you whatever info you need in order to make an informed decision.
She also responds to emails very, very quickly as well.
Again, this is my own personal opinion, based on experience working with Magical Vacations.
P.S. Lisa is excellent when it comes to her booking ADRs and tours for you! She really is like having "concierge" to book things for you. To me, this is an added benefit.