Timeshare Store financing-Opinions please

[Luv2trav]

We are just looking at all options before we decide which way to purchase our points. If you financed through timeshare store what was your experience? From the sticky it doesn't look like their percentage rate is much different than Disney.



If I can get the same points and resort from Timeshare store what is the drawback? I know there is a waiting period for ROFR.

 

[RobDoc]

The main difference is that the DVC financing is a mortgage and the interest can usually be deducted on your taxes. Traditional resale financing is not a mortgage and may not be deductible (check with your tax advisor).

If the deduction is not important, then everything else will receive the same treatment whether the purchase is direct or resale. Many here have used a home equity loan for resale purchase with great success and competitive rates.

Good luck with your decision!

 

[kaylie&laurensmom]

It is also a lot easier to be approved for financing directly through Disney than through The Timeshare Store's lender (Benchmark Bank). I think Disney only checks your credit score while Benchmark Bank does a full credit analysis. And the loan from Disney will not be on your credit report.

 

[Luv2trav]

And the loan from Disney will not be on your credit report.

How is the loan not on your credit report? One of the reasons we are waiting to buy this winter is because we are refinancing our home 1st. I didn't want additional credit under our reports until we did this.

 

[Princess Stitch]

How is the loan not on your credit report? One of the reasons we are waiting to buy this winter is because we are refinancing our home 1st. I didn't want additional credit under our reports until we did this.

I'm curious to know this too because that's excactly the reason why I was waiting to buy as well! Figured I should get a mortgage before I worried about my vacation home

 

[kaylie&laurensmom]

I have read this several times on this board that it is not on your credit report. The inquiry is, but not the actual loan. I just bought mine and won't make a payment until September (when my use year starts), so I can't say from first hand experience yet. Can anyone else who has actual first hand experience chime in??

 

[DiznEeyore]

I have read this several times on this board that it is not on your credit report. The inquiry is, but not the actual loan. I just bought mine and won't make a payment until September (when my use year starts), so I can't say from first hand experience yet. Can anyone else who has actual first hand experience chime in??

When our DVC was financed (it was financed through Disney), the loan never showed on our credit report. HTH!

 

[Luv2trav]

When our DVC was financed (it was financed through Disney), the loan never showed on our credit report. HTH!

Very interesting... I am not sure how that is possible but I am not complaining. We only need to finance 1/2 our loan.

 

[kaylie&laurensmom]

Disney probably just doesn't report to the credit bureaus. They take care of late/non payments "in house" by not letting you use your points.

 

[Caskbill]

To my understanding Disney doesn't put it on your credit report because you're not really 'buying' property, but essentially are renting a lease to use up till 2042 (or 2054, or 2057 depending on resort).

Isn't it the same if you 'buy' a car versus a lease? A car loan would be on a credit report, but if you're leasing, it isn't?

 

[Princess Stitch]

To my understanding Disney doesn't put it on your credit report because you're not really 'buying' property, but essentially are renting a lease to use up till 2042 (or 2054, or 2057 depending on resort).

Isn't it the same if you 'buy' a car versus a lease? A car loan would be on a credit report, but if you're leasing, it isn't?

That's what I thought the financing was... a loan... isn't it? Instead of paying the whole purchase price Disney is giving you a loan and allowing you to make monthly payments for however long you want to finance it for. Am I mistaken?

 

[CarolA]

You have to pay to report to a credit bureau. Disney has probably decided that since they can just "take back" the lease it's not worth it for them to pay. (That is why most hospital debt does not show on your credit report, the cost is fairly high to be a "reporting member")

I "think" my car lease was on my credit report, but it's been years...

 

[dis-happy]

On the credit report or not, you'd still have to list the DVC loan under monthly obligations to your mortgage company. Better to wait.

 

[JadeDarkstar]

ok so timeshare store would be harder to get lone though then disney?
i have bad credit i know that but i have been told by disney represitve that all i have to do is pay bigger intrest. (25 more a month)
i thought maybe timeshare would be same way.

i was told disney dosent turn you down i was hopeing same for this other timeshare place..i was looking at buying resale from them,

 

[CarolA]

Timeshare is harder to approve. If you have "bad credit" it might be hard to qualify since it's a personal loan.... Their funding source will turn you down since they have no "asset" to sieze while Disney can just "reclaim" your points....

 

[JadeDarkstar]

ty i also saw it takes 7weeks to even be abel to make arangments on my trip.
but with disney i can make it the verry next day.
my fionce is saying disney is easyer to go thought we should just do it instead of timeshare since im already working with a lady and she will help me and said i wont be turned down just higher intrest witch i can handel

maybe in few years when we add on we use the time share..thats an idea