What is DVC's current interest rate ? Just did Starwood presentation....

[KNWVIKING]

.... and their rate was 16.9%. I gotta give the girl credit, she kept a straight face when she wrote it down. Their terms were 20% down, remainder over four years at the 16.9. Back in '97 I think DVc was at 10% for 10 years, and that was when mortgage rates were around 6.5%. Just curious where they're at now.

 

[Geoff_M]

For direct withdrawl, DVC is now at 9.75%. Add 1% for mailed monthly statements.

 

[Doug Wolfe]

Wonder how many sales Starwood has lost with that interest rate?????

Good Grief.

 

[Happy Birthday Cat]

Wonder how many sales Starwood has lost with that interest rate?

Or how much money they have made. The way I understand it is that if you are breathing they will give you credit. It means nothing to them to take your 20% and then take your purchase back in a year when you can't make the payment.

HBC

 

[Pa@okw95]

You might as well us a credit card with those rates. That is real bad-hard to beleive. You might be able to get a second mortgage at your bank for the purchase which would have lower rates of course. At any rate I would look for better interest rates then those at both places, WDW is not too bad but it is still high.

 

[KNWVIKING]

I should have asked to know for sure, but I don't think the Starwood financing is even a mortgage- as DVC's is- so the interest isn't even deductible.

I didn't purchase- although I like their resorts and program- but I would have paid for it on a reward card then paid CC off with equity LOC check at 4.25%.

 

[SlyHubby]

Originally posted by KNWVIKING
I should have asked to know for sure, but I don't think the Starwood financing is even a mortgage- as DVC's is- so the interest isn't even deductible.

incorrect.

it does not matter what the financer calls the loan, the purpose of the loan is what is important. if the loan is secured by real estate/property which falls under the IRS's definition for deductibility, then the interest is deductible.

so Starwood doesn't call it a mortgage - aren't Home Equity Loans deductible as well? if they are not calling it a mortgage, then isn't it a Home Equity Line of credit they are providing by definition - secured by your ownership in the property? think about it.

 

[SlyHubby]

Originally posted by Geoff_M
For direct withdrawl, DVC is now at 9.75%. Add 1% for mailed monthly statements.

and considering that 15 year mortgages are now below 4.5% with most credit cards at 9.9%, even the DVC rate is out of line.

when we toured Vistana back in 1992 their interest rate was 17% - and I wasn't shy about letting them know they were crazy.

 

[Geoff_M]

At least they've gotten more reasonable. In January DVC was at 10.95%.

 

[draje01]

When we joined in Nov of 1999. Our rate was 10.95% .

 

[DanG]

I financed for 10 years at 10.9%.

I don't know why you were quoted that rate, but they are no different than Disney.