DVC questions!


#1

If you become a member of the DVC do you have to pay for this all at once? That much cash would be hard to come up with at one time. Do you make payments each month?? How does this work??

Also which home resort has the lowest on annual fees?? Also how do you pay that, monthly payments or lump sum each year?? Thanks all!! :angel: :happy: :pirate:


#2

1.) No, you do not have to pay the whole bill up front. You can either finance w/Disney (if you qualify, of course), or get a loan from another venue (your own bank, for instance) or you may choose to refinance your own mortgage or take out a home equity loan to pay the purchase price. The latter was the best choice for me since the interest rate was less than the other options.
2.) OKW has historically had the least expensive fees. The annual fees are subject to change though so, theoretically, another resort could have less expensive fees at some point.
3.) Annual dues are payable either monthly (DVC will debit your checking account for isntance.) or you may pay the fees at the beginning of the calendar year when you receive a bill.


#3

Great questions!

Disney does offer financing at an interest rate of about 10% I think. They did explain to me that a credit score of over 700 is pretty much automatic and if you choose “direct debit” of your loan payments from your account every month the interest rate is 9%.

If you buy the popular package of 150-160 points your monthly payments are about $150. I chose the coupon book, NOT direct debit, b/c I am paying a lot more per month than the minimum due so it will be fully paid off in 2 years.

I agree with Lopo about OKW being one of the “cheapest” annual dues. I found this chart on dvcresales.com. I can’t confirm how completely accurate it is but it will give you an idea. (This is PER point; for example I have 160 points at SSR so accourding to this chart my annual dues for 2005 were $636.80) Oh, and YES, you do have the option to pay your annual dues in one lump sum or in payments.

Annual dues, per point, for 2005 at each resort are as follows:
Saratoga Springs $3.98
Old Key West - $4.24
Hilton Head - $4.34
Beach Club Villas - $4.48
Wilderness Lodge - $4.61
Boardwalk Villas - $4.69
Vero Beach - $5.27

Anyway, I hope this helps your decision. I was SO back and forth about it for about 2 years then I realized I could have paid it off in those two years of indecision and ended up spending a ton of money on Disney trips anyway! So, it was a great decision for me!

GOOD LUCK!


#4

Thanks for the great advice. I just ordered the DVD from DVC and googled DVC and found alot of great info on where to purchase from. Are you required to use Disney to buy or can you get it from anyone?? I seen prices all over the board.

How many points should I be looking to invest in right away?? Thanks all

:angel: :pirate: :ninja: :mickey: :mickey: :mickey: :mickey:


#5

If you do buy from Disney, you are required to purchase a minimum number of points (150). However, you can buy “add-ons” in smaller increments once you purchase the minimum.

You may purchase points from other venues. There are lots of re-sale options available (from timeshare brokers and DVC owners, for instance.) Most of the time you will pay less $ per point if you buy resale vs. directly from Disney. However, since Disney pays closing costs and often adds sales perks to its offerings, sometimes the price per point is similar after factoring in the extras.

You really have to do your homework regarding the number of points you “should” purchase. Figure out when you travel, the number of nights you stay, the size of the unit you’d like to sat in, etc. Keep in mind that you need twice as many points to stay on weekends as you need to stay Sunday thru Friday.


#6

You must also keep in mind that Disney has “right of first refusal” on all re-sales - and they exercise this option more often than not. (I speak from experience. :crying: ) To avoid disappointment, I’d buy from Disney.


#7

So you if you have a credit score of 700 or over, you are able to get this? What kind of down payment do you need?


#8

Well the way it works when you get the packet is they tell you to include some bank statements and income varification, if your credit score is over 700 it’s “automatic approval” without having to show anything, thank goodness 'cause I am REALLY bad about keeping bank statements and paystubs. I am SURE they approve people under that score but the statements and income verification has to accompany to be approved.

I think the basic expected downpayment for that popular 150-160 point package is around $1,000, but of course, they welcome downpayments as big as you’d like them to be.

Oh, and just so anyone interested in joining knows… make sure you give a referral name, it does provide a little gift to the member.


#9

The downpayment I was quoted was 10% ($1,515.00 for SSR). I saw the financing plan from another DC member who was down there…the lowest APR on the sheet was 13.25%. The “not so well qualified” rate was 14.75% (I think). :mickey:


#10

I’m not so much with the financial genius… but isn’t that an extremely high APR?


#11

I will have to look into this further when I get down there in Ocotber. It totally makes sense to me to do the vacation club, but I would need to attempt to pay it off in 2 years before DD starts high school. I have requested the free dvd and will have to do some serious number crunching. Thanks for the help.


#12

Like many others I took a ten year loan out directly through Disney Vacation Club. At the time I purchased in March 2002 at Disney’s Beach Club Villas, I purchased 300-points and my total loan was a little over $20,000. Points were a lot cheaper four years ago. :nonono2:

Anyway, DVC debits my loan payments, fee’s and real estate taxes right out of my checking account each month. I don’t even think about it. :wink:

This is nice, because people who pay their fee’s & taxes to DVC on an annual basis usually get their bill in January along with all of their Christmas bills. Since I pay every month they send me a statement that says I owe them $0. :cool:


#13

You can save some times buying resale but you really have to watch it. On small packages, you don’t have enough points to really do much, and it doesn’t take much to add 3-5 per point to your cost when you crank in the closing cost.

Plus, if the price you are paying looks like a really good deal, chances are good that Disney will exercise their first right of refusal and you get knocked out. (At least several of us here have had that happen to us.)

Disney will finance at various rates from zero (12 months & 50% down) and up depending in credit and downpayment. Rates are higher than normal mortgages but less than most credit cards by far. Most resales are cash only deals.


#14

how far do the points get you? My family are DVC members and almost ALWAYS stay at OKW, however just this past feb. we stayed at Saratoga Springs Resort. I’m still a teenager, but plan on going on a graduation trip after i finish off college. I know it’s a tad early. hehe. Never too early to learn, right? So i heard you guys say that the minimum amount of points you get with the purchase is 150, right? How far do 150 points get you? How many points do you need for a full vacation to WDW?


#15

I don’t own DVC, although I wish I did. But here is a link to the point value chart for all DVC resorts. It lists each resort separately, and then it lists everything by season and by day. It’s a great resource.

http://www.wdwinfo.com/disney-vacation-club/DVCpoints.shtml


#16

oh cool! Thanks for showing that to me! But i still don’t understand one thing…Do the DVC points work as money? So say we stayed at OKW and Sun-Thurs is 8 points in a studio. Does that mean we pretty much already paid for the room for those days? What do the points do then?


#17

Basically, yes, the DVC points work as money. Each point has a monetary value. To rent points, you will probably be looking at $10.00 to $12.00 per point. A real deal is $9.00 a point. So - if you need 8 points to stay one night in a studio villa, and you can rent points at say $10.00 a point. So that one night would cost you $80.00. If you had a 4 night stay in a studio - say Monday to Thursday at 8 points a night, it would cost you $320.00. Generally people only rent as many points as they need. You wouldn’t rent 50 points when you only need 32.


#18

wow, thank you! That helped a lot! So if you had say 32 points for that week, it would take care of the room and all you would have to worry about is food and getting down there? I guess i understand now. Sorry, my teenage mind can’t comprehend monetary subjects like this. lol


#19

It will take more than 32 points for a week but I think you’ve got the idea.