It appears when we signed up through DVC a few years ago that the interest rate was not to my satisfaction. i was looking to refinance this loan. Does anyone know how I could go about refinancing my existing loan? I know this loan is not a conventional mortgage and having difficulties finding what type of loans would be applicable to this refinancing strategy. Any help you can provide is much appreciated.
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DVC Membership Refinancing
- Thread starter coaggie89
- Start date
toolsnspools
Well-Known Member
I went looking for a timeshare lending company a while back. This was the only one I could find - http://www.tammacfinancial.com/ I have not worked with them, so I'm not recommending them, I'm just passing along the info.
You could also Google "timeshare financing companies", and see what turns up.
Good Luck.
You could also Google "timeshare financing companies", and see what turns up.
Good Luck.
I have never heard of a lender that will structure the loan on a DVC purchase as a mortgage in the manner that DVC does.
If you have the equity, the best approach is probably a home equity loan on your primary residence. That will give you an interest rate much lower than DVC and you will probably be able to deduct the interest on your taxes. The only thing to be wary of is the fact that it's another loan against your home. If something happens to keep you from making the payments, your house is in jeopardy.
Other loans offered by lenders are typically just signature loans. You need decent credit and the rates usually aren't great. And the interest is most definitely not deductible.
Depending upon the amount involved, some people take advantage of low interest rate offers from their credit card company. I've received deals of 0% for a certain number of months or 1.99% until paid off. Again, not deductible but you can save a lot on interest payments. Use caution in reading the fine print on these offers. Normally when you get a low rate offer like this all future credit card payments go toward this balance FIRST. Let's say that you put $8000 worth of DVC on your card at 2%, and then continue to make other purchases. Payments will offset the 2% balance first while you start racking up 14% or more on your newer purchases.
As for the DVC loan, it is an actual mortgage so most people can deduct the interest. Even if the rate is higher, factor that into your analysis. If a home equity loan is not an option, consider that getting a signature loan for a couple percentage points less than the DVC loan may not save you money in the long run since the interest will no longer be deductible.
If you have the equity, the best approach is probably a home equity loan on your primary residence. That will give you an interest rate much lower than DVC and you will probably be able to deduct the interest on your taxes. The only thing to be wary of is the fact that it's another loan against your home. If something happens to keep you from making the payments, your house is in jeopardy.
Other loans offered by lenders are typically just signature loans. You need decent credit and the rates usually aren't great. And the interest is most definitely not deductible.
Depending upon the amount involved, some people take advantage of low interest rate offers from their credit card company. I've received deals of 0% for a certain number of months or 1.99% until paid off. Again, not deductible but you can save a lot on interest payments. Use caution in reading the fine print on these offers. Normally when you get a low rate offer like this all future credit card payments go toward this balance FIRST. Let's say that you put $8000 worth of DVC on your card at 2%, and then continue to make other purchases. Payments will offset the 2% balance first while you start racking up 14% or more on your newer purchases.
As for the DVC loan, it is an actual mortgage so most people can deduct the interest. Even if the rate is higher, factor that into your analysis. If a home equity loan is not an option, consider that getting a signature loan for a couple percentage points less than the DVC loan may not save you money in the long run since the interest will no longer be deductible.