LendingTree survey - 45% of Disney-Going Parents With Young Children Have Gone Into Debt for Trip

[JIMINYCR]

Survey shows 55% of parents with young children going to WDW do so without going into debt. Glad we were one of those responsible ones who held off going until we could pay for it. DS learned a life lesson that if you can’t pay for it then you don’t need it and don’t do it.
Credit score…. Perfect. Able to walk into a bank and get a loan without a hassle. Paid off mortgage, money in reserve, business stable and profitable.

 

[Sirwalterraleigh]

I would assume it's being carried month to month accruing interest charges.

Yeah…not surprising the first counter is “is it really debt?”

Yeah…it’s debt. We’re not talking about people who use the cycle…this is about “we’ll pay it by next month…”

Which of course usually doesn’t happen even if people lie/convince themselves they will.

Everyone believes everything when they are on adrenaline making sacrifices to the consumer gods

 

[Sirwalterraleigh]

Not in my case. My cards are usually paid off before the statement cuts.

But that’s not the norm

 

[monothingie]

Just as a FYI, the current APR on a Disney Co-Branded Chase Visa card tops out currently at 28.24%.

But you get 6 months promo at 0% for any Disney Vacation bookings and purchases. (FREE MONEY YAY!!!!)

 

[monothingie]

Not in my case. My cards are usually paid off before the statement cuts.

Same, I'm just pointing out that they're considering balances carried beyond the statement period as accrued debt.

 

[Sirwalterraleigh]

Survey shows 55% of parents with young children going to WDW do so without going into debt. Glad we were one of those responsible ones who held off going until we could pay for it. DS learned a life lesson that if you can’t pay for it then you don’t need it and don’t do it.
Credit score…. Perfect. Able to walk into a bank and get a loan without a hassle. Paid off mortgage, money in reserve, business stable and profitable.

That’s the poster child

But not the populace

“Financing” vacations at all is fundamentally flawed. Paying interest on hours already spent is just nuts.

And of course Disney knows that. Why do you think they drill this “experience” nonsense?

Because if a tool to try to disassociate what you’re spending from what you’re getting…which is a minute on a ride and bacon…in the end

 

[StarWarsGirl]

Not in my case. My cards are usually paid off before the statement cuts.

Why though? With auto pay, you can pay them off on the due date and then your money can accrue interest in your accounts. May not be much, but every penny counts.

 

[StarWarsGirl]

Are they using a credit card or going to a bank and requesting a personal loan for a vacation?

Anyway....

Most Americans won’t carry their Disney debt for long. For their last trip, 75% of indebted Disney-goers say it would take (or took) six months or less to pay it off. And 32% say it would take specifically three to six months, the most common response.​

Disney visa lets you finance your vacation at 0% APR for six months. Most likely what this is.

 

[John park hopper]

I wonder how many of these young families are carrying student loan debt on top of any vacation debt guess that is a whole another issue

 

[bwr827]

That’s the poster child

But not the populace

“Financing” vacations at all is fundamentally flawed. Paying interest on hours already spent is just nuts.

And of course Disney knows that. Why do you think they drill this “experience” nonsense?

Because if a tool to try to disassociate what you’re spending from what you’re getting…which is a minute on a ride and bacon…in the end

Pretty silly to try to sum up a Disney trip as “a minute on a ride and bacon”. It’s obviously a significant experience for millions of people and often called magical.

Financing is a personal choice. Some might decide based on their circumstances that it’s worth doing.

I prefer to save up so I know the vacation account is covering everything. Takes stress out.

 

[John park hopper]

Credit cards bank on you not paying it off the balance thus making interest on the unpaid balance

 

[mkt]

Why though? With auto pay, you can pay them off on the due date and then your money can accrue interest in your accounts. May not be much, but every penny counts.

I prefer to have minimal debt showing on my credit reports to keep my DTI low

 

[Sirwalterraleigh]

Pretty silly to try to sum up a Disney trip as “a minute on a ride and bacon”. It’s obviously a significant experience for millions of people and often called magical.

Financing is a personal choice. Some might decide based on their circumstances that it’s worth doing.

I prefer to save up so I know the vacation account is covering everything. Takes stress out.

…so it’s working then, huh?
The experiency experiences

Nothing wrong with budgeting/saving for travel and expenses

It gets dangerous if you’re backwards on it

 

[Sirwalterraleigh]

Why though? With auto pay, you can pay them off on the due date and then your money can accrue interest in your accounts. May not be much, but every penny counts.

Because that’s part of the temptation that can lead to trouble?

Remember that every “easy pay” policy from a bank is designed to put it out of your mind so you don’t pay. Free money for them

 

[Sirwalterraleigh]

Credit cards bank on you not paying it off the balance thus making interest on the unpaid balance

…of course but this escapes so many.

I’ve yet to walk into a bank that’s a charity

 

[monothingie]

Financing is a personal choice. Some might decide based on their circumstances that it’s worth doing.

I'm don't want to discuss lifestyle choices, but choosing to go into or further into debt for a vacation is a personal choice with real life consequences.

 

[bwr827]

…so it’s working then, huh?
The experiency experiences

In general, over the decades, countless people have considered a Disney World vacation as a special trip to do at least once in a lifetime — and of those, countless then became fans who revisit, sometimes remarkably frequently.

And yes, for many people, experiences are worth more than physical goods. Especially experiences shared with loved ones.

 

[Sirwalterraleigh]

I wonder how many of these young families are carrying student loan debt on top pf any vacation debt guess that is a whole another issue

…you mean some of the 2 TRILLION dollars in outstanding student debt?

…I bet more than a couple

 

[monothingie]

Why though? With auto pay, you can pay them off on the due date and then your money can accrue interest in your accounts. May not be much, but every penny counts.

Carrying your debt load by paying exactly on the due date has negative effects to your credit rating as well lowering your available credit on revolving sources of credit.

 

[StarWarsGirl]

Because that’s part of the temptation that can lead to trouble?

Remember that every “easy pay” policy from a bank is designed to put it out of your mind so you don’t pay. Free money for them

That's why you check the statements, but auto pay also keeps you out of trouble if you happen to forget that a card payment was due.

Never had a late fee or missed payment and my credit score is over 800.