Today we saved a DVC family $14,200 in interest by refinancing their Copper Creek direct contract they had purchased last year, so we wanted to share this article on the process and steps to help more families.

Refinancing a DVC mortgage means paying off an existing loan and replacing it with a new one.  There are many reasons why DVC owners are refinancing right now, and a lower interest rate is the best reason to do it.  According to Bankrate.com, interest rates have declined for the fourth straight week and been declining since late 2018. When interest rates drop you should consider refinancing to shorten the term of your DVC mortgage and pay significantly less in interest.

Vacation Club Loans is offering a guaranteed 10.99% rate for any transferred loan either from Disney Vacation Development directly or one that was financed through another lender on the resale market.  Loans over $10,000 can be paid back over 84 months (7 years) while loans under $10,000 can be paid back over 60 months.

According to Disney’s official site their offered rates for direct purchases:

• Credit Status, Down Payment     Interest Rate
• Premium, 20% down                 9.99%
• Preferred, 20% down                 12.00%
• Preferred, 10% down                 14.50%
• Standard, 10% down               17.50%

In order to qualify for the 10.99% APR with Vacation Club Loans, owners must possess a 600 FICO score or better.  That’s the only requirement for the guaranteed rate.  The deed and ownership do not change; however, new taxes and fees must be paid to the country the property is located in.  For example, Orange County, FL (Orlando) based on the new mortgage loan so a fee of $300.00 will be due.  Vacation Club Loans is not charging a loan origination fee to refinance for a limited time.  The $300 to the County will be paid at closing and can be rolled into the new loan if you like; transferring your loan takes approximately 14 days to refinance.

Lori Fuhr recently refinanced and here’s her advice: “I refinanced my DVC due to my direct rate being 12% and on 2 contracts the interest over 10 years was very high.  I emailed VCL requesting info and I was signing the contacts the next day.  I even requested a breakdown of the monetary difference between a refi and just paying more towards the principal on my direct loan and got it back within an hour.  It was a no brainer for us.  Wonderful experience from start to finish. “

Here’s How It Works to refinance an existing DVC loan with higher interest:

Step 1:  Get your payoff amount from Disney direct or other resale lenders plus 15 days of added interest.  For example, if today is March 1^st then call and get your payoff as of March 15^th.  This gives you time to complete and return your new loan documents and gives Disney time to process the check from Vacation Club Loans.

Step 2: Fill out the secured credit application

Where the application asks “Enter broker or sales agent’s name”:  type in Refinancing DVC to get the 10.99% interest rate.

Step 3: Once we have prepared your loan documents, we will send them to you. You – Sign and have Notarized all new loan documents then return the originals to Vacation Club Loans along with a check for $300 to cover government taxes and costs.  This fee can also be financed.

Step 4:  Loan is paid off and new loan payments will automatically begin the following month with a lower interest rate!

No prepayment penalties too.

Heather Kirchner also just refinanced and says: “I refinanced because I was in the process of purchasing DVC though the resale market and saw the advertisement on your website.  I noticed the rate you offer for refinances after I applied for the new loan. The fact that the rate was 4% lower than my existing loan really made me take notice. I appreciated your quick response and you came highly recommended by my resale agent. I had already paid off a year of my loan before the first payment was due, but I noticed I could save over 2 years of additional payments with your product and my payment didn’t change. Being in banking myself, I appreciated how informative and responsive you are. I don’t think I will go with another company for any of my timeshare purchases but yours. With the quick turnaround time and perfect handling of my payoff, I experienced no issues. I can’t wait to close this new purchase with you and appreciate everything you and your staff do. Thanks.”

For more information on refinancing DVC, contact Debbie@vacationclubloans.com for a complete comparison on interest savings.