Timeshare financing is one way to buy your new worldwide timeshare without putting "all your eggs in the same basket" so to speak. Therefore, finance may be a wise option if buying outright may put you to risk. There are plenty of options, so what are they? Your bank may be your first choice for timeshare financing and there is no reason why you shouldn't do this. However, you could look at speciality financing, home equity release or credit unions for example.
Speciality financing is basically sourced from where you would expect; a loan company who specialises in timeshares. Frequently this is the company you purchase your timeshare from. They will have suitable finance products for developers and for purchasers, but the deals will be better for the latter. If you find an online company, remember that the Internet is an easy place for scams so do your research first.
Be vigilant if you are offered finance by the company you buy your timeshare from. This is because the rates are often exorbitant. Do not get distracted by the sales people as this type of timeshare financing can cost you up to 20% interest. If you do get drawn into this type of loan at such high rates, as soon as you can, change it for something else and cut your losses.
If you have enough equity in your residential home, one of the cheapest ways to raise funds is to relinquish some of this equity to fund your timeshare. This will probably be at better rates than any other type of timeshare financing but more than your normal mortgage costs.
If you belong to a credit union, you may also get some good rates and actually be able to fund the entire purchase if approved by the union.
Remember, it is essential not to feel pressurised into buying by a slick salesperson. This is a major purchase; any reputable company will allow you time to think things through. If you decide to go ahead and take out any type of timeshare financing, remember to add it to the total amount to get the true price of your purchase. As a final thought, if you have to finance your purchase make sure you are doing it for the right reasons and not because you can't afford it any other way.
Speciality financing is basically sourced from where you would expect; a loan company who specialises in timeshares. Frequently this is the company you purchase your timeshare from. They will have suitable finance products for developers and for purchasers, but the deals will be better for the latter. If you find an online company, remember that the Internet is an easy place for scams so do your research first.
Be vigilant if you are offered finance by the company you buy your timeshare from. This is because the rates are often exorbitant. Do not get distracted by the sales people as this type of timeshare financing can cost you up to 20% interest. If you do get drawn into this type of loan at such high rates, as soon as you can, change it for something else and cut your losses.
If you have enough equity in your residential home, one of the cheapest ways to raise funds is to relinquish some of this equity to fund your timeshare. This will probably be at better rates than any other type of timeshare financing but more than your normal mortgage costs.
If you belong to a credit union, you may also get some good rates and actually be able to fund the entire purchase if approved by the union.
Remember, it is essential not to feel pressurised into buying by a slick salesperson. This is a major purchase; any reputable company will allow you time to think things through. If you decide to go ahead and take out any type of timeshare financing, remember to add it to the total amount to get the true price of your purchase. As a final thought, if you have to finance your purchase make sure you are doing it for the right reasons and not because you can't afford it any other way.
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For more on timeshare financing and more useful information on worldwide timeshares visit us at www.buysellatimeshare.com.
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