# Exclusive Resorts new financing plan



## Steamboat Bill (Mar 7, 2007)

I received this offer today...via e-mail.

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Today, Exclusive Resorts announced a new program that provides a simple and affordable way to finance the purchase of your Exclusive Resorts Club Membership. With this new deferred payment plan, you can join the Club today, but defer payment of 80% of the Membership Fee for 5 years with competitive third-party financing from an FDIC-insured bank. 

How it Works: 

Pay only 20% of the Membership Fee and first-year Annual Dues when you join. Finance the remaining 80% of the Membership Fee for 5 years with monthly, interest-only payments based on the one year LIBOR rate + 1.45% (with no pre-payment penalties). Principal is due at maturity. Members who join with the deferred payment plan enjoy the same benefits of Club Membership as all members, and you can select any membership level – 45-day Elite, 25-day Executive, or 15-day Affiliate. 

An Example: 

To purchase a $225,000 Affiliate Membership using the deferred payment plan, you pay just $45,000 of the Membership Fee and first-year Annual Dues when you join, plus a 1% bank fee and $7,500 Club service fee. You then finance the remaining $180,000 for five years with bank financing, with principal due at maturity. Based on the recent one year LIBOR rate on March 1, 2007 of 5.235%, plus 1.45%, your variable annual percentage rate (APR) would be 6.685%, and your interest charge for the month would be $1,036.18.*


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## Steve (Mar 7, 2007)

That is truly a horrendous waste of money!!!

Steve


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## Steamboat Bill (Mar 7, 2007)

Steve said:


> That is truly a horrendous waste of money!!!
> 
> Steve



I agree...but there are over 2,500 members of ER and they are the #1 Destination Club in the World.

I originally considered joining ER, but decided to join HCC instead. 

I simply could not justify the buy-in + MF for ER and then NOT be able to book a holiday week.

I have friends that own $2m boats and $3m planes....these are the types of people that join ER.

Even if you can afford to join ER...why finance it?


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## caribbeansun (Mar 8, 2007)

Or more importantly - why have they needed to resort to this themselves?  Looks like they have moved away from their target audience and trying to take things down market.


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## travelguy (Mar 8, 2007)

*Exclusive Resorts interest payments*

Another way to look at this is that the Exclusive Resorts INTEREST payments for an Affiliate membership is more than DOUBLE the High Country Club Affiliate membership annual dues!!   

AND you get a Holiday week with High Country Club Affiliate Membership!!


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## Steamboat Bill (Mar 8, 2007)

travelguy said:


> Another way to look at this is that the Exclusive Resorts INTEREST payments for an Affiliate membership is more than DOUBLE the High Country Club Affiliate membership annual dues!!
> 
> AND you get a Holiday week with High Country Club Affiliate Membership!!



Perhaps HCC should put the ER press release on their own web site...it may help boost membership in HCC.


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