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Old 06-21-2013, 04:56 PM   #1
mvndvm's Avatar
Join Date: Aug 2009
Location: Geneseo, IL
Posts: 82

Prorated MF?

Trying to figure out the MF in a resale contract.

I'm putting in an offer for 250 points, August UY, 314 available 8/1/13, meaning they banked 64 2012 points.

When I'm making the offer and say I'm going to pay the 2013 MF, does that mean I'm essentially reimbursing the seller for the January 2013 MF they already paid?

If that's what it means, is it reasonable to offer to pay prorated 2013 MF, whereby I just pay/reimburse the seller for the 64 points they did not use?

So, regardless of UY, when you talk about prorated MF, it is based on calendar year since MF are charged every January based on contract size regardless of how many are in account at that time, correct?

Or, when discussing prorated MF, do you divide MF by month and then reimburse the seller based on time left in the year? In this case, the prorated MF would be based on 5 months instead of the 64 points they banked?

I hope I'm not confusing you by reading this.

Thanks in advance of any replies.
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