Banking and Borrowing logistics Example

[wayno]

My brother wants to book a trip for his extended family in a grand villa at OKW over Thanksgiving. His points are OKW points, so no problem. However he only has a little over a third of the points he needs and he has used up all of his June09UY points already.

So he plans to bank all of his June10UY-OKW points into 2011UY. Then in his 2011UY he can borrow all of his 2012UY points. At which point he'll have all of the points he needs in his June-2011UY. My problem with this plan is that he'll have to wait until June 1, 2011 to borrow the 2012UY points into his account. That in turn means he won't be able to make the reservation for Thanksgiving 2011 until June 2011, at which point the Grand Villas may not be available since it's less than 7 months out.

Am I missing something here? It doesn't seem right. I ask because I'm planning on doing an add-on at BLT with enough points to go every third year with this strategy, but it then negates the 11 month advantage of your home resort for the majority of the year.

What's wrong with my example above?

THanks,
Wayne

 

[drusba]

Not a problem. You can always reserve 11 months out and borrow at that time any points needed for time you will be there. In other words, when he calls in December 2010, he can use points that are banked from the 2010 into the 2011 year for the November 2011 trip and at same time borrow points from the 2012 year for that trip. Rule of thumb: when determining whether you need to bank or can borrow always erase from your mind the date when you call to reserve and think only about the date when you will be there and base analysis on whether you need to bank or can borrow on that date.

 

[KAT4DISNEY]

To put it into an example using your brothers situation here's how it works.

Your brother wants to reserve Nov 2011 and will require for the example - 300 points.

He owns 100 pts with a June UY.

His 2011 points are valid for stays from June 1 2011 to May 31, 2012 and without banking or borrowing are the points he has available for the Thanksgiving stay.

His 2010 points that were valid for stays from June 1 2010 to May 31, 2011 have now been banked forward and are valid for stays from June 1 2011 to May 31 2012 - the same has his 2011 points.

Now, since he still needs 100 more points for the GV he needs to borrow from 2012 to complete the reservation. His 2012 points are normally good for stays between June 1 2012 and May 31 2013. When he borrows they then become good for stays from June 1 2011 to May 31 2012 and he now has the 300 points needed!

When you purchase a contract you already have your points for the next 50 years or whatever the length of the contract is. There is no waiting to receive them only restrictions on what dates they can be used for stays.

 

[wayno]

That sounds great. Thanks so much for the clarification.

-Wayne