New policy for using or buying a few points??

[tjkraz]

Is it 24 points per member or by contract?

Per member. Doesn't matter how many contracts you own--you can only buy 24 per year in a single transaction.

Also I am reading it correctly that it is only for members who have finished paying for their contracts? TIA

No. It is only available to members who have CLOSED on their contract. Closing is the legal process in which ownership of the points is transferred from DVD to the member.

You couldn't sign your DVC paperwork today and use this one-time-use option tomorrow. The contract takes several weeks to close. But after the closing has occurred, this option is available even if you are still making mortgage payments.

 

[LIFERBABE]

Although BWVBound already posted a case when this option would have encouraged a member to upgrade to a 1BR, I think those cases are rare and probably only involve a stay of 3 nights or less.

And for any vacation plan you expect to repeat, it will quickly become more cost effective to own the points than to buy them at $15 (and up) each year. -- Suzanne

I really think it depends on how short you are to determine how often this will be used by members.
You really can't look at it 1 way because there are multiple scenarios that will apply.
Availability is a big factor that could drive you to upgrade using the 1ups.

And I would add on before I use this option often, but there is value in the convenience that makes the price easy to absorb whereas an addon is more of a liability. Also DVC does not provide financing for add ons of less than 50 points so coming up with $360 may be easier to use each year rather than a few thousand Cash for a 25 point or more add on will appeal to many. With closing costs and maintenance fees for a 25 point add on you could use these points 7 times for the same cost.

 

[Sammie]

I am thrilled so many are excited about this, but truly I just do not see the advantage of doing this over borrrowing for us.

Is 24 extra points really going to help?

We never stay in anything less than a two bedroom which 24 points will not get us any extra day in any season.

And if I wish to stay an extra Friday or Saturday night, paying cashing and using an AP discount is a much better deal.

I guess if you only stay in studios maybe it will be an asset. I am sure knowing DVC/Disney there is a huge advantage to doing this for them and not so much so for the members.

 

[aDVCguy]

Forgive myself if this has been brought up...

Am I correct in believing that the going rate for
borrowing points from a fellow DVCer is @ $10/pt.?

I also don't know if there's tax on said borrowing...
if there isn't(tax or add'l fees) why go through
Disney?

Anyone have some first hand insight?

Thanks!

 

[jackskellingtonsgirl]

I can see advantages for my family. For example, this year we were 4 pts. short and didn't have any available to borrow. We burned our ONE transfer to get 4 pts. from a friend. Yes, that was easy and allowed us to get the ressie we wanted at more than 7 mos. because my friend and I both own at AKV. But if she wouldn't have had pts. on hand or if she had already used her transfer or whatever, this would have been a fine alternative for us. I probably would have simply booked a cash night and then tried to convert it at 7 mos.

 

[Chuck S]

Forgive myself if this has been brought up...

Am I correct in believing that the going rate for
borrowing points from a fellow DVCer is @ $10/pt.?

I also don't know if there's tax on said borrowing...
if there isn't(tax or add'l fees) why go through
Disney?

Anyone have some first hand insight?

I'm thinking the advantage would be convenience, and the safety aspect of not dealing with someone unknown from the internet...plus having the transfer readily available.


You are correct that, as far as average prices seen on the R/T Board, you save at least 1/3 going through a member vs Disney, and possibly more.

 

[Inkmahm]

Forgive myself if this has been brought up...

Am I correct in believing that the going rate for
borrowing points from a fellow DVCer is @ $10/pt.?

I also don't know if there's tax on said borrowing...
if there isn't(tax or add'l fees) why go through
Disney?

Anyone have some first hand insight?

Thanks!

If you borrow from a fellow member, you are either renting the points from them or transfering their points to you. In the first case, they keep control over the points and have to book a reservation for you. In the second case, you'd have to find someone willing to transfer a very small number of points to you (remember, the Disney option is for 24 points or less.) In either case, it would be much easier just to rent the points you need from Disney and add them to your own so that you control your reservation completely.

 

[appleorchard]

We're enthusiastic about it because we often come up just a few points short--and we're always in borrow mode. This is simple, doesn't involve searching for someone with points, trusting them to make a reservation, or trying to find someone to transfer a small number of points etc etc. The convenience will make it well worth it for us. It's a definite win-win from where we sit.

 

[disneynutz]

I am thrilled so many are excited about this, but truly I just do not see the advantage of doing this over borrowing for us.

Is 24 extra points really going to help?

We never stay in anything less than a two bedroom which 24 points will not get us any extra day in any season.

And if I wish to stay an extra Friday or Saturday night, paying cashing and using an AP discount is a much better deal.

I guess if you only stay in studios maybe it will be an asset. I am sure knowing DVC/Disney there is a huge advantage to doing this for them and not so much so for the members.

My guess is that they continue to get complaints from members who are upset with the point reallocation. I bet most members are short 24 points or less.

Typical DVC, change the rules then benefit from it buy selling additional points or renting to members who can't afford to purchase.

Bill

 

[Snurk71]

Another positive vote for the 7 month restriction!!!

We just added on to make sure we have enough purchased points at 11 months. I think me as a point buyer should still hold some home advantage over the member who short-buys for their trips and needs to rent.

 

[CarolMN]

At least one of the documents I signed at purchase said that points themselves have no value and so members are not allowed to accept compensation for transferring points to another member.

Appears that does not apply to DVC itself! Anyone else find that ironic?

I am wondering if any of the revenue from this venture will go back to reduce member dues. If the points are from undeclared or administrative inventory, then I have no problem with Disney or the Developer getting the revenue. But if any of the points come from member trades (like cruising on points), then I think the revenue should go to reduce member dues, just like breakage inventory does.

 

[dianeschlicht]

At least one of the documents I signed at purchase said that points themselves have no value and so members are not allowed to accept compensation for transferring points to another member.

Appears that does not apply to DVC itself! Anyone else find that ironic?

I am wondering if any of the revenue from this venture will go back to reduce member dues. If the points are from undeclared or administrative inventory, then I have no problem with Disney or the Developer getting the revenue. But if any of the points come from member trades (like cruising on points), then I think the revenue should go to reduce member dues, just like breakage inventory does.

That was my thought too, Carol, and I just assumed it would be undeclared or bought back inventory that had points about to expire. The current rules wouldn't allow for them to just "rent" out points from current sales inventory.

Hey, maybe that's where they could get the extra 5% needed to make the renos at OKW complete!

 

[LOVETHATMOUSE]

Maybe someone can explain it, but why would you want to purchase points in leu of borrowing from what you already have? We always borrow from the next years use, but it always evens out in the end. I've already "paid" for my room, so why lay out more money?? Maybe I'm not getting it

 

[Chuck S]

Maybe someone can explain it, but why would you want to purchase points in leu of borrowing from what you already have? We always borrow from the next years use, but it always evens out in the end. I've already "paid" for my room, so why lay out more money?? Maybe I'm not getting it

Maybe they have already pre-planned a vacation using the ponts from the next use year, so they don't want to borrow.

I doubt it is an option I would use, I would more likely simply shorten a trip by a day if needed...but never say never.

 

[keishashadow]

Finally, I think this really is an enhancement to our ownership that the members asked for!

It's a great idea. Should help many people who were short a few points for their planned reservations after the points reallocations of the past 2 years.

me

Agreeing that this is a nice option.

Not agreeing with the 7 month window.

What's the point if you book at a high demand timeframe at your home resort and have planned to call at the 11 month window?

Do you just leave off that last night and hope it's still there at 7 months out? And hope that points are still available? And then hope the waitlist works?

I can see if someone wanted to book at a non-home resort. Ok, let the 7 month window apply.

But if I'm short 6 points for a stay in a 2BR at BCV during Food & Wine Festival, I can't get my BCV points for the 11 month window, but have to wait until the 7 month window? What's the point?

I wonder if like some have speculated that there are an abundance of SSR points that haven't been sold and that's why the 7 month window has to be used.

Glad the option is there, but it could have been better.

agree

many of us bought as many points (if not more) as a 'regular' membership bought thru DVC overall, we just went a different route & bought resale & added on @ other resorts to get the 11 month window.

 

[Brian Noble]

Those resorts are all "sold out" and DVC only keeps a moderate supply on hand for member add-ons.

I suspect these points are not coming from salable inventory. Instead, I'm guessing the supply is coming the inventory relinquished for Disney Resort Collection, DCL, and ABD "exchanges". Right now, those points must be rented through CRO, with the proceeds used to pay the appropriate business unit the Member is vacationing with. This provides an extra (and, by my calculations, quite likely more lucrative) outlet for monetizing those points.

 

[Goofy DVC]

I understand why Disney would allow it at 7 months only, due to not having to keep track of all the different resort points, but regardless of that how in the world do they track the different use years of all those points and if any of the money goes back to the resorts how do they divy it up?

 

[DeeCee735]

I think DVC and DVD knew exactly where the reallocation of points was taking them. After the first year of a reallocation alot of members complained that the change left them short a few points for the vacations they normally take (got that straight from my guide). Then, they reallocated a second year in a row. I think they knew where it was going for DVC and I think offering to rent a few points per year for a fee was the plan all along.
I also think they want to "curve" the private rental of points, especially since it's specifically prohibited (for $), and bring themselves into the rental market.

I'm not saying I don't think it's a good idea, it works for both sides. I just don't think this was a new idea for them.

 

[wdrl]

I understand why Disney would allow it at 7 months only, due to not having to keep track of all the different resort points, but regardless of that how in the world do they track the different use years of all those points and if any of the money goes back to the resorts how do they divy it up?

The news item on the member website specifically states that the points for this program are coming from the Disney Vacation Development, Inc. As such, these points are not coming from breakage or from exchanges, which are points essentially from the DVC inventory. I don't think the DVC membership is entitled to any income derived from points that come from DVD's developer inventory. As I have said before, DVD can draw from its inventory of undeclared points at BLT, AKV, and SSR to fund this new program. If DVD didn't rent these points to the membership, they would be used for cash reservations through CRO. Correct me if I am wrong, but the income DVD derives from CRO cash reservations from developer points is not shared with the DVC members.

 

[disneynutz]

Sounds correct to me. I didn't find out until recently that DVC turns unrented rooms over to CRO at 60 days prior to any given check in date. Once booked to a cash Guest, that room isn't available to DVC Member calling less than 60 days out. Another reason to book early.

Bill