Against contract to rent points out????

[2princess 2pirates]

I called DVC today to question some meal plan info for a family that we are renting points to, I was informed by DVC that it is against our contract to rent points out. This is our first time doing so and we are doing it through a major timeshare rental/resale company. I also see points for rent all over the place.

Does anyone have more info on this before this goes further for us?

Thank you!

 

[RobDoc]

Renting is expressly allowed and is mentioned in numerous places in the DVC contract. "Commercial Purpose" is not allowed, but that expression is vaguely defined. Some have posted that DVC will look more closely at members with 20 or more reservations in a year, but DVC has never published any definition or firm policy.

I would challenge any MS rep who suggests that renting is not allowed - even to go so far as to ask to speak with their supervisor since they obviously need some retraining.

 

[DenLo]

From the Home Resort Rules and Regulations

3.
Making Reservations for Non-Club Members
1) Club Members may use their Home Resort Vacation Points to reserve Vacation Homes that will be occupied by non-Club Members.

2) When a Club Member uses his or her Home Resort Vacation Points to reserve Vacation Homes on behalf of a non-Club Member, and the Club Member does not charge any rental or other fees to the non-Club Member for the reservation, the non-Club Member is eligible for all or some of the Club Member privileges and benefits that a Club Member would normally receive during his or her stay in the reserved Vacation Home. If the non-Club Member is renting, it is the responsibility of the Member to notify Member Services when making the reservation. Member privileges and benefits cannot be extended to non-Club Members who rent Vacation Homes from Club Members.

However accepting renumeration for points that are transferred is forbidden. So maybe the CM just got confused, I know members on these boards are always confused by that difference.

6. j. Club Members are expressly prohibited from receiving compensation for engaging in any Transfer activity.

 

[goin3d]

I learn something new everyday So renting is allowed, but receiving any $$ from a points transfer is NOT?

 

[Chuck S]

I learn something new everyday So renting is allowed, but receiving any $$ from a points transfer is NOT?

As per our documentation, that is correct. However, given the apparent impossibility of enforcing such a rule, DVC is enforcing one transfer per use year, they used to allow multiple transfers per use year. They surely realized that compensated transfers were happening frequently with multile transfers per use year.

 

[LadyLvsTramp]

We have rented our points whenever not using them many times that is the advantage of having such a flexable timeshare. I usually do not indicate I am renting them I usually just make the reservation and keep the details between the renter and ourselves. I have never had any issues for the most part however this past year the family we rented to waited until the night before leaving on thier trip to try to order the meal plan. I was not able to do it at that late date for them. But otherwise we have never had any issues never had any issues.

 

[simplesimon]

They did make the change that the meal plans have to be paid for in advance, which is a pain when renting points. I liked it when they could pay when they checked in.

 

[italiamom]

Please explain what is meant by transferring points. Members can or cannot?
We can receive compensation or not? I would like to rent my points for next year to help pay for our Dream cruise, but, i'm clueless as to how i go about this, or how much to charge. Is transferring points an alternative for me? When i make the ressie, do i make it in my name or the folks i'm renting to? Thanks for your advice.

 

[disneynutz]

Please explain what is meant by transferring points. Members can or cannot?
We can receive compensation or not? I would like to rent my points for next year to help pay for our Dream cruise, but, i'm clueless as to how i go about this, or how much to charge. Is transferring points an alternative for me? When i make the ressie, do i make it in my name or the folks i'm renting to? Thanks for your advice.

Transferring points is allowed but you are not allowed to get paid for the transfer. Renting a reservation is allowed, you are allowed to receive payment for the rental but you are not allowed to commercially compete with Disney.

Renting a reservation is a legal business transaction and as the owner, you have legal responsibilities. In a way you are becoming your renters travel agent. Nothing worse than getting sued because your renters vacation got screwed up. There may also be income tax issues to consider.

Bill

 

[Deb & Bill]

By the Public Offering Statement, you are required to notify DVC if you "rent" a reservation. The POS also states that compensation for transfers is not permitted.

 

[dizkrazkate]

when I "rented" points a few months ago through Dave's Vacation Rentals (dvcbyrequest.com) I was told by MS that "you don't want to tell me your renting, because that is against the contract". So I then said "ok, well then I have some friends I'd like to make a reservation for". All was good.

 

[drusba]

Transfer of points: where one member actually transfers points to another member. No other action is considered a "transfer."

Documents say that you cannot transfer points for value although many still do it. One transfer per use year rule prevents that from becoming a method for professional renters to rent DVC rooms.

Rental via Reservation: you rent by using your own points to make a reservation in the name of another. Alternatively, you go through David's Vacation Rentals and he gets a renter and then you make a reservation in another's name using your points. Both of those are allowed and neither of those is a "transfer" of points because you have not in fact transferred your points to another member.

DVC documents say you cannot engage in renting for a "commercial" purpose. That vague prohibition essentially means you cannot be in the business of renting your points. A few years back, they announced a 20 reservation presumption guideline saying that if you have more than 20 reservations per year, they may presume you are violating the "commercial" purpose rule and may request you to provide an explanation that you are not.

 

[WilsonFlyer]

So David gets around the commercial thing via the loophole that he's not actually renting his own points and he's only middle-manning the deal. Is that right?

(Not criticizing David or his most certainly legitimate business. Just asking a question. Obviously, DVC knows about David. It's not like he's being a ghost about what he does. LOL I have an old friend locally who has just started doing the same thing so I'm just wondering how these folks are able to do this.)

 

[drusba]

Though David is actually a DVC Member, you are correct that he is acting as a middleman/broker in the business he conducts putting together those who need to rent out and those who want to rent and that does not appear prohibited by any of the rules. Some would call it a "loophole," others a "savvy" business act.

A couple years or so back, he had a different way of conducting business -- DVC Members who wanted to rent would name him as an associate member on their memberships and thus he could personally call MS and make reservations using that member's points (those who dealt with him said there were no problems created by making him an associate member as his integrity was unimpeachable). DVD actually created a rule change directly targeted at his operations by prohibiting any one from being named as an associate member on more than four members' memberships. Not one easily discouraged, he changed his business model to the broker/middleman operation you see now.