Any owners that rent require additional security deposit?

[iluvthsgam]

A question for DVC owners that rent points. Does anyone require an additional security deposit to cover the risk of getting stuck with a bill from the renters (i.e. credit card declined, charges reversed, damage to the room, charging on KTTW card after checkout) ?

I have rented before but not rented out my points yet but looking to possibly do so. I was thinking a 100% refundable security deposit of a couple hundred dollars would be reasonable. Returned after checkout and confirmation with MS that there are no outstanding charges or damages.

Thoughts? I did some searches but have not seen much on this.

 

[disneynutz]

How do you verify that there were no issues with the renter? Disney can take months before they freeze your account due to billing issues.

Bill

 

[vicki_c]

That's the #1 reason not to do it - it's not like renting a vacation home where the owner or management company sees the home immediately upon your departure and can make a determination on the cleaning fee / deposit return (since you can't charge any purchases back to you vacation home like you can a Disney room that's not a factor).

Secondly - you will be putting yourself at a disadvantage to other owners renting, since I never heard of any DVC owner doing that.

 

[Sammie]

Renting DVC is a two way risk. There is risk or the person renting and also for the member.

Just comes with the process, which is why I personally could not rent to someone I don't know.

Basically as others said, it would be impossible to do this, mainly because DVC and Disney is not going to care about the renter, they will always come after the Member, because technically it is their reservation and their guest in the rooms.

 

[iluvthsgam]

How do you verify that there were no issues with the renter? Disney can take months before they freeze your account due to billing issues.

Bill

Maybe I just do not have enough experience at DVC but I was assuming that they would know of damage right away. As far as leaving a balance on the room, that is something I figured you could check within a few days after the reservation is done. Is the process set up so that any left-over charges would not be seen within a few days -or- damage not discovered within a few days?

Secondly - you will be putting yourself at a disadvantage to other owners renting, since I never heard of any DVC owner doing that.

Good point.

Renting DVC is a two way risk. There is risk or the person renting and also for the member.

Just comes with the process, which is why I personally could not rent to someone I don't know.

Completely understand. If risk could be eliminated (not possible, I know) or as close to eliminated as possible for both sides then it would be better for all. Maybe having a security deposit would lower the risk for some people and get them to open up to the idea of renting, which in the end is better for all as well.

I was trying to learn as much about the owner side as possible and this crossed my mind.

 

[OldGrizzly57]

I don't take a deposit and have never had a problem. I do have a contingency fund though "just in case". The dollars in that fund are set aside from previous rentals.

Griz

 

[disneynutz]

Maybe I just do not have enough experience at DVC but I was assuming that they would know of damage right away. As far as leaving a balance on the room, that is something I figured you could check within a few days after the reservation is done. Is the process set up so that any left-over charges would not be seen within a few days -or- damage not discovered within a few days?

You are dealing with different departments, Disney Resorts and the DVC, plus there is a billing group that will try to collect from the renter first for unpaid room charges but ultimately the responsibility is yours.

I seem to remember a post by a owner where their vacation was frozen due to a renter having unpaid room charges. The owner was never notified and the rental was months earlier.

Bill

 

[lions1995]

If you go on line during your stay, there is a charge that is shown against your room. I do not think they process the charge to your credit card until you check out. I would think if there were left over charges it may shows there, but not really sure,

 

[Sammie]

If you go on line during your stay, there is a charge that is shown against your room. I do not think they process the charge to your credit card until you check out. I would think if there were left over charges it may shows there, but not really sure,

That would only benefit the person in the room, not the member that rented the points to that person, they would not access to this information.

 

[lions1995]

That would only benefit the person in the room, not the member that rented the points to that person, they would not access to this information.

Actually, the member DOES have access to that after the renter checks in. The member can not see individual charges, but can see what has been charged back to the room.

 

[iluvthsgam]

Actually, the member DOES have access to that after the renter checks in. The member can not see individual charges, but can see what has been charged back to the room.

Right, that is what I was thinking. I saw that once when I booked a reservation for a friend, the day they checked in I went online and saw a "balance due" - I got worried thinking that it was something I messed up - but it was just they checked in and immediately went to the store to buy food and groceries.

That's why I was guessing that it would be easy to simply go online even the day after checkout to see if there is an unpaid balance. And until that unpaid balance goes away you don't give the security deposit back.

 

[Sandisw]

I also think it would be difficult competing with this clause and unless you were going to ask a lot less per point , no real incentive for the renter. Plus the limit at a DVC resort is $1500. I can't see any renter leaving that kind of security deposit.

Unfortunately renting is a risk and most go off without issues but you have to be willing to deal with it. I could never go the stranger route for this reason. I would be way too stressed to deal with it...

 

[jagson]

Can't you make the reservation with stipulation of no charging privileges to the KTTW card? That would at least prevent getting stuck with unpaid charges.
And, what if DVC charged a refundable "breakage,etc" deposit for all at check-in, whether a member or a renter? That would, in my opinion, reduce the likelihood of intentional damage to the room, and help DVC with room "turnover", ie the less damage to the room, the quicker it's available to the next occupant; less complaints from the new occupant, should they discover the damage; and the earlier that person can get into their room, which is always a plus for customer satisfaction, which even DVC should want.
Just like those on this board thought online reservations was impossible, this too can be achieved, with all the brainpower at DVC's disposal (not sure that last sentence came out right, but you get the idea).

 

[CarolMN]

Can't you make the reservation with stipulation of no charging privileges to the KTTW card? That would at least prevent getting stuck with unpaid charges.

No, members are not allowed to prevent registered occupants from providing a credit card and charging back to the room (unless the member is staying in the room). Front desk staff allows charging to anyone who gives them a credit card.

And, what if DVC charged a refundable "breakage,etc" deposit for all at check-in, whether a member or a renter? That would, in my opinion, reduce the likelihood of intentional damage to the room, and help DVC with room "turnover", ie the less damage to the room, the quicker it's available to the next occupant; less complaints from the new occupant, should they discover the damage; and the earlier that person can get into their room, which is always a plus for customer satisfaction, which even DVC should want.

I suspect that the reason they don't do this now is the cost and administrative hassle involved far outweigh the actual damage incurred.

Just like those on this board thought online reservations was impossible, this too can be achieved, with all the brainpower at DVC's disposal (not sure that last sentence came out right, but you get the idea).

I don't doubt that the "problem" could be solved, but I don't think Disney considers it one worth addressing. FWIW, they have even less incentive to worry about it for DVC resorts. Keep in mind that Disney is not a fan of members renting out their points. The member is responsible for those he/she allows to use the membership. It's easy for Disney to hold the member accountable and I see no reason for them to make it easier or less stressful for members to rent.

 

[disneynutz]

I just read on the Sentinel that 2 guys took Disney for $15,000 by charging things to their rooms and not paying the bill.

Bill

 

[CarolMN]

I just read on the Sentinel that 2 guys took Disney for $15,000 by charging things to their rooms and not paying the bill.

Bill

Disney must have had hundreds of thousands of resort guests over the period of time those two were scamming. (I'm glad they got caught. Hope they end up in jail or prison).

$15K is practically zero compared to Disney's profits over those years. I'm positive it is orders of magnitude less than it would cost to collect deposits and then return them.

Maybe Disney will start placing holds on credit cards at check in like many other resorts do. That's the most I see them doing, at least for the forseeable future.

 

[ELMC]

In the spirit of hearing different things from different cast members, when I checked in at BWV last week I was told that a hold was being placed on my credit card for $1,500. I have not confirmed this with my credit card company nor do I believe it to be the case, but it is what I was told.