Any reason *not* to split your purchase into smaller contracts?

[Disneyfriend]

We are getting close to purchasing 2 contracts, one at BLT and one at AKV. Probably 140 at BLT and 125-130 at AKV.

We are thinking about splitting each contract into two so that we will have four roughly equal contracts to eventually pass down to our four children.

Are there any unforeseen consequences to doing this that I should be aware of? Some downside that I just haven't thought of?

Thank you all; this DVC board has been so informative for us as we make our decision!

 

[Sandisw]

If you are buying direct via Disney and they are all under the same UY, then I see no drawback.

I own 3 BLT contracts, but they function as one big one because they are all part of one membership.

One of the biggest benefits is that you can then sell some of your membership without totally becoming a non-member.

 

[Disneyfriend]

If you are buying direct via Disney and they are all under the same UY, then I see no drawback.

I own 3 BLT contracts, but they function as one big one because they are all part of one membership.

One of the biggest benefits is that you can then sell some of your membership without totally becoming a non-member.

Thank you, Sandi. We would be buying direct and they would all have the same UY.

I just wondered if it would be a lot more paperwork/administrative hassle going forward. For instance, if you bank your points one year, do you have to do it once - or three separate times since you own 3 BLT contracts?

Many thanks.

 

[mdsd8700]

Actually I think that is one of the main advantages of direct thru Disney is being able to split up the contracts. We actually have 4. Our first inital 100 point contract then we added on 170 points and broke that down into 3 so our kids would each have 135 points. There was a bit more paper work to sign, one set of papers for each contract, but that only took a few extra minutes. No big deal.

We did the add on just a few weeks ago so I called to bank the 2010 points I received with the add on and MS did it all at one time no need to go through each contract. They are all listed under one member ID. However we only own at one resort. I am sure you would need to be specifc as to which points you were banking but I cannot imagine that to be a problem at all. I am sure if there is anything you should know about that someone else with 2 Home Resorts will let you know.

You will be given a banking number, be sure to write it down. This is very important incase something happens and your points somehow become unbanked. This has happened to me twice. With my initial purchase and then with the add on. I immediately banked both sets and within a week they were unbanked. It was no big deal to call back and let MS know of the mistake. Gave them the banking number and they could see the transaction and then re-banked them for me again, giving me a new banking number. If your within your banking window having the number probably isn't so much of an issue, but if you are outside of your banking window it is a good thing to have just in case something happens.

Let us know when you have actually purchased so we can "offically" Welcome You Home. Plus its always fun to share your excitement with other Disney Fans!

 

[JWG]

The only thing I can think of is 3x the administrative costs/fees to change ownership/titling in the future. About $28 or so per contract in filing fees usually. So, I guess the drawback is maybe $30?

I don't see a downside.
We have decided should we make any purchase over 75, we'll split. My parents initial purchase was 210. Then nothing over 75 in our family. And, before we bought in, we had our names added to my parent's deeds so we could have one member account for all contracts. It does mean we're on theirs and they're on ours -- but it makes vacation planning easy.

 

[Sandisw]

Thank you, Sandi. We would be buying direct and they would all have the same UY.

I just wondered if it would be a lot more paperwork/administrative hassle going forward. For instance, if you bank your points one year, do you have to do it once - or three separate times since you own 3 BLT contracts?

Many thanks.

I have always banked via a phone call to MS so I just told them to bank all the points from that particular UY and they took care of it.

Even when I booked vacations with banked points, which were part of more than 1 contract, the CM just took care of it when booking. I have never had an issues.

 

[Disneyfriend]

Actually I think that is one of the main advantages of direct thru Disney is being able to split up the contracts. We actually have 4. Our first inital 100 point contract then we added on 170 points and broke that down into 3 so our kids would each have 135 points. There was a bit more paper work to sign, one set of papers for each contract, but that only took a few extra minutes. No big deal.

We did the add on just a few weeks ago so I called to bank the 2010 points I received with the add on and MS did it all at one time no need to go through each contract. They are all listed under one member ID. However we only own at one resort. I am sure you would need to be specifc as to which points you were banking but I cannot imagine that to be a problem at all. I am sure if there is anything you should know about that someone else with 2 Home Resorts will let you know.

You will be given a banking number, be sure to write it down. This is very important incase something happens and your points somehow become unbanked. This has happened to me twice. With my initial purchase and then with the add on. I immediately banked both sets and within a week they were unbanked. It was no big deal to call back and let MS know of the mistake. Gave them the banking number and they could see the transaction and then re-banked them for me again, giving me a new banking number. If your within your banking window having the number probably isn't so much of an issue, but if you are outside of your banking window it is a good thing to have just in case something happens.

Let us know when you have actually purchased so we can "offically" Welcome You Home. Plus its always fun to share your excitement with other Disney Fans!

Good to know - thank you for taking the time to share all of this! Great advice on the banking number; I can see where one could be in deep trouble without it!

Thank you for your kind words!

 

[Disneyfriend]

The only thing I can think of is 3x the administrative costs/fees to change ownership/titling in the future. About $28 or so per contract in filing fees usually. So, I guess the drawback is maybe $30?

I don't see a downside.
We have decided should we make any purchase over 75, we'll split. My parents initial purchase was 210. Then nothing over 75 in our family. And, before we bought in, we had our names added to my parent's deeds so we could have one member account for all contracts. It does mean we're on theirs and they're on ours -- but it makes vacation planning easy.

JWG, thank you so much!

May I ask you why you put your names on your parents' deeds and vice versa? I bet it is for a smart reason and perhaps I should consider something similar???

 

[NewDCLGuy]

I believe that in the future, it will be harder to sell many very small contracts than to sell fewer midsized contracts. Note that right now, that is not the case. Smaller = easier to sell. But I think (gut feeling) that per-contract closing costs will continue to rise, as will restrictions on resale contracts, making very small contracts not as good a deal.

This isn't a big deal, but you seemed to want to know every possible consequence.

 

[DenLo]

JWG, thank you so much!

May I ask you why you put your names on your parents' deeds and vice versa? I bet it is for a smart reason and perhaps I should consider something similar???

Since JWG hasn't come back, I image that they added the names not only so any member can make the reservations, but so the points can be combined more easily if they have the same use year. That way it won't be necessary to transfer points to each other when you want to combine the points to reserve one two bedroom for the parents and JWG's family.

I would only recommend this joint titling if the parents do not have any other children because of inheritance. Also you would need to be sure the titling is exactly the same otherwise there will different member numbers and then you are back to having to transfer the points to combine them. And since there is only one transfer per year that might cause problems from time to time.

 

[Disneyfriend]

I believe that in the future, it will be harder to sell many very small contracts than to sell fewer midsized contracts. Note that right now, that is not the case. Smaller = easier to sell. But I think (gut feeling) that per-contract closing costs will continue to rise, as will restrictions on resale contracts, making very small contracts not as good a deal.

This isn't a big deal, but you seemed to want to know every possible consequence.

Thank you DCLGuy . . . that makes sense.

 

[Disneyfriend]

Since JWG hasn't come back, I image that they added the names not only so any member can make the reservations, but so the points can be combined more easily if they have the same use year. That way it won't be necessary to transfer points to each other when you want to combine the points to reserve one two bedroom for the parents and JWG's family.

I would only recommend this joint titling if the parents do not have any other children because of inheritance. Also you would need to be sure the titling is exactly the same otherwise there will different member numbers and then you are back to having to transfer the points to combine them. And since there is only one transfer per year that might cause problems from time to time.

DenLo, thanks for trying to explain that! So it's probably not something we would want to consider, then, with four separate children. I mean, we wouldn't want to buy our four contracts and then title them like this:

#1: Mr. and Mrs. Disneyfriend and Child A
#2: Mr. and Mrs. Disneyfriend and Child B
#3: Mr. and Mrs. Disneyfriend and Child C
#4: Mr. and Mrs. Disneyfriend and Child D


Or would we?

 

[Sandisw]

DenLo, thanks for trying to explain that! So it's probably not something we would want to consider, then, with four separate children. I mean, we wouldn't want to buy our four contracts and then title them like this:

#1: Mr. and Mrs. Disneyfriend and Child A
#2: Mr. and Mrs. Disneyfriend and Child B
#3: Mr. and Mrs. Disneyfriend and Child C
#4: Mr. and Mrs. Disneyfriend and Child D


Or would we?

I beleive that if you were to title them differently, they would then need to be different memberships.

And, if they are different memberships, using the points together is a bit harder than having different contracts under the same one.

Unless you plan on giving complete ownership over to your children in just a few years, I would not worry about that now.

 

[Disneyfriend]

I beleive that if you were to title them differently, they would then need to be different memberships.

And, if they are different memberships, using the points together is a bit harder than having different contracts under the same one.

Unless you plan on giving complete ownership over to your children in just a few years, I would not worry about that now.

Ok; makes sense. Thanks for explaining!

 

[maminnie]

For those well versed in the DVC documents, is there anywhere in the documents that says you have to have a certain number of points to be a member and utilize the points? For example, if you buy resale under 160 points (the DVC minimum for new members) is there anything written to prevent you from using them?

Thanks for your help.

 

[NewDCLGuy]

For those well versed in the DVC documents, is there anywhere in the documents that says you have to have a certain number of points to be a member and utilize the points? For example, if you buy resale under 160 points (the DVC minimum for new members) is there anything written to prevent you from using them?

Right now, all members are equal. The 25-point owner gets all the rights and privileges as the 1000-point owner.

In the future, probably the near future, that will likely change, IMO. Disney is itching to move to a system where people with more points get, at a minimum, more perks. Nobody should buy a small contract for the purpose of getting the AP discount.

I don't expect that Disney will ever impose restriction on basic membership rights - i.e. booking a DVC room - on the small point owners.

 

[JWG]

Since JWG hasn't come back, I image that they added the names not only so any member can make the reservations, but so the points can be combined more easily if they have the same use year. That way it won't be necessary to transfer points to each other when you want to combine the points to reserve one two bedroom for the parents and JWG's family.

I would only recommend this joint titling if the parents do not have any other children because of inheritance. Also you would need to be sure the titling is exactly the same otherwise there will different member numbers and then you are back to having to transfer the points to combine them. And since there is only one transfer per year that might cause problems from time to time.

I beleive that if you were to title them differently, they would then need to be different memberships.

And, if they are different memberships, using the points together is a bit harder than having different contracts under the same one.

Unless you plan on giving complete ownership over to your children in just a few years, I would not worry about that now.

Yes to all of these. My parents had been members since 1999 and bought relatively late in life. My family will get their contracts when they decide to stop vacationing on their own. We wanted to buy our own contract, but knowing we'll be getting their two, it just made sense to get us added now an then add-on points to maintain one membership. No need to transfer points, no need to manage multiple use years, etc. It also means, since we vacation with them regularly, any of us can plan the trips.

If you have anything different on any of the contracts, they'll be considered different memberships with different member numbers. Whether it be a name and/or use year. I wouldn't worry about this just yet if you have young children and want to break contracts up to each of them.

It just worked well for us.

 

[Disneyfriend]

Yes to all of these. My parents had been members since 1999 and bought relatively late in life. My family will get their contracts when they decide to stop vacationing on their own. We wanted to buy our own contract, but knowing we'll be getting their two, it just made sense to get us added now an then add-on points to maintain one membership. No need to transfer points, no need to manage multiple use years, etc. It also means, since we vacation with them regularly, any of us can plan the trips.

If you have anything different on any of the contracts, they'll be considered different memberships with different member numbers. Whether it be a name and/or use year. I wouldn't worry about this just yet if you have young children and want to break contracts up to each of them.

It just worked well for us.

Makes perfect sense in your situation. Thanks for explaining and best wishes!