Banking Question

[fatherAZ]

I am currently closing on my HH 210 point contract with April use year. I understand that my banking deadline is Sep 30 for 100% of my points and Dec 31 for 50% of my points. I would like to be in the DVC system and book a trip for January by Sept 30 and bank the rest of the points. In case we close after Sept 30, will I be able to bank 50% of our total points meaning up to 105 points or 50% of what remains after we make the reservation. (i.e. we use 140 points for our January reservation but it is made after Sept 30, can we bank all remaining 70 or are we limited to 50% of 70 points). Our other option would be to ask the seller to bank a portion of the points but we have no idea how many we will need for our trip.

 

[Caskbill]

You're fine. The 50% means 50% of your Total contract, not just 50% of your current points in your account.

One caveat though to keep in mind is that 50% is the cumulative total.

210 points April Use Year, you can bank 100% by Sep 30th.

For the 50% window, you can bank only as many points such that it would not exceed 105 points (50% of 210 points for your example) total in the banked account. Thus if you already had banked more than 105 points, then you couldn't bank any more additional points.

In your example, making the reservation, would not have any previously banked points, so you may bank all 105 points anytime before Dec 31st.

Say for some reason you banked 50 points before Sep 30th. In this case when Dec 31st comes around you can only bank 55 additional points.

Say for some reason you banked 100 points before Sep 30th. Then when Dec 31st came around, you could only bank 5 more points.

Say for some reason you banked 135 points before Sep 30th. Then when Dec 31st came around, you couldn't bank any more points at all.

The same procedure follows later at the 25% window. Keep in mind that MS always rounds down. So for a 210 point contract, 25% is 52.5 points, so your target value that you can bank is 52 points.

It's all really pretty straightforward. Hope this helps.

One final comment. The point total includes your HH contract and any Add-On contracts you may purchase later. Say at a later date you purchase 100 SSR points. Your total is now 310 points, so the magic percentage numbers become 155 points (at 50%) or 77 points (at 25%).

Say you made a reservation and used 175 HH points. At the 50% window you want to bank. You may bank so the cumulative bank does not exceed 155 points. Thus you could bank all 100 of your SSR points and also all 30 of your remaining HH points, since together, they are only 130 points.

Note: The above only applies when the two resorts are an initial purchase and a TRUE add-on, meaning it shares the same base contract number, and both are under the same membership number.

If you ever purchase a resale contract it will often be under a different membership number. In these cases the banking percentages apply to each account separately.

If you have two resorts with different use year months, they WILL be separate membership numbers.

If you purchase an resale contract with the same use year month, it's best to have it put on as an Add-on and not as a separate contract. Disney MAY do this without asking, but it's best to make sure your resale broker works with Disney to make sure it happens.

Besides banking, other factors are involved between two membership number contracts, such as you cannot combine the points to make a single reservation. Say you want 5-days. Then you have to make two separate reservations, perhaps one for 2-days, and the other for 3-days, and then link the two together. However you can never combine points to make a reservation for any given single day. (You can't use one contract for 2-1/2 days and the other for the remaining 2-1/2 days)

When resorts are true add-on's, you may combine points in any way you want to make a reservation. (Subject to the points' home resort 11/7 month reservation windows.)

Well, you got more than you asked for, but I hope it all helps.

 

[fatherAZ]

Thanks for that extensive reply. In my scenario, I have April use year 210 pt contract and have 90 points banked from 2004 that I will use for my Jan reservation. If I make the reservation after Sept 30, can I only bank 15 more points then due to the 90 already banked? If I use the 2004 points for a reservation, are they still "banked?"

 

[CarolMN]

Thanks for that extensive reply. In my scenario, I have April use year 210 pt contract and have 90 points banked from 2004 that I will use for my Jan reservation. If I make the reservation after Sept 30, can I only bank 15 more points then due to the 90 already banked? If I use the 2004 points for a reservation, are they still "banked?"

Banking goes by use year and it doesn't matter what you may or may not have done for prior years.

The 2004 points were originally good for stays between 4/1/2004 and 3/31/2005. Since they were banked, they expire on 3/31/2006 (the end of your 2005 use year) if you don't use them. If you want to use them for a January 2006 trip, you can make the reservation anytime (subject to the 11/7 month booking rules).

The points you have for 2005 can be used between 4/1/2005 and 3/31/2006 or they can be banked into the 2006 use year. If you want to bank all 210 of the 2005 points, you have to do it before 9/30/2005.

The 50% deadline and calculations for the 2005 use year are as Caskbill described - the 90 points banked from 2004 have nothing to do with the banking calculations for the 2005 points. As far as banking goes, each use year is separate.

Best wishes -