Combining contracts under one Membership?

[ABJrGuy]

I am in the process of buying a third small contract resale, and assuming it gets through ROFR, have to make some decisions as to how to manage the points involved.

Here's the situation:

I currently have two memberships, one with a CCV contract, 50 points, August Use Year, (call it membership A) and one with a BWV contract, 49 points, September Use Year (call it membership B). I am purchasing a 70 point contract, CCV, September Use Year, which will be put into Membership B. This contract will have 10 2021 points banked into 2022, 45 2022 points, and the full complement of 70 points for 2023. My current CCV contract, in Membership A, has 41 points remaining in 2022, and 50 points moving forward in 2023. Whew! If you're still reading, you're a champ!

I only go to Disney every other year, usually in December, so the 10 banked points that expire at the end of August 2023 aren't really going to help me. I'd like to rent them out, but I realize I'll have to package them with other 2022 points in order to make any kind of reasonable reservation possible. I'm willing to rent up to 50 points. so for the smaller units that would be a 2-3 night stay. Beyond that, I'd like to gather all of my 2022 CCV points into one membership, so that the remainder could be used toward my late 2023 trip. So I'm trying to work out the timeline for everything. Did I mention the new contract can't close until late May? They sprung that on me after I'd signed the purchase agreement, but I'm letting it go through.

So I'm asking whether the following scenario is feasible:

May 2022--Finally close on the new 70 point contract.
June 2022--Actually receive the points, which will be placed in Membership B. Put 30-50 2022 CCV points from Membership B on the rental market, presumably for a February-May reservation in 2023.
September 2022--Transfer the 41 2022 points from Membership A to Membership B. These points would then be banked to 2023.
December 2022--Bank remaining, non-rented 2022 points still residing in Membership B to 2023. This would be about 5-25 points. Put the 50 point CCV contract, now with no current points, on the resale market.
January 2023--Reserve a room for December 2023 with the banked 2022 points (45-65), the full complement of 2023 points in Membership B (70), and a few borrowed points from 2024 (0-20). I'll be going for a one-bedroom, and will walk if I have to, but this year that didn't appear to be necessary this year with one-bedrooms, even in early December. I'm aware that if I wanted a studio, that would far more difficult!
February 2023--Close on CCV contract and close out Membership A. At this point Membership B would have 70 CCV points and 49 BWV points going forward, so one membership, two contracts, one use-year.

I know the timeline might slip a bit, but is everything I'm proposing according to the rules and feasible?

Thanks for your assistance! This board has been a real help over the past eighteen months.

Jeff

 

[perchy]

June 2022--Actually receive points in Membership B.
September 2022--Transfer the 41 2022 points from Membership A to Membership B. These points would then be banked to 2023.
December 2022--Bank remaining, non-rented 2022 points still residing in Membership B to 2023.
February 2023--Sell contract Membership A.

That right? Hmmm.... what do you want to sell your CCV stripped contract with an Aug. use year for?

 

[dvc lover 1970]

The only speculative item is February 2023...not sure what the market will be then. If you are planning to sell why not transfer the points to membership B for 2022 and 2023 as soon as your contract passes ROFR and then sell membership A? Also something to consider is when membership A was purchased - are you grandfathered into unrestricted points(remember points purchased after January 2019 ( I think that was the timeline) cannot be used at RIV while those before still can.

 

[ABJrGuy]

Thank you for your response. My intention was to substitute the 70-point contract for the 50-point contract, and get everything under one membership, so I'm intending to sell to limit my overall investment. All of the points are post-2019, but with my BWV points, I am not particularly interested in Riviera anyway. It's nice, but I like BWV better for staying near EPCOT, and I'm late middle-age and intend to keep the contract until expiration. The CCV points will likely be sold sometime in the 2040s.

 

[smmora]

Thank you for your response. My intention was to substitute the 70-point contract for the 50-point contract, and get everything under one membership, so I'm intending to sell to limit my overall investment. All of the points are post-2019, but with my BWV points, I am not particularly interested in Riviera anyway. It's nice, but I like BWV better for staying near EPCOT, and I'm late middle-age and intend to keep the contract until expiration. The CCV points will likely be sold sometime in the 2040s.

If you know it's what you want to do, why not transfer the points from Membership A to Membership B now and put it up for sale?
What is the benefit of waiting?

 

[Sandisw]

Right now, they will allow you to transfer both your 2021 and 2022 Aug UY points from CCV (Membership A) into Membership B. However, because you want to travel in December 2023 and get as many of those CCV points as you can, you can wait until August 1st, and then be allowed to transfer both 2022 and 2023 points from A to B, and put the contract for sale then.

The 2022 points you transfer into B can then be banked, and the 2023 points will be good as is for you booking that December 2023 trip. I don't think you need to wait until after you make the reservations to put it for sale if that is your plan.

 

[ABJrGuy]

Thanks, all! I don't want to put the 50-point contract for sale yet, because I haven't gone through ROFR yet, so nothing is guaranteed yet. I agree there might not be much benefit in waiting, but I do want to make sure this actually happens before I sell the contract I already have.

 

[princesscinderella]

Since they need to change your contract in ROFR can you get out of it and buy a different contract at CCV with an Aug UY it will save you a bunch of hassle in the long run. I have two UY but they have different resorts in each one so they don’t really need to interact together. That small of a CCV though will always require some kind of banking and borrowing if you don’t go all the time and to have two small contracts at the same resort in 2 different UYs seems like a lot of hassle with no upside

 

[Sandisw]

Thanks, all! I don't want to put the 50-point contract for sale yet, because I haven't gone through ROFR yet, so nothing is guaranteed yet. I agree there might not be much benefit in waiting, but I do want to make sure this actually happens before I sell the contract I already have.

That makes sense to wait until you have the new contract. But, once you do, then you can sell it anytime after August 1st, as the transfer rules allow you to move points from the current and next UY.

You don’t need to wait until Feb 2023 to sell…unless of course you want to!

 

[ABJrGuy]

Thanks Sandi! I didn't realize you could transfer a year ahead of the current use year. That does open up more points, but as I want to continue to split my stay between BWV and CCV, I don't really have to. I have more than enough points for a four or five night stay at CCV without dipping into 2023 in Membership A. Of course, if renting those points would be better than selling them, and someone really wants a fully stripped contract, it might make sense to grab all the points I can in August and then sell, as you suggest. So many opportunities!