Davids DVC: Rental reimbursement or rescheduling?

[cmrdgrs]

I agree, the whole thing is very messy, I am still to receive the 30% due two days ago, which if they are true to their word (!) I should get if I re-rent those points, but I also had rented out my 2021 points in February with him, for December/January rentals and I am just keeping my fingers crossed that a) the parks and resorts have all reopened and b) that he is still in business then! But your friend should surely get the 30% owed for the reservation when the resorts were still open. What excuse is he using to withhold what is due?

I honestly am not privy to the entire details. It probably has to do with the other 70% he was paid and their disagreement on those rentals. The bottom line is that the bond of trust has been broken. I think more people would be willing (if they are able) to refund the money back to David if they knew the renter was getting back their money. But, the voucher David is offering is just a complete shaft IMO, and if renters are taking that deal (which I'm sure many are) that is just adding to the ire of owners.

 

[moab44]

If I accept the voucher and try to rebook for next April what are chances of getting into the Beach Club? The cost calculator is still on Dave’s site and it goes to next April. If I was able to get a room and Dave’s goes under. Do I get to keep the reservation? From what I understand from my email if I book for next April and the park is still closed I lose it all.

 

[cmrdgrs]

If I accept the voucher and try to rebook for next April what are chances of getting into the Beach Club? The cost calculator is still on Dave’s site and it goes to next April. If I was able to get a room and Dave’s goes under. Do I get to keep the reservation? From what I understand from my email if I book for next April and the park is still closed I lose it all.

This is the reason I would not be willing to accept the voucher. It seems to me that agreeing to the voucher supersedes and eliminates whatever little protection was in your original agreement with David. On top of that, I personally, would not be willing to accept a one time credit and if this happens all over again I'm out everything. Plus -- my understanding from what I read is that you need to pay a new $98 fee to David in order to have his team find you a new rental? WTH is with that?

IMO David is basically bullying renters into taking the voucher because renters are not being given any other option. He won't pair renters with their owners, if owners give back the money he won't return it to renters. He won't allow anyone to talk and salvage what they can. IMO he is taking a bad situation and just making it worse. Renters aren't happy - Owners aren't happy - and clearly he still wants to be paid money.

 

[Sandisw]

Mine isn’t until June and I’m super worried that if I do the chargeback, I’ll get nothing. That was why I was banking on the whole cash Disney bookings. It’s such a mess.

Honestly, I’m feeling confident that DVC resorts will be open, even if parks are not, If that is the case, you may not have an option for a travel voucher,

Things in Florida are better than expected, and it is in DVCs best interest to get the resorts open to stop the loss of points to the system.

 

[mustinjourney]

Yes of course, this makes sense based on the assumption that he has 500 bookings every month at 200 points, retaining $4.50 per point. But I just threw that figure out there because I literally have no idea. Even on those numbers though at $450k a month, that's gross margin, not profit. You're not taking into account costs to the business.

With 30 staff, they'd have significant overheads such as salaries, rent, advertising, phones, systems, website, tax etc, so my point was more.....has David got millions of dollars sat in a business bank account ready to pay out all of the renters who want their money back? My guess would be no, because they are not big enough to have that amount of retained earnings after tax sat in a bank 'ready for a rainy day'.

At no point did I surmise how much he had in profit. I clearly stated revenue. So please do not tell me what I did or did not take into account. Again, my point was that it is all relative. The more revenue you bring in, the larger your rainy day fund needs to be. Just like my 6 months of living expenses differs drastically with someone like Bill Gates.

Second -- according to David himself, in a posting I saw on a different site, he actually has over 40 employees.

Notwithstanding the above, we have no idea how he pays his employees or what his overhead costs are. If he's paying commissions, then this situation should not affect his business as much as if he pays straight hourly or salary. But if he's not making at least 33% net revenue on this business model, his expenses are far too high.

 

[GoingSince1990]

Hmm I'm waiting for the commercial on TV... Were you a dvc owner who was not paid by David's? Were you a renter who got nothing? Call the so and so law firm today. We are pursuing a class action suit... Lol

(This isn't real... Yet??)

I guarantee that you will never see this commercial on TV. Law firms will only invest the huge expense and time needed for a class action lawsuit when there is a corporation with millions of dollars in enormous deep pockets to go after. Which David’s most assuredly is not.

 

[Sandisw]

If I accept the voucher and try to rebook for next April what are chances of getting into the Beach Club? The cost calculator is still on Dave’s site and it goes to next April. If I was able to get a room and Dave’s goes under. Do I get to keep the reservation? From what I understand from my email if I book for next April and the park is still closed I lose it all.

If he secures it with a new owner, and then goes under, There is a good chance the owner will cut their losses and you will be out the reservation,

If you take the voucher, IMO, I’d opt for a reservation not booked on points, but through Disney directly. The chances there are greater,

 

[GrumpyInPhilly]

I think Timeshare Store can help with transfers. Does anyone know what the transfer rate is for the owner?

$15.50 pp

 

[GrumpyInPhilly]

DVC doesn't charge a transfer fee. Some use escrow services of one type or another. For me, this is just a different form of a rental that [as always] needs trust. Just like a rental, the owner is generally paid first, then the transfer occurs. Transfer is a final transaction.

Using The Timeshare Store to facilitate the process, the owner gets paid after the transfer has occurred.

 

[Dracula]

Honestly, I’m feeling confident that DVC resorts will be open, even if parks are not, If that is the case, you may not have an option for a travel voucher,

Things in Florida are better than expected, and it is in DVCs best interest to get the resorts open to stop the loss of points to the system.

Beyond the drop in new contract sales - which is totally understandable, since cruises and theme parks are shuttered, how exactly is Disney losing from the loss of points to the system? As far as Disney is concerned, DVC members need to keep paying their hefty dues, whether they get to use their points or the points go to waste, the loss is on the members so far. If we fail to pay the monthly dues, Disney would promptly foreclose on our timeshares, and our investment turns to pixie dust, along with our credit scores.

I always saw a large international guest presence at WDW. It is great that Florida has few cases on its own, but where would the guests come from? Only Florida, or maybe China? Italy? Spain? UK? New York? Until the pandemic is controlled worldwide, or a cure has been found, WDW would not be in business as usual, no matter how many cases Florida has.

 

[merry_nbright]

Honestly, I’m feeling confident that DVC resorts will be open, even if parks are not, If that is the case, you may not have an option for a travel voucher,

Things in Florida are better than expected, and it is in DVCs best interest to get the resorts open to stop the loss of points to the system.

If the parks aren’t open, what’s the point?

 

[yankeesfan123]

If the parks aren’t open, what’s the point?

The point is that the resort is open, which is what you contracted for.

Open resort = (likely) no voucher.

If that ends up being the case with me, where the parks are closed but resort is open, I may try to settle my claim directly with David’s for less than the value of what I paid (which, if the points aren’t distressed, would benefit us both), or try to deal with the owner directly to rebook me with some financial enticements. I would not plan to go if the parks were not open.

 

[Sandisw]

If the parks aren’t open, what’s the point?

I do get that...but, unfortunately, when you are dealing with a DVC reservation that is there, the owner and the broker are providing what you bought.

Just trying to let you know that there is a chance your reservation will be there.

 

[GoingSince1990]

If the parks aren’t open, what’s the point?

I've never done it, but I quite often see people mentioning "no park" trips to Disney World.

 

[SherylLC]

Hmm I'm waiting for the commercial on TV... Were you a dvc owner who was not paid by David's? Were you a renter who got nothing? Call the so and so law firm today. We are pursuing a class action suit... Lol

(This isn't real... Yet??)

But seriously, is this not class action lawsuit material?

 

[merry_nbright]

The point is that the resort is open, which is what you contracted for.

Open resort = (likely) no voucher.

If that ends up being the case with me, where the parks are closed but resort is open, I may try to settle my claim directly with David’s for less than the value of what I paid (which, if the points aren’t distressed, would benefit us both), or try to deal with the owner directly to rebook me with some financial enticements. I would not plan to go if the parks were not open.

Yeah, that might be the best option if the resorts are open and the parks are not. It’s a painful waiting game.

 

[Dracula]

But seriously, is this not class action lawsuit material?

Class action lawsuits mostly benefit the attorneys. Call it "just enrichment". Owners may get an additional $1 per point, if lucky. Not worth the aggravation, IMHO. Where would the cash even come from? It has already been established that David runs an asset-light business. I would rather have David remain in business and continue to provide a safe, competitive marketplace for owners and renters.

 

[mgarbowski]

A short veer off topic... DVC members can transfer points between each others memberships. Certain rules apply ==>DVC Website Link

Thanks. I knew about transferring to another member but did not think there was any sort of market for it.

 

[merry_nbright]

I do get that...but, unfortunately, when you are dealing with a DVC reservation that is there, the owner and the broker are providing what you bought.

Just trying to let you know that there is a chance your reservation will be there.

Painfully annoying. I’m at AKL, so who knows at this point? This will be the last time I ever rent points, sadly. Has not been a pleasant experience.

 

[Dracula]

Painfully annoying. I’m at AKL, so who knows at this point? This will be the last time I ever rent points, sadly. Has not been a pleasant experience.

Sorry to hear that. But these are some exceptional circumstances - over 42,000 dead in the US, 16,500 dead in the UK and 1,700 dead in Canada, about 1 in 4 Americans without a job, much of the population imprisoned in their homes, retirement savings cut, many companies essentially bankrupt and on government provided life support, oil price turned negative for the first time in history. I am hard pressed to see many people able to get a pleasant experience. We all need to try to make the best of this situation - we are in this together, need to come out together, and help each other rebuild our lives.

It would be interesting to see if DVC resale prices would ever turn negative, like the timeshares in Cancun where you can actually get paid to take a contract, and everyone can enjoy the DVC resorts for less than the annual dues.

Until then, know you're not alone - everyone in the first world is stressed about where they would go on vacation this year, and whether they still have a job, or other income, in a few months.