For those who have "rented" points, what is the best way for them to pay?

[ilovediznee]

Obviously if someone wants to rent points from me and they are not a DVC member, I can inquire to MS about availability, but I cannot make the reservation until I receive payment.

I read earlier someone said not to use paypal because it could freeze my account. How do you accept payment? My fear is that I'll agree to the points, they will send payment, but by the time that happens, their reservation cannot be made because the resort is booked. Specifically this person wants Vero Beach, so it's not like they can decide to stay at another resort, Vero Beach is it.

Please advise. BTW - the amount I'm talking about is a payment from $500-$700 if that makes a difference.

Thanks - Diane

 

[Alexander]

As a renter, I would personally not send full payment to a member who has not given me a confirmed reservation number. This practice of renting really requires good faith.

I have rented more times than I can count and each time I ask for the member to check with MS about specific dates and resort. They then let me know about availability, points, and cost, and if it works for me, they make the reservation and I send a deposit to them.

When the member receives the confirmation from MS, they either mail it to me or scan and email it to me and I make final payment to the member. As a non-member I can call MS to confirm the reservation at anytime so long as I have the reservation number.

As I said, it really does require good faith and trust on both sides. I have rented from different people every time I've rented and had wonderful members who helped provide my family with outstanding vacations.

 

[Happy Birthday Cat]

Originally posted by ilovediznee
Obviously if someone wants to rent points from me and they are not a DVC member, I can inquire to MS about availability, but I cannot make the reservation until I receive payment.

Why not? I have rented points quite a few times to very nice Dis Board members and have always made the reservation and had them pay once they get the confirmation from me just as Alexander describes. If they don't pay, it's no big deal, I would cancel the reservation. That is a big reason not to use borrowed points if you rent.

I have had people send me a personal check. Some have chosen to send a cashiers check but I have never required it.

Have you read Doc's FAQ's on the rent/trade board?

HBC

 

[tjkraz]

I agree with HBC: Unless you're renting borrowed points, or for a stay less than 31 days out, there's nothing prohibiting you from canceling if you don't receive payment when promised. The points go back into your account. The only loss is your time and energy.

With that said, when you call to confirm availability, I'd suggest asking Member Services for an idea of how many rooms remain that meet your renter's needs. If availability is "very limited", let the renter know and suggest that he/she expedite delivery of the payment. You can get a check or money order to someone overnight for under $15. That's a pretty small price to pay when you're talking about savng hundreds of $$$ on a room.

Using Paypal probably isn't the best course of action. In addition to the problems you've read about, Paypal will hit you with a fee equal to a percent of the dollars you are receiving. For any transfer over $100, IMO, it's just too costly to justify paying the fees. Ask the renter to overnight or send via USPS priority, which is under $4 and normally gets the payment to you in 2 days.

 

[Happy Birthday Cat]

Originally posted by tjkraz
when you call to confirm availability, I'd suggest asking Member Services for an idea of how many rooms remain that meet your renter's needs. If availability is "very limited", let the renter know and suggest that he/she expedite delivery of the payment.

Excellent idea.

HBC

 

[pumpkinboy]

I have rented points twice. Both times they have paid me by personal check. In one case the amount was $550, it was early in the Use Year and I had known them a long time, so they just sent me a check for the full amount a little more than a month out. In the second case it was for a little over $1,000 at about ten months out. I made the ressie, and I think their first check and the confirmed ressie sheet passed in the mails. They sent another check after my 50% banking deadline passed, and the final portion 35 days out. Oh yeah, and their JetBlue flight went down in cost, so they transferred their credits to me as partial payment.

A lot of trust was involved in both transactions, but my faith in Humanity was rewarded. What a good thing.

 

[ArRzrbk]

I rented to three different people this year (one was a transfer), I used PayPal for all transactions. It gave me peace of mind, and I think it made my renters feel better too. Not sure about the account freezing. I tried to read the postings on that, I never did understand what exactly happened. If anyone wan't to share the gist, please do.

As for the way my rentals worked, basically, I required a very small good faith deposit (though in most cases I went ahead and reserved the room for them before I had it), then they sent me half of what they still owed me once they got the confirmation number from me. I mailed them a copy of the letter too, when it arrived. They then paid me the remainder of the total amount for the rental at a designated time a little closer to their trip date but still within my banking window. And I did use contracts for all the transactions.

Char

 

[Disney1fan2002]

I have rented my points and I find out the dates the person wants, I call for availability. If the dates are available, and they agree with the payment terms, I book the reservation. As long as it is not within the 30 days cancellation window, the points go back if you have to cancel because of non-payment. I don't ask for any money until they have confirmation letter in hand. Once they have the confirmation, I ask for full payment. They send a check or MO. I never ask for payment through paypal, because they may send me $500, what I receive is $485.

This has worked out well. It is important to have trust between the parties. As a person who rents out, I feel I don't have as much to lose as the person giving up money, so I want them to feel as secure as possible.

 

[ducklite]

We've just started renting out our points, and our first renter is a personal friend. He was with my husband when the reservation was called in, and even though we told him we didn't need the check until the confirmation came, he gave it to us anyhow, and for more than half because he wanted to make it a rounded number. Even though he is a friend, we still wrote up a contract with him. It's best for everyone.

At any rate, I think if we weren't dealing with someone we know, we'd ask for a money order or cashiers check.

Anne

 

[jel0511]

We've just rented points for the first time. I didn't require payment before the reservation was made, because how could my renter verify I had made a reservation in good faith before sending me payment. I made the reservation and then sent them the reservation from MS. I then expected payment within 15 days. If I didn't receive it, the reservation would be cancelled by me, since I was using current year points, didn't matter. I did give the renter the option of either sending me a certified check, moneyorder, or using Paypal. If they chose PayPal, there was an additional fee that I added to the payment, to cover my fees from PayPal. The renter decided on moneyorder, which was fine by me. All of this was noted in the contract I also sent to my renter with the confirmation. So far, this has been a very easy process.

 

[zurgswife]

When I rented my points >>> I also made the ressie then had the renter send me a check..

 

[BobNed]

Paypal does not charge a fee for personal accounts, only for business accounts. Personal accounts can't accept credit cards, only direct bank transfers. This is directly from the Paypal Web site:

Open an Account Free

Send Money Free

Withdraw Funds Free for US bank accounts

Receive Funds Free

 

[jel0511]

Originally posted by BobNed
Paypal does not charge a fee for personal accounts, only for business accounts. Personal accounts can't accept credit cards, only direct bank transfers. This is directly from the Paypal Web site:

Open an Account Free

Send Money Free

Withdraw Funds Free for US bank accounts

Receive Funds Free

True, but any personal account can be turned into a quasi-business account with the click of one button. It is still free, but there is a fee associated with Credit Card receipts. I have one, and I've never been charged a fee. I opened up the quasi-business account so when I did rent points, I'd be able to give my renter the option of paying via credit card. The only fee charged is the fee Mastercard charges any business, which is about 3%.

 

[tjkraz]

There are also monthly receiving limits on Personal accounts through PayPal.

 

[BobNed]

Originally posted by tjkraz
There are also monthly receiving limits on Personal accounts through PayPal.

You're right. I forgot about that. The limit on receiving money for a personal account is $1,000 a month. To remove the limit you have to have a Premier or Business account. Both charge fees for receiving money (from 1.9 to 2.9%).

 

[maminnie]

Can anyone share what type of rental contract they use?

Thanks,

maminnie

 

[Pluto4Pres]

Is that $1000. monthly limit for PayPal something new? I know I exceeded that last April and was never charged any fees. I did check the site and does state that the limit is in effect. I just don't remember dealing with it previously.

I did find this link for sample contracts:

http://travelrap.com/dvcrent.htm

 

[BobNed]

When you log in to your Paypal account there is a "Limits" link on the "Your Account" page which will show the limit.