New Borrowing Rules

[MICKIMINI]

My wife and I were planning on buying 2 contracts in the near future. One at BCV and one at PVB. The plan was use them to stay at home resort every other year. This definitely changes things and while I'm disappointed it reaffirms that Disney is trying their best to manage this current crisis for owners and patrons.

Maybe you are better off buying one to start and then the other when we have an end date? BCV has been tough to get historically and prices have shot up in the near past. PVB has plenty of contracts available and prices have dropped. I've been doing all kinds of math this morning too I think we'll know more about prices in the next 30-60 days or so. Luckily, you didn't have an offer in!

 

[holyrita]

This temporary rule change makes sense to me. With the closure (whether it's only 2 months or further into 2020) means many more 2020 points will be banked into 2021. By limiting the number of points people can borrow from 2022 into 2021, it will hopefully equalize things a bit.

I know this is unfortunate for those with large plans over the next 1-2 years, but everyone is affected by this entire situation, in one way or another. We all have had planned trips, birthdays, holidays, etc that were postponed/cancelled/changed and it's been disappointing.

There will be a new normal while we wait for a vaccine where things won't be exactly how we want them to be. I myself am looking forward to the days where COVID-19 is in our rearview mirror.

 

[DVC Doctor]

This policy works with a short shutdown (March and April) and will fail if the shutdown is all of 2020.

There is no easy solution, if the points were to expire, then it is NOT Disney's fault. But when they extend the expiration, or limit borrowing then it hurts all owers competing for future reservations.

I would say I am fine with this temporary change, but will be against making it longer.

 

[RichV03]

Banked points are good as long as you use before they expire - you were smart to get a loaded contract! Borrowing is the issue here. What is your UY and when is your planned trip?

September use year, we plan on going in January

 

[MICKIMINI]

You are good but don't wait a second to make your reservation once you have your member number. Not knowing the end date will make planning impossible for many owners, but there are so many unknowns we have no choice but to live with it for now. I started doing numbers in my head when the email arrived. My head is ready to explode

 

[Minniesgal]

This policy works with a short shutdown (March and April) and will fail if the shutdown is all of 2020.

There is no easy solution, if the points were to expire, then it is NOT Disney's fault. But when they extend the expiration, or limit borrowing then it hurts all owers competing for future reservations.

I would say I am fine with this temporary change, but will be against making it longer.

The fact they announced a plan yesterday made me wonder fo they don't have an open soon plan at lease for the resorts.

 

[RichV03]

You are good but don't wait a second to make your reservation once you have your member number. Not knowing the end date will make planning impossible for many owners, but there are so many unknowns we have no choice but to live with it for now. I started doing numbers in my head when the email arrived. My head is ready to explode

Thanks we plan on book ASAP. I’ve been calling/emailing fidelity every day to make sure things keep moving.

 

[TandemShoehorns]

My wife and I were planning on buying 2 contracts in the near future. One at BCV and one at PVB. The plan was use them to stay at home resort every other year. This definitely changes things and while I'm disappointed it reaffirms that Disney is trying their best to manage this current crisis for owners and patrons.

If I understand your intention, it is what we plan to do as well. Take advantage of the 11-month window at each of the two resorts while alternating years. We will bank points from BCV, then use the current year points to stay at PVB. Then the next year use banked and current for the stay at BCV and bank points from PVB. Rinse & Repeat. However, unless you do a shorter trip or smaller villa the first year, you will need to prime the pump somehow to get two years' worth of points to cover that trip.

 

[Hopfather28]

If I understand your intention, it is what we plan to do as well. Take advantage of the 11-month window at each of the two resorts while alternating years. We will bank points from BCV, then use the current year points to stay at PVB. Then the next year use banked and current for the stay at BCV and bank points from PVB. Rinse & Repeat. However, unless you do a shorter trip or smaller villa the first year, you will need to prime the pump somehow to get two years' worth of points to cover that trip.

That is our intention and I agree with the "prime the pump." One way around this for us was to find a stripped contract at one and loaded at the other. Then you don't need to worry about that priming so much. Now with these changes I have my eyes on a 275pt PVB but it's a June UY which works well for us currently but some changes in our vacation habits means a Feb or Mar is ideal in the future. I have the cash upfront at the moment so we could just get what we want as if we were doing each one each year and then rent what we don't use each year. Decent way to offset a decent amount of maintenance fees.

 

[Sandisw]

That is our intention and I agree with the "prime the pump." One way around this for us was to find a stripped contract at one and loaded at the other. Then you don't need to worry about that priming so much. Now with these changes I have my eyes on a 275pt PVB but it's a June UY which works well for us currently but some changes in our vacation habits means a Feb or Mar is ideal in the future. I have the cash upfront at the moment so we could just get what we want as if we were doing each one each year and then rent what we don't use each year. Decent way to offset a decent amount of maintenance fees.

Sounds like a plan, but there are a lot of issues right now with rentals and the closures, so just be sure you are comfortable and have a good understanding in it all before you decide that as part of your plan!

 

[Hopfather28]

Sounds like a plan, but there are a lot of issues right now with rentals and the closures, so just be sure you are comfortable and have a good understanding in it all before you decide that as part of your plan!

We were going to rent BCV for our next trip (2021) because we rented PVB past summer and it was fantastic. I'm a math guy so I did the numbers and I realized renting, while beneficial, is not nearly as beneficial as ownership. Is that big cost scary...sure. But if I can pay also end up with a vacation long into our retirement I'm fine with it. Time will tell what we do but I think by mid June we will have an offer in or already own. The drop in prices has accelerated our plans but certainly isn't the reason we are now choosing to do so.

 

[TandemShoehorns]

That is our intention and I agree with the "prime the pump." One way around this for us was to find a stripped contract at one and loaded at the other. Then you don't need to worry about that priming so much. Now with these changes I have my eyes on a 275pt PVB but it's a June UY which works well for us currently but some changes in our vacation habits means a Feb or Mar is ideal in the future. I have the cash upfront at the moment so we could just get what we want as if we were doing each one each year and then rent what we don't use each year. Decent way to offset a decent amount of maintenance fees.

We do the vast majority of our travels between November and March, so we currently have December and February use years. If you can swing it, get the same use years as it makes one less thing to worry about. We have not had the "problem" of having leftover points that need to be rented out to someone else.

 

[Sandisw]

We were going to rent BCV for our next trip (2021) because we rented PVB past summer and it was fantastic. I'm a math guy so I did the numbers and I realized renting, while beneficial, is not nearly as beneficial as ownership. Is that big cost scary...sure. But if I can pay also end up with a vacation long into our retirement I'm fine with it. Time will tell what we do but I think by mid June we will have an offer in or already own. The drop in prices has accelerated our plans but certainly isn't the reason we are now choosing to do so.

I meant planning to rent your own points as an owner to others. if you were planning on a broker, be sure to read up on the struggles with both renters and owners,

People have learned a lot in this time so be sure you have good idea of what will make any potential rentals you decide to do go smooth.

 

[MICKIMINI]

Thanks we plan on book ASAP. I’ve been calling/emailing fidelity every day to make sure things keep moving.

I can tell you from first hand experience - keep calling! They are slow, however you as a sale, are a priority IMO!

 

[MICKIMINI]

That is our intention and I agree with the "prime the pump." One way around this for us was to find a stripped contract at one and loaded at the other. Then you don't need to worry about that priming so much. Now with these changes I have my eyes on a 275pt PVB but it's a June UY which works well for us currently but some changes in our vacation habits means a Feb or Mar is ideal in the future. I have the cash upfront at the moment so we could just get what we want as if we were doing each one each year and then rent what we don't use each year. Decent way to offset a decent amount of maintenance fees.

Listen to Sandisw - rentals are a disaster right now. I have two pending and I just can't wait for them to happen and I can wash my hands of renting through a broker, anyway. You are better off getting a direct reservation for a year IMO and things "should" even out by then, hopefully!

 

[glamdring269]

If they keep the 50% limitation in longer than short term we will likely sell our contract. The main draw for us is the flexibility, as we go every other year, so this limitation does make it more restrictive. I know I would not buy a contract today as a new buyer if the terms were like this.

 

[Great3]

Was there any notification about changes in transferring rules? Otherwise, you might still be able to do what you plan on doing, just use transferring when you need to. But those transferred points would only be usable at seven months out at the other home resort. Plus if both contracts were the same use year, you wouldn't be able to transfer from one to the other. It would need to be two separate membership numbers.

If they were the same UY, they should both be under the same membership id and therefore, they can already combined for use at the 7 months mark, no need for transferring , but in essence you are accomplishing the same thing without actually having to do a transfer if they are in same UY. Of course, this doesn't help when one wants 11 months home booking advantage.

Great3

 

[Great3]

Listen to Sandisw - rentals are a disaster right now. I have two pending and I just can't wait for them to happen and I can wash my hands of renting through a broker, anyway. You are better off getting a direct reservation for a year IMO and things "should" even out by then, hopefully!

Absolutely, I agree, listen to Sandisw. Rentals were great before COVID-19 happened. Although I never rented out points before, I was also touting how easy it is to rent out your unused points, especially thru a broker if you don't want to handle it yourself. Now I regret ever giving that kind of advice out, because I know lots of people been impacted lately, with no win for either renter or owner.

Great3

 

[SL6827]

Absolutely, I agree, listen to Sandisw. Rentals were great before COVID-19 happened. Although I never rented out points before, I was also touting how easy it is to rent out your unused points, especially thru a broker if you don't want to handle it yourself. Now I regret ever giving that kind of advice out, because I know lots of people been impacted lately, with no win for either renter or owner.

Great3

Well no one ever imagined that such like this would happen. I think this could possibly shut down a lot of the rental market. The only thing I ever thought would shut down Disney was hurricane damage.

 

[CarolMN]

Well no one ever imagined that such like this would happen. I think this could possibly shut down a lot of the rental market. The only thing I ever thought would shut down Disney was hurricane damage.

I don't think it will shut down the rental market.

I do think that contracts will need to address what happens if a resort is closed so that the risks / consequences are spelled out to cover this situation. I also believe that at least in the short term, rental prices will have to come down to compete with DISNEY discounts. Owners may have to take less, which won't be popular. But some will still choose to rent and some of those will still use brokers. It won't be a surprise if some of the brokers go out of business.