Point use/bank question - sorry new at this

[geniegirl]

Looking at this contract but need to understand a few things.

185 points currently available and 185 points coming on 12/1/13.

So I assume that the 185 now are from 2012 and it is too late to bank them? They would have to be used or rented out by dec 13 or they are lost, is that correct.

We are just starting the process so we won't be through for 6-8 weeks. If this is the case what is the chance of being able to book a week at the end of September or being able to rent them.

What is the banking deadline for a dec uy.

Thanks

 

[disneynutz]

You have 8 months to bank your points from the beginning of your UY. Points not used or banked before the beginning of your next UY are lost.

Bill

 

[geniegirl]

So they would be lost if we don't use them by December 2013?

So the sellers still have time to bank them, should we have our broker have them do this before we sign papers. Just in case we can't go before December. Also if they were banked can we pull them if by chance we could go before December.

Thanks again.

 

[vicki_c]

Banking is a final transaction and can't be undone.

The banking deadline for a December use year would be July 31 if I counted that out right.

So you can request that the current owners do that or make the assumption that you could be all closed by 7/31 and do it yourself.

I think I would have the owners do it now. You can always borrow your December 2013 points if you decide to take a trip between now and December 1, you just can't move the 2012 points again. Once they are banked into 2013, they are stuck there.

 

[geniegirl]

Sounds like the best thing is to ask them to bank. Right now our plan is to travel January 2014, September or november are options but are clearly an uncertainty.

Thanks.

 

[AmyB2006]

Agreed, I would have them bank the points now. Then if you want to travel before December 1st, you'd have to borrow 2013 points into the 2012 UY. Like others have said, you can't pull those banked points back into 2012 once they're banked. And yes, July 31st sounds right as the banking deadline.

 

[geniegirl]

Can they stil bank the 2012 points if they have not paid the 2013 dues yet, we are to pay those when we close on the purchase.

 

[Msmithmd]

Yes, they can bank the points now. And they have paid DVC their 2013 fees, or the contract is delinquent and at risk of default. You pay your fees in January regardless of use year (unless you are on monthly installments.).

When you "pay maintenance fees" for a given year in a resale transaction, really all you are doing is paying the seller more money for the listing. Not that that is wrong-it is done more often than not. But Disney already got it's money for 2013 from your seller. All "maintenance" money you would pay now would go back to the seller.

It is entirely reasonable for you to pay the 2013 maintenance, since you will have the full time opportunity on 2013 December points. I assume you aren't paying maintenance back on the 2012. You shouldn't. Your opportunity to use those points is significantly reduced versus when they were first disbursed. And it is very rare to see a listing where the seller wants maintenance fees paid on points other than those coming/here for current calendar year. But everything is negotiable...

 

[geniegirl]

thanks, no we are only paying the 2013 fees, just wasnt sure how it all worked. gonna call our agent and ask them to bank to be on the safe side.