Pros and Cons of Having two contracts

[jennypenny]

OK, we gave our deposit on the BCV, and we're are having our "chat" on Monday at 2pm to finalize the deal (my face hurts from smiling so much!). Here's my question:

We want 400 points at the beach club. My guide suggested buying two 200 point contracts with the same use year. That way, if we wanted to downgrade at some point we could without selling the whole thing. He said as long as they had the same use year it would be the same.

Is this right? It seems right, but I don't have a member guide book or anything to read the fine print.

This is all moot anyway, because I'll NEVER let my hubby sell the points!!

Jenny

 

[hulagirl]

Yes, that is correct. We have 2 contracts at the Boardwalk and it is just like having one. Someday we will pass contracts down to our kids if they would like them and having separate contracts works for that too.

 

[SlyHubby]

forget the issue of "downgrading", if you just want/need to sell for some reason (nobody knows what future circumstance may require them to sell), it is much easier to sell a 200 point contract than a 400 point.

 

[ncligs]

Definately get 2-200 pt contracts with same use yr. It will be to your advantage down the road for whatever reason.

 

[Terry S]

When we originally purchased we bought 4 contracts with the same use year at the same resort (BCV). Because of add ons we now have 6 contracts, but it is all treated as one lump sum and I can split them up and give them to my kids later on. If you have them as one contract of 400 points you can't split them up.

 

[JimC]

Having two contracts gives you flexibility and I suspect that 200 point contracts are easier to sell than a 400 point contract if you needed to do that.

 

[Judique]

Would having two contracts mean 2 sets of closing costs?

 

[JimC]

If you buy from Disney they pay the closing costs. If you buy resale it is negotiable.

 

[Judique]

If you buy from Disney they pay the closing costs. If you buy resale it is negotiable.



Thank you, JimC. I had forgotten about that!

 

[DizMare]

Definitely do two contracts - I wish I had, just for the ease in passing the points onto my two children.

 

[jennypenny]

Gosh, I hadn't thought about leaving the contracts to my kids. I have three kids! I guess I'll have to do an add on somewhere

To be honest, they'll probably have to pry the contracts out of my hands at my funeral!

Thanks for all of the help! Now we have to decide whether to sneak down in Nov or sell back this year's points.

Jenny

 

[Dean]

Absolutely 2 contracts. Even 3 would not be a bad idea depending on your children and family situation as you can't break them apart once they're set.

 

[disneyberry]

well, since you have 3 kids, maybe you should ask your guide to break it into 3 contracts.

if they are the same use year and the same home resort, then it really doesn't matter at all. Member Services will treat it all as one big lump of points.

i don't know what combo of contracts you could do though.
if you have 150pt, and 150pt, and 100pt. then one kid will have less points than the other 2. LOL

 

[Caskbill]

If you get two contracts, keep in mind that one contract will be the original and the other will be an add-on. This simply means that they will have the same contract number but different suffix numbers. You will still only have one membership number.

No matter how you split the points, 200/200, etc, these will all be treated as a 400 point contract for all your reservations, banking and borrowing. Since they're the same resort and use year, you won't have to try to manage points at all between the two. It's as if you had a single 400 point contract.

Have you thought about SSR at all? This could give you two different resorts and thus have 11-month booking windows available at each. (Of course only for the number of points you purchase at each). If you split the points between two resorts, then there is a little more recordkeeping as to using points, banking, borrowing etc.