If you cancel at a DVC resort 31 or more days prior to arrival, points are returned to normal status in the use year. If you cancel 1 to 30 days prior to arrival, they go into "holding status," and can only be used for reservations made 60 days or less prior to arrival, and con not be banked.
If you cancel on your arrival day, all points in the reservation are lost.
Even canceling 31 or more days out, you may not be able to bank the points if you are not within your banking window.
If your reservation was at a non-DVC resort, they are "reservation points." Meaning they can not be used for a reservation at a DVC resort.