Regarding transfers

[Uno]

I was trying to rent 12 points from a fellow member and the member told me that 12 points wasn't enough to make the transfer worthwhile because of the 1 transfer per use year rule. I mentioned this to another member who told me the original limitation was one transfer- either in or out- per Use Year.
DVC has relaxed that rule and we are now allowed unlimited transfers- in one direction (but not both) each Use Year.

Because of these conflicting understandings I called Member Service to get the straight scoop. CM Martha told me transfers into a members account are unlimited, but transfers out are limited to one time per use year with the provision that a member that has points transfered into their account cannot transfer any points out. Disney does make it difficult to understand and Martha even had to put me on hold so that she could get it straight.

The question now is why is there no written policy regarding transfers in the member guidebook? At least I can't find it. If you know where the policy is please post it here. It seems to me that a policy as important to members as transfering points should be formerly addressed. Just MHO.

 

[RobDoc]

The written policy is found in the Public Offering Statement- it is not in the Member Guidebook.

I think the written policy still has the original - one transfer per year, either in or out- language. MS has apparently found the need to allow a different method in certain situations. DVC does have some unwritten rules that allow them some flexibility to try to help members. In some cases, members have gotten the benefit of the flexibility- thus the reports here about how things were handled differently from what is generally understood. The next situation may be slightly different and the end result may vary accordingly.

If we expect the written rule- we can be excitedly pleased with the flexibility. If we expect the flexible treatment- we can be disappointed if the original, written rule is followed.

 

[ClarabelleCow]

Can this be done?

Say a member wants to "gift" a member points, can they be just transferred permanently to the other members account. Or does it become a real estate transaction and you have to go through the entire ROFR and closing?

 

[CRobin]

Doc is correct; they do allow a certain amount of flexibility. Here is an example that I have used....

Say I own two contracts at two resorts with two different use years.

One has 2 points remaining on it and one has 200.

At my 7 month booking window, I need 150 points for a ressie.

I ask MS to transfer the 2 points to the other contract, and then book the ressie, making sure to use the 2 points transferred in as part of the required 150, leaving 52 points.

This is a convenience to me. Sure, I could bank the 2 points; this is just cleaner. And, it's not a transfer between two DVC members, just one member managing his points on multiple contracts.

 

[RobDoc]

Originally posted by ClarabelleCow
Can this be done?

Say a member wants to "gift" a member points, can they be just transferred permanently to the other members account. Or does it become a real estate transaction and you have to go through the entire ROFR and closing?

If by "gift" you mean doing a transfer for free, that is exactly what DVC states may be done. Once transferred, the points are permanently owned by the other member and are subject to normal rules of usage.

If by "gift" you mean give another member a portion of your contract (50 of your 200 points) as a legal transfer of ownership , then the answer is no. Contracts may not be split up - the entire contact would have to sold and the deed recorded in the name of the new owner. You can go through the motion of transferring any number of points annually however.

There are means to "gift" your contract to a family member without needing to deal with ROFR and Disney will assist with that type of transaction.

 

[ClarabelleCow]

So if someone wants to give me their 50 VWL points, that can be done, and you wouldn't have to pay a closing cost. But if they had 200 points and wanted to give me 50 they couldn't. Is that the case?

If so, what is to prevent people with contracts like this from telling Disney they are "gifting" them to another person. Bi-pass the entire closing and recording issue, then just passing cash to the "gifter"???

Just wondering because I was looking at small addons, and once you add closing costs and realtors fees, it gets expensive and the seller would loose their shirt?

 

[RobDoc]

I think you are trying to combine 2 different things. The original post was about transferring points between members (Member A transfers 50 points to Member B to use for his January trip). That is a one time event.

It sounds like you are talking about changing the deed to the property and that will have ot go thru DVC to accomplish. They have, in the past, allowed "gifts" to family members and we can all place our contracts in a will to be distributed after our death.

If you are wanting to sell your contract and call it a "gift" (neglecting to tell Disney the true amount of the transaction) there could be serious consequences when it is discovered.

Transfers are simply one member giving another some points for that Use Year. Exchanging the deed is another situation entirely and will involve some costs regardless how the seller informs Disney in the process.

 

[Dean]

I've been told that the new Multi Site POS has the new wording though the version posted here is slightly different than what's usually quoted. The usual quote is multiple in OR out but not both within one use year. If I were renting and were limited to one transaction, no way I'd do it for 12 points at $10 pp, $20 pp maybe.

It's definitely true that DVC has "considerable flexibility" with transfers between multiple contracts of a single owner.

If one wanted to give part of their points permanently to someone else, they couldn't split up a contract. If one has an add on, you can give it to another. I'm told, but haven't verified, that DVC will allow transfer and waiver their ROFR automatically for an immediate family member. Otherwise, you have to submit it for ROFR and if it's free, DVC will buy it for free out from under you.

 

[ClarabelleCow]

Thanks Doc and Dean, I know my question was different from the original. To make a long story short, my BIL is going through a divorce, he wanted to transfer his VB points to us permanently. He needs to get it out of his name, so we didn't know if this could be done. I really don't want to get involved because of the "messyness" of this divorce. Because I am sure down the road, I will be having to handle his vacations!!!! So I was just wondering if this could be done.

 

[RobDoc]

Ahhh ... I understand.

He can transfer the points to you, but true ownership will require some legal changes- and that will still be incuded in the divorce settlement most likely. Ownership does have $$ value, and that will be of interest to both Disney and his ex. If the contract is owned jointly, that even opens another can of worms!

Good luck!!

 

[David in Manassas]

I guess I'm missing something, but I have always thought it would be great if say person A who owns at OKW could "transfer" points into person B's account who owns at HH . Person B does the same thing to person A. Then both could make reservations at their non home resort as they wished for that year. I guess for this to work you would have to have the same or close to the same use year. That way each person would not have to worry about the reservation being "cancelled" by the other party, because they own the points for that year.

Am I missing something why this would not be a good idea?

 

[CRobin]

David, that would work.

I think an easier way for two members to "swap" ressies for home resorts is to make them for each other: You make his ressie at your home resort, and he makes your ressie at his.

That way, either of you can call MS and check the status in case one decides to get unscrupulous and cancel the ressie.

There is an inherent element of trust in transfers (or pseudo-transfers like the one above) or rentals.

 

[Dean]

Originally posted by ClarabelleCow
Thanks Doc and Dean, I know my question was different from the original. To make a long story short, my BIL is going through a divorce, he wanted to transfer his VB points to us permanently. He needs to get it out of his name, so we didn't know if this could be done. I really don't want to get involved because of the "messyness" of this divorce. Because I am sure down the road, I will be having to handle his vacations!!!! So I was just wondering if this could be done.

Call DVC and see. I believe that in most states you can't sell real estate without the spouse signing even if it's not in their name and I'm pretty sure FL is this way. Call DVC and ask if he can transfer with ROFR then call a lawyer and see if it requires spouse to sign even if she's not on the deed originally.