Resale Purchase Question about Point Verification!

[mattnday]

We are in the process of buying our first DVC points! We have heard stories in the past of the contracts not matching what the buyers thought they were getting. What is the best way to verify the size of the DVC account, the current points available, and whether any of the available points are borrowed? Thanks!

 

[jekjones1558]

If you buy through one of the reputable DVC resale agents you should be safe.

 

[RobDoc]

The verification will be done automatically when the closing company does their work and has DVC confirm the details of the contract.

To my knowledge, there is no way to independently verify this with DVC before the closing process.

 

[JimMIA]

I've only heard of one minor situation where the number of points was an issue, and if I'm not mistaken Tom stepped up and made it right from his personal account.

We had a small mistake on our transaction, but it didn't involve the number of points. We had a bunch of current year points which I was planning to bank, but when I called to bank them, they were already banked. That was no harm - no foul, but it's something DVC should have caught during their research. Again, no harm done.

Your question is something I would not worry about -- but be sure to check once your points are in your account.

 

[Dean]

You should check with your broker and title company. What most do is verify the annual points but not the points accounting. While I only know of a few stories of issues with points, I also know of several where a week's use was missing when all was completed. In a few cases, the seller used or deposited them after the process was well underway. Since DVC cancels all points reservations now, I'd think it's less of an issue.

 

[deide71]

When I purchased my first 50 point contract last September, it was supposed to have 50points available Feb. 1, 2006. I closed on the contract in November, and added on 120points with the Friends and Family promotion when I was at WDW in December. When I got home and called to bank the '05 points of the new contract, MS asked me if I also wanted to bank the '05 points from the 50 point contract. There were 28 points left from '05 (I was told there were none). They let me bank all of them even though it was past the banking deadline! That was a nice surprise .

However, I can't help but think the broker (not the Timeshare Store) did the sellers a disservice. They sold their 50 point SSR contract with 28 '05 points, and all 50 '06 points for 78/pt.


It's a miracle it passed ROFR.

 

[mattnday]

The reason I am asking is that I am not buying from a broker

I have found the perfect account for me without a lot of the attached baggage of banking and borrowing. I am a little concerned about it being from a private individual and just wanted to make sure we are actually getting what we are paying for.

We will be using a reputable timeshare closing company that is familiar with these units.

 

[disneydenisel]

Since DVC cancels all points reservations now, I'd think it's less of an issue.

Hi Dean, can you explain this?

And FYI, our resale contract was short 4 points for 2006, which I didn't find out about until the closing papers arrived. Our broker refunded $8/point, and of course we didn't have to pay dues on those 4 points.

 

[RobDoc]

Once the contract reaches a point in the transaction, Disney cancels any reservations attached to it- ensuring that the point totals they stated were present will be there at closing.

This effectively prevents a seller from making any reservations after they have accepted an offer and also prevents them from making an advance reservation for the buyer- but does protect the buyer regarding the points available in the contract.

 

[mattnday]

With that in mind - the available points should be stated in the sales contract

at the time of ROFR I am guessing Disney would confirm these points to the closing company and that is how we would get our confirmation.

Is that correct?

 

[Dean]

The reason I am asking is that I am not buying from a broker

I have found the perfect account for me without a lot of the attached baggage of banking and borrowing. I am a little concerned about it being from a private individual and just wanted to make sure we are actually getting what we are paying for.

We will be using a reputable timeshare closing company that is familiar with these units.

A 3 way call between you, the seller and DVC should clear it up. IMO, it's actually easier and safer in this area on a private purchase.

As Doc mentioned, DVC cancels pending reservations. My info suggests they don't actually cancel until notification of the transfer at the end, likely because things can happen along the say to void a sale.

 

[kimberh]

I had the Timeshare Store get Disney do a Point Verification. It took a couple of weeks. There was a 100 points that did get transferred in that we had to bank after we closed and I thought all had been banked. When I asked MS where the 100 points came from she said, " I have no idea". This was suppose to be there and I feel that if the point verification had not been done if would not have been.