Thanks so much for the information.
Another question, the use year expires in Nov. I have until the end of July to bank (I have about 250 left in this use year). Can I bank the points and then use them to book our trip? I would be making the reservations in October for next September (and then trying to transfer in February). I'm so confused. I should just try to book at 7 months and take my chances. Seems like it would be much easier. But I am afraid I will only be able to get SSR or a studio which would not work.
Here is the way that made it easier for me to figure out what I could and could not use.
Everything is based on the UY you will travel and not when you call to make or change the reservations. Any trip can be paid for using banked points from the UY prior to travel, points from the UY of travel, and points that are borrowed from the UY after travel.
With a Dec UY, if you want to travel in Oct 2012, that trip will take place in your 2011 UY (Dec. 1st, 2011 through November 30th, 2012). So, that trip can be paid for with banked points from the 2010 UY, 2011 UY points, and borrowed points from 2012.
Right now, you are in your 2010 UY and those points can be used for trips until November 30th, 2011. If you bank them, then you will make them valid for trips during your 2011 UY. As mentioned, you have to bank the points first and then make the reservation.
Since your banking deadline is July 31st, you will want to do that by the end of the month. But, if you ever are making a reservation prior to the banking deadline, you can do it all in one call.