what happens to points that are too late to bank & book

[alohatok1986]

I'm looking at a few contracts that have August and October UY that have 60-100 points from 2021. Am I correct in thinking if they're not used by August (or October, depending on which we get) the points would just go away? Realistically, considering the rofr & closing periods, we wouldn't be able to use or rent the August UY contract 2021 points. It would be tight for October, too, if there was even availability. Just wondering if I should consider those a wash when shopping. Thanks!

 

[thanxfornoticin]

Just to clarify, let me see if I understand. Let's say you have a contract with 100 points from 2021 with an August UY. Those points would have had to have been banked into 2022 by the end of March 2022. Then you could use those 100 points for reservations anytime from 8/1/2022 through 7/31/2023. If you don't use the banked points by that date, you'll lose them. If the owner didn't bank the points in March, 2022, then you must use them by the end of this month or lose them. I hope any owner selling 2021 points would have them banked for the sale. The October points would be similar, but need to be banked by the end of May. If points are not banked or used properly, they can easily be lost.

Not sure if that helps you or not.

 

[CarolMN]

When making your offer, do not attach any value to the points that will expire
before you could use them or before you have enough time to reasonably rent or transfer them to someone else. Remember that it could be 3-4 months from the time your offer is accepted until the points are available for you to use.

Unbanked August 2021 use year points expire on 7/31/22, if not used before then. October 2021 unbanked points expire 9/30/22. Given that it's the middle of July, neither of those contracts have 2021 points that will be of any value to a buyer.

 

[sndral]

The first resale contract I bought had a full allotment of unbanked current years points, I just gave those points 0 value in my mind and offered accordingly because I figured we wouldn’t close in time for me to use them & I was correct, they just expired, unused. I still think of them as my ‘lost’ points, though .
In my case it was a Dec. use year & I offered in early Sept., so there was a remote chance I could cobble something together, but the sellers took too long to get their doc.s back so remote chance became no chance.

 

[alohatok1986]

Thank you all! That helps.

 

[Nursemanit]

I bid on fully stripped contracts - That way I lowball and have no stress about long closings or last min booking a 5 day trip in 4 resorts.

 

[Sandisw]

I would ask the seller to see if they can get a late bank exception because they are selling, assuming these are actual 2021 points, and not banked 2020 points sitting in the 2021 UY.