why would someone NOT bank their points?

[b-1]

I am looking at a resale with a june use year and the seller did not bank their 2010 points into 2011 ( deadline was Jan 31) and the seller listed it on feb 4.

It seems strange that if you were planning on selling your contract you would bank those points in order to get the most money for your contract.

Does that mean they didn't pay their member fees and therefore couldn't bank? might the contract be delinquent in some way?

 

[Chuck S]

Having been on the boards here for years, the truth unfortunately seems to be that many members have absolutely no idea how the program works for banking and borrowing, or to what their ownership actually entitles them.

But it may also possible that they are either behind in payments or some other balance, so their account is frozen and they are not allowed to bank.

 

[b-1]

WOW!

Its hard to understand when so much money is being spent on this product. You would think that people would be squeezing every last opportunity out of every last point!

Unfortunatly I cant use those points by may 31, which will change my idea of a good offer.

Could the sellers possible delinquency have any affect on my purchase?

 

[Chuck S]

I think it is probably unlikely that being behind in payments is why the points weren't banked. But, if they are behind, just like in any other real estate sale, the current owners would need to pay any balance owed before closing.

 

[FindTheMickeys]

Could it also be that the seller actually USED their points one last time before they put them on the market?

 

[KAT4DISNEY]

It might just be that the listing is incorrect. I offered on a contract once that did not have the points listed correctly. When I received the contract they were a different UY than on the website and than what I had been told.

 

[JimMIA]

I'd call the broker and ask them why. If the owner simply forgot to bank, those points are of no value to you. However, if there is some kind of an issue with the account, that could really mess up your ability to actually complete the purchase.

I'd also ask whether there is any legal entanglement -- bankruptacy, divorce, etc. Those are not always fully disclosed by some brokers and can create real difficulties.

 

[psac]

We were looking at a contract that was up for sale, and not having been able to sell, the seller used their points instead of banking. They also actually used the current year points as well. Maybe one last hurrah? It was strange. We bought a different one.

 

[tjkraz]

Its hard to understand when so much money is being spent on this product. You would think that people would be squeezing every last opportunity out of every last point!

Why do people spend $20K+ on a car and then fail to maintain it properly (oil changes, etc.)?

Why do people refuse to floss or even exercise regularly despite knowing the likely outcome?

I agree that it's worth asking a few questions if you are contemplating an offer, but I wouldn't be the least bit surprised if apathy is the answer to your original "why" question.

 

[wcjoey43]

probably just forgot

 

[Sandisw]

Or, someone thought that the contract would be more valuable with points currently available.

I know if I was interested in the contract, I would put in an offer with the condition that the seller get the points banked. Being that we are so close to the deadline, I bet they could still get it done if they tried (and there was not a reason for them not being able to bank).

 

[b-1]

I've asked the broker to check into this further. I hope to get some answers quickly.

Thanks for all the great info on this board.

 

[sweetdana]

You could always rent them out. IE put offer in ect, and after ROFR add to rental board. At even 5-6$ a point that should be more than enough to cover dues, and make a profit. Heck if you get 8 or 9$ even better.. No idea how big your contract is.. but you could make back a few bucks you spent on it

 

[b-1]

I was thinking about renting the points out. I don't have to pay any fees on them so they could pay for my closing costs. The points would be very last minute because by the time I receive them (if all goes well...) it would be the beginning of april (or very late march) and the pts would only be good until may 31. This may be my best option...