When you are buying a Wyndham Vacation Club ownership, understanding the developer estoppels form can be very confusing to consumers. Specialized terms may be unfamiliar and can cause confusion about what is actually being transferred. It’s very important for a buyer to ensure that you fully understand what type of Wyndham Vacation Club timeshare points are going to be available to you in your first use year after closing- and how your future usage can be impacted by the point designations shown.
As part of the transfer process, your closing agent should provide you with a copy of the completed estoppels form. This document can also be called an ownership and financial verification form. An estoppels for a timeshare ownership is quite different from the estoppels request common to traditional real estate. In a residential closing, the estoppels form normally contains loan payoff information from the current mortgage company. In a closing for a timeshare property, the estoppels form should provide you with a complete explanation and confirmation of the financial status of the property and also should provide you with a clear picture of the ownership details of the timeshare ownership being transferred.
For Wyndham Vacation Ownership transfers, the terminology used on estoppels forms is specific to this timeshare developer. On an estoppels form, there are five ways available points are classifield:
1. Regular Use Points – These are the traditional allotment of points given on the owner’s use year anniversary. These points expire on the next anniversary date. Deeded weeks that have been converted to Fairshare or Wyndham points will have the anniversary of Jan 1st each year. the use year anniversaries will vary for all UDI contracts (purchased as points and the deed itself shows the point allotment instead of a week and unit).
2. PIC points – These are Personal Interval Choice points which are given for a non-Fairfield or Wyndham resort week which is deposited into the owners Wyndham points account. The owners must have paid a PIC enrollment fee for each non-Wyndham ownership in order to have this opportunity. Points are available the same day the deposit is acknowledged by Wyndham, and will expire one year later. PIC privileges do not transfer on the resale or secondary market.
3. Credit Pool Points – Owners have the option of saving Regular Use Points that they do not plan to use during their usage year and rolling those points over to the next usage year. Standard owners must notify Wyndham of their intention to bank their upcoming year’s points prior to the beginning of their use year. In other words, they must bank their point allotment before it is received into their account. Gold level and higher VIP owners (VIP privileges do not transfer on the resale or secondary market) can deposit as late as six months after their use year begins. Credit pool points will expire three years after the date of deposit. Credit pool points do transfer to a new buyer via a resale or secondary market transaction.
4. Canceled points – These points result from a reservation that is canceled more than thirty days prior to the check-in date. These points must be used before the end of the current use year and they cannot be cannot be banked into a future use year (even if the VIP level would allow banking for regular use points). canceled points can be banked into an independent exchange system if there are enough points to reserve a full week, which is then deposited into the independent exchange. If there are not enough canceled points to reserve a full week, then the points must be used withing the Wyndham system before the use year expires or they are lost.
5. Limited points – A reservation that has been canceled thirty days prior or less to the check-in date will result in this point type. Limited points can only be used to book reservations up to 30 days in advance of the requested dates. These points must be used before the end of the current use year and they cannot be cannot be banked into a future use year. Generally, because of the limited time between the reservation and usage- these points must be used within the Wyndham system and cannot normally be deposited into a third party exchange. Limited points are generally considered to have very little value on the resale market.
Before finalizing any closing, you should always ensure that the estoppels matches up with the original purchase and sale contract- and that you will be receiving the point classification you expect.
Copyright (c) 2010 Richard Marquette
About The Author: Richard Marquette is the editor of the free online magazine Vacation-Times , which focuses on the timeshare and vacation ownership industry. To subscribe for free, please visit http://vacation-times.org/subscribe.html .