Timesharetalk

Timeshare Industry => RCI => Topic started by: Suebe on February 10, 2011, 07:22:10

Title: Exchange opportunities with RCI
Post by: Suebe on February 10, 2011, 07:22:10
I have been looking for exchanges for the last couple of months in both the RCI Points and RCI Weeks systems - looking for some winter sun in December. In the points system, we are now getting to that period (10 month window) but I have noticed that there is very little availability in areas such as Spain, Portugal and Canary Islands. In the RCI weeks system there is even less. Throughout the whole of 2011 the number of resorts/units in various areas of the world are very limited and can be counted in 10's.

I decided to have a look at the Extra Holidays section where you can pay to obtain a week. I was totally amazed by the choice that was available - 100's of weeks at the same locations at the same time of year as I had been looking in the exchange system. I know that ex-employees of rCI have reported that weeks are creamed off from the exchange system so that they can be rented out, and there was a court case in USA that was brought against RCI for renting out weeks that should have been in the exchange system. Not sure exactly what the outcome of that was - I think it was proved to be correct. But it does make you think!!! Or has RCI gone into some kind of rental scheme with the resorts so that they can rent out their surplus weeks(that they can't sell) via RCI.

Possible reasons:
RCI has lost exchange weeks, especially in Europe, because of the numbers of timeshare owners leaving the system (ever increasing fees, illness, etc)
RCI has lost exchange weeks, because members are leaving RCI (ever- increasing fees!) and using other exchange companies
RCI is helping out resorts who have lots of unoccupied weeks by setting up a rental system for them
RCI is finding it more lucrative to rent out accommodation

Sue
Title: Re: Exchange opportunities with RCI
Post by: Willself on February 10, 2011, 13:48:45
Suebe.

Almostly certainly, this is a wide spread practise! many of the bed-bank companies, are offering rentals
at, or below the maintenance fee's of club members.. several members here have pointed this out!!
Its a tough line to draw,..Clubs will benefit in numberous ways if they have Fuller-Resorts!! The Bars
and Restaurants will get used..etc..1 can see...both sides of the same-coin.
Title: Re: Exchange opportunities with RCI
Post by: Morpheus on February 10, 2011, 16:19:44
We have noticed a very large drop off in exchange options in the last year or so. Even asking for obvious hot-spots like Tenerife (Which we know well) has resulted in very limited options for exchanges.

During my last search (for my brother) there were really very few weeks in resorts we fancied at a time of year when we used to be spoilt for choice!

Oddly, DAE offered us better units in several resorts than RCI which has made us ask whether we should remove our last timeshare week from RCI too.
Title: Re: Exchange opportunities with RCI
Post by: Suebe on February 10, 2011, 17:11:18
Quote from: Willself on February 10, 2011, 13:48:45
Suebe.

Almostly certainly, this is a wide spread practise! many of the bed-bank companies, are offering rentals
at, or below the maintenance fee's of club members.. several members here have pointed this out!!
Its a tough line to draw,..Clubs will benefit in numberous ways if they have Fuller-Resorts!! The Bars
and Restaurants will get used..etc..1 can see...both sides of the same-coin.

I quite agree with you.  Full resorts with people spending money are much better than empty ones.  As long as these weeks are being filched from the exchange week inventory and affecting exchange opportunity for RCI members who have paid their membership fees.

Some of the rental prices being asked for these RCI Extra Holidays were high for those in season and were probably comparable to maintenance fees being paid. However, those out of season seemed to be a lot cheaper and quite possibly less than the maintenance fees being charged.  It is all market and demand led.


Title: Re: Exchange opportunities with RCI
Post by: Carolinian on March 15, 2011, 10:56:28
Of course, when they are flooding the market with new rental inventory, as RCI is doing when they divest exchange deposits to rentals, the excess supply tends to drop the market price.   That hurts the resorts as it encourages members to bail out when they can rent cheaper and it hurts the timeshare owner who may want to rent his own week.

In addition to rentals to members, RCI has lots of outlets for rentals to the general public, and this discourages people from buying timeshare in the first place.  The ultimate flexibility is cash, and when you can rent cheaper than buying and paying m/f's, they why buy?

RCI's rental practices are VERY destructive to timesharing.  It is one reason that resorts should encourage their members to use other exchange companies.


Quote from: Suebe on February 10, 2011, 17:11:18
Quote from: Willself on February 10, 2011, 13:48:45
Suebe.

Almostly certainly, this is a wide spread practise! many of the bed-bank companies, are offering rentals
at, or below the maintenance fee's of club members.. several members here have pointed this out!!
Its a tough line to draw,..Clubs will benefit in numberous ways if they have Fuller-Resorts!! The Bars
and Restaurants will get used..etc..1 can see...both sides of the same-coin.

I quite agree with you.  Full resorts with people spending money are much better than empty ones.  As long as these weeks are being filched from the exchange week inventory and affecting exchange opportunity for RCI members who have paid their membership fees.

Some of the rental prices being asked for these RCI Extra Holidays were high for those in season and were probably comparable to maintenance fees being paid. However, those out of season seemed to be a lot cheaper and quite possibly less than the maintenance fees being charged.  It is all market and demand led.
Title: Re: Exchange opportunities with RCI
Post by: Louise on March 18, 2011, 20:11:56
Hi Sue,

I own two separate RCI accounts: one is an RCI weeks only account  and the other is an RCI points account. Searching with the weeks only account I can see 481 weeks available at 43 resorts for Dec 2011 on Teneriffa. The same search with my points account (weeks affiliated resorts) gives a result of only 96 weeks at 15 resorts! Same thing for other months and destinations. So there are a lot of weeks in the RCI spacebank, but it looks like many are not available to points members. I pay two fees to RCI, but it seems to be worth the money the way things are now.

I really don't understand this huge difference in availabilty between weeks and points members.

Loes
Title: Re: Exchange opportunities with RCI
Post by: Suebe on March 23, 2011, 12:16:54
Quote from: Louise on March 18, 2011, 20:11:56
Hi Sue,

I own two separate RCI accounts: one is an RCI weeks only account  and the other is an RCI points account. Searching with the weeks only account I can see 481 weeks available at 43 resorts for Dec 2011 on Teneriffa. The same search with my points account (weeks affiliated resorts) gives a result of only 96 weeks at 15 resorts! Same thing for other months and destinations. So there are a lot of weeks in the RCI spacebank, but it looks like many are not available to points members. I pay two fees to RCI, but it seems to be worth the money the way things are now.

I really don't understand this huge difference in availabilty between weeks and points members.

Loes


Hi louise

I don't understand how they work either, apart from optimising their profit at the timeshare owners expense I think.  A few weeks after posting here, I went back online and found a lot more weeks available with the Weeks Exchange bank than previously!   will keep monitoring the situation to see if there any noticeable trend.  Perhaps that is when you checked a found quite a lot of availability.

If it is resorts advertising unused weeks via RCi in the RCI Extra section then fine, but if these are coming from deposited weeks then RCi need to be taken to account. 

sue
Title: Re: Exchange opportunities with RCI
Post by: Carolinian on March 23, 2011, 20:32:48
Much of the rental inventory is indeed coming from exchange deposits.  The lawsuit in the US showed that. RCI employees posting on various sites have reported that. 

But the best evidence comes from sold out resorts where there is no developer to be giving inventory and the HOA certainly does not, but RCI is showing rental inventory availible.  There is only one place RCI could have gotten that inventory and that is deposits from members.  Indeed, at a resort where I was HOA president, our manager figured out how to tell the RCI inbound reports that were rentals, and they were all weeks in seasons where the resort was full, not off season.  We could also tell be our records that these were deposits from our individual members and in checking with some of them found that they were all deposited for straight RCI Weeks exchanges.

RCI is indeed looting the exchange pool for its rental operations.


Quote from: Suebe on March 23, 2011, 12:16:54


Hi louise

I don't understand how they work either, apart from optimising their profit at the timeshare owners expense I think.  A few weeks after posting here, I went back online and found a lot more weeks available with the Weeks Exchange bank than previously!   will keep monitoring the situation to see if there any noticeable trend.  Perhaps that is when you checked a found quite a lot of availability.

If it is resorts advertising unused weeks via RCi in the RCI Extra section then fine, but if these are coming from deposited weeks then RCi need to be taken to account. 

sue
[/quote]


Title: Re: Exchange opportunities with RCI
Post by: Simoncc on March 24, 2011, 11:38:44
Quote from: Louise on March 18, 2011, 20:11:56
Hi Sue,

I own two separate RCI accounts: one is an RCI weeks only account  and the other is an RCI points account. Searching with the weeks only account I can see 481 weeks available at 43 resorts for Dec 2011 on Teneriffa. The same search with my points account (weeks affiliated resorts) gives a result of only 96 weeks at 15 resorts! Same thing for other months and destinations. So there are a lot of weeks in the RCI spacebank, but it looks like many are not available to points members. I pay two fees to RCI, but it seems to be worth the money the way things are now.

I really don't understand this huge difference in availabilty between weeks and points members.

Loes


I could easily be wrong but I thought that the availability that RCI Points members saw on the 'standard reservation'  system was based on deposits made by fellow Points members. Points members can also make bookings through the weeks system by looking through a different part of the website. This would explain why there is the difference in the results you found.