Diamond Resorts wants me to switch to points (For a fee)

[Nitro882 Junior Member Find all posts View Profile Close Nitro882]

What is the deal with Diamond Resorts switching to a points based system?
We own a 2 bedroom unit at The Villas at Polo Towers in Las Vegas and tonight we received a call that said a represenative in our area wants to explain the new points system to us. It took me about 2 seconds to figure out they wanted to sell me something. Has anyone else been approached?

Thanks in advance

[Spence Super Moderator Find all posts View Profile Close Spence]

Welcome to TS4Ms!!!

What is the deal with Diamond Resorts switching to a points based system?
We own a 2 bedroom unit at The Villas at Polo Towers in Las Vegas and tonight we received a call that said a represenative in our area wants to explain the new points system to us. It took me about 2 seconds to figure out they wanted to sell me something. Has anyone else been approached?
Thanks in advance

Your 'economics' post has been moved to the more appropriate DRI forum. If you read the posts here, you'll understand that DRI bought the old Sunterra a year and a half ago and folded their one resort, Polo, into the points system that existed with Sunterra. Of course they want to sell you something, that's how they make money and keep the system going. Most will agree that the points system provides a more flexible option. Read the posts in this forum and decide for yourself.

[dougp26364 Senior Member Find all posts View Profile Close dougp26364]

They've been approaching people for some time. We switched to points several months ago. Our primary consideration was that Vegas was becoming overbuilt, there were hundredes (thousands) of new units that exchange with I.I. being built right by us, there are rumors that the company who owns the land in front of PT's is negotiating to buy out the height restriction (words from the companies own mouth) and then there's the most recent recurance of legionaire's at Polo Towers which is bound to affect exchange power.

The points based system is Sunterra's old Sun Options program. They'll want to charge you a joiner fee (was $2,995) and there is an additional $255/year club dues charged on top of your regular MF's. THE Club does include Gold membership with I.I. as part of the package. Internal exchanges within THE Club are at no charge. You can use points to buy airline vouchers on AA, rent cars, off set MF's and/or club dues, buy ff miles et...

We joined because we no longer stay at Polo Towers. Between our Villa's and Suite's unit, I'm allocated enough points for two 2 bedroom I.I. exchanges and can use the remainder of the points to offset our MF's at a value of a nickel per point (plus a transaction fee). If we were going to keep our PT's units it made sense for us to join THE Club.

[Nitro882 Junior Member Find all posts View Profile Close Nitro882]

So what will happen if I don't shell out the extra cash and join the point system?
I have never stayed at my home resort we have traded the last three years. Will I no longer be able to exchange a week for a week?

[Spence Super Moderator Find all posts View Profile Close Spence]

So what will happen if I don't shell out the extra cash and join the point system? I have never stayed at my home resort we have traded the last three years. Will I no longer be able to exchange a week for a week?

The problem is that the saleswoman may often stretch the truth to try to entice/force you into points. Your ability to trade with your exchange company or any independent should not change. What may change is when more and more owners convert to points your ability to use the 'float' option of your membership may be reduced as there are less owners in the non-points side.

[dougp26364 Senior Member Find all posts View Profile Close dougp26364]

So what will happen if I don't shell out the extra cash and join the point system?
I have never stayed at my home resort we have traded the last three years. Will I no longer be able to exchange a week for a week?

Life will go on as if nothing ever happened. You should always be able to exchange your weeks in I.I. or one of the alternative exchange companies (SFX for example). The only thing is you may be subject to the fluctuations in the exchange value assigned to Polo Towers by I.I. or any other exchange company. If there's an oversupply of units, exchange value goes down.

I was worried that, with the build out of both Marriott's Grand Chateau and Westgate's Planet Hollywood Towers, both of with will have FAR supperior amenities than Polo Towers and essentially the same location, Polo Towers exchange power would fall from what I was accustomed. I felt that the overall even trading power of THE Club's point based system would serve me better for the next several years.

It's really a judgment call and it's just my opinion. Only time will tell if being in the points system of THE Club works out better for exchanging or if I should have just left well enough alone and remained exchanging in the weeks based system.

My personal situation is probably much different than yours. I felt like I needed the flexablity of points. For us, it will work out better than if we'd remained just weeks based owners. For 2009 I'll hold out 13,000 points for two exchanges and use the rest to offset our MF's. If all I owned were weeks, I couldn't do that.

[Nitro882 Junior Member Find all posts View Profile Close Nitro882]

Thanks for the replies. I know that the sales pitch is rarely the reality. I will just try to get as much info as I can so I am as informed as possible. It irritates me that that I would have to shell out more cash. The MF has been steadily rising every year as well.

[Spence Super Moderator Find all posts View Profile Close Spence]

Thanks for the replies. I know that the sales pitch is rarely the reality. I will just try to get as much info as I can so I am as informed as possible. It irritates me that that I would have to shell out more cash. The MF has been steadily rising every year as well.

More cash is inevitable, the points program is infinitely more flexible and for enough points is well worth a flat conversion fee of $2995 that used to be the norm and was offered to all Polo owners when Diamond folded polo into THE Club.

[dougp26364 Senior Member Find all posts View Profile Close dougp26364]

Thanks for the replies. I know that the sales pitch is rarely the reality. I will just try to get as much info as I can so I am as informed as possible. It irritates me that that I would have to shell out more cash. The MF has been steadily rising every year as well.

Actually, I believe it's just been the last two years that have seen double digit percentage increase in MF's. I'd have to look back at my invoices but it seems to me that the HOA/BOD had kept the MF's level for 2 or 3 years in part by cutting funding for the cash reserve fund. IMO, that's a BIG mistake and will cost owners somewhere down the line

More cash is inevitable, the points program is infinitely more flexible and for enough points is well worth a flat conversion fee of $2995 that used to be the norm and was offered to all Polo owners when Diamond folded polo into THE Club.

I the OP owns two 2 bedroom Villa's units, that will translate into 28,000 THE Club points. That's 4 two bedroom exchange with I.I. with 2,000 points left over to carry forward to next year or, use in anyother way DRI would allow 2,000 points to be used.

[T. R. Oglodyte Moderator Find all posts View Profile Close T. R. Oglodyte]

Actually, I believe it's just been the last two years that have seen double digit percentage increase in MF's. I'd have to look back at my invoices but it seems to me that the HOA/BOD had kept the MF's level for 2 or 3 years in part by cutting funding for the cash reserve fund. IMO, that's a BIG mistake and will cost owners somewhere down the line

I just got my annual statement from Winners Circle. I haven't run the numbers, but it looks like a double digit percentage increase there. And that is a resort firmly in the hands of owners, with a strong HOA board and what seems to me to be a pretty efficient operation.

[dougp26364 Senior Member Find all posts View Profile Close dougp26364]

I just got my annual statement from Winners Circle. I haven't run the numbers, but it looks like a double digit percentage increase there. And that is a resort firmly in the hands of owners, with a strong HOA board and what seems to me to be a pretty efficient operation.

Right now, it looks like it's going to be hit or miss with our resorts. It appears that our Marriott and Hilton ownerships won't have that large of increases percentage wise but, Polo Towers was 12% and 14% and I'm anticipating our Branson resorts to have larger increases this year over last based on a HOA/BOD management letter sent out several months back.

It would be nice to know if all DRI resorts are having double digit increases. All I can honestly say I've seen are Polo Towers, Greensprings and Powhattan.

BTW, I made a mistake in a post above. Villa's 2 bedroom units are 14,500 THE Club points. So if the OP owns two 2 bedroom Villa's, that's 29,000 total points or 13,000 points for two 2 bedroom exchanges and 16,000 points left over. If the 16,000 points were put toward MF's or Club dues, that would be $800 off the MF's and still have two 2 bedroom exchanges for the year.

[Bill4728 Super Moderator Find all posts View Profile Close Bill4728]

With the DRI system, you must buy additional points from DRI to get your current weeks into the "club" where you can use your points.

But there are other point systems out there were you can buy points from current owners for pennies on the dollar. SO, IMHO, if you want the flexability of points, buy into a point system which allows resale buyers to use points in their system. For the same $3000 that Diamond wants, you could buy 4-6 weeks of TS points in Wyndham. ( My BIL just bought 1 week in the Shell point system for $100.00 )

[dougp26364 Senior Member Find all posts View Profile Close dougp26364]

With the DRI system, you must buy additional points from DRI to get your current weeks into the "club" where you can use your points.

But there are other point systems out there were you can buy points from current owners for pennies on the dollar. SO, IMHO, if you want the flexability of points, buy into a point system which allows resale buyers to use points in their system. For the same $3000 that Diamond wants, you could buy 4-6 weeks of TS points in Wyndham. ( My BIL just bought 1 week in the Shell point system for $100.00 )

DRI has been making exceptions with Polo Towers owners. Polo Towers was the only resort managed by DRI before they bought out Sunterra. Not long after the buy out, DRI announced Polo Towers as the newest member to THE Club (then Sunoptions). In order to encourage PT's owners to actually join THE Club so that DRI had inventory for internal exchanges, DRI started offering Polo Towers owners the opportunity to join without buying additional points.

It had been rumored that this "one time deal" had run it's course and wasn't being offered anymore. Apparently, over 1 year after the merger they're still going through their owners list and offering this deal. For a little while this deal was extended to all resale purchases but, I believe that's history as well and that all others are having to buy additional points to join as you pointed out.

[Nitro882 Junior Member Find all posts View Profile Close Nitro882]

DRI has been making exceptions with Polo Towers owners. Polo Towers was the only resort managed by DRI before they bought out Sunterra. Not long after the buy out, DRI announced Polo Towers as the newest member to THE Club (then Sunoptions). In order to encourage PT's owners to actually join THE Club so that DRI had inventory for internal exchanges, DRI started offering Polo Towers owners the opportunity to join without buying additional points.

It had been rumored that this "one time deal" had run it's course and wasn't being offered anymore. Apparently, over 1 year after the merger they're still going through their owners list and offering this deal. For a little while this deal was extended to all resale purchases but, I believe that's history as well and that all others are having to buy additional points to join as you pointed out.

This is the first we have heard of it .

[dougp26364 Senior Member Find all posts View Profile Close dougp26364]

This is the first we have heard of it .

DRI called us and offered us this deal maybe 9 or 10 months ago. I know that Winger on this site was offered this deal before they called us. I got quite a bit of information from him that gave me more time to think about what we might want to do when they finally got around to calling us.

I'm not 100% certain the offer has remained the same. For us, it was a flat fee of $2,995 to join THE Club with our Polo Towers units. Those rules may or may not have changed.

For us, our Villa's unit, which was always a floating unit, converts each year autmatically to DRI point. On the other hand, our Suite's unit, which is a fixed week, fixed unit contract, gets reserved for us automatically each year and I have to call DRI and release the reservation to convert it to points. Sort of odd that I have the option on the Suites unit to convert it to points but not on the Villa's if you ask me but, in the long run it doesn't matter to us. We stopped using Polo Towers for personal stays a couple of years ago. Mostly because we no longer go to Vegas multiple times each year and, when we do go, we prefer the amenities and units at our Hilton and Marriott ownerships. So they've become strictly exchangers for us.