HICV Conversion - Major Cost Increase

[skotrla]

Effective 4/11/17, HICV is changing their resale conversion policy - they will not convert any resale units to points or give status to resale points without an equivalent retail points purchase from HICV. The price quoted has been $0.20/point (so $200K to convert or get status from 1M points in units) - people get retail deals all the time for $0.14/point, so I don't know if this means they will give you the option of paying the lower price or converting unit, or if $0.20/point is just a starting point and a lower point package would still convert units and grant status.

If anyone closes with HICV on a conversion deal after 4/11/17, please post the details so that others can learn from your experience and adjust their plans accordingly.

Thanks,

Scott
Owner, HICV Google+ Group

 

[paulwil1]

I don't know whether I got a good deal or not, but I just converted my red, fixed week at Oak N' Spruce to points. The sales manager said they were converting my week to 120,000 points for "free", and in addition I had to buy another "red" week (not sure what the designation is) for $18K. Does that mean that I paid $0.18 per point for the 2nd week? I suspect that the conversion of my existing week was not really "free"; so if I bundle that week as well, does that lower my overall cost per point?

 

[silentg]

What if you refused? Does this mean two Maintenence fees?

 

[skotrla]

I don't know whether I got a good deal or not, but I just converted my red, fixed week at Oak N' Spruce to points. The sales manager said they were converting my week to 120,000 points for "free", and in addition I had to buy another "red" week (not sure what the designation is) for $18K. Does that mean that I paid $0.18 per point for the 2nd week? I suspect that the conversion of my existing week was not really "free"; so if I bundle that week as well, does that lower my overall cost per point?

How many points is the new units?

-Scott
Owner, HICV Google+ Group

 

[paulwil1]

Sorry, I got my numbers mixed up. The old unit is 100,000 points and the new unit is 120,000 points, which between the old and new unit gives me a total of 220,000 points.

On another subject, I noticed in the Addendum to the Contract regarding my existing fixed week 33 unit that I am agreeing to pay maintenance fees using a revised assessment method. According to the addendum that revised method will result in my annual maintenance for the current year (2017) being $694, which is $52 less than I paid in maintenance to Silverleaf Resorts. Obviously, 2017 looks better using this revised assessment method, but should I be concerned about future years. I can't see in the contract where they explain revised assessment methodology. Will look further in the mound of documents I signed and received.

Thanks,
Paul

 

[paulwil1]

What if you refused? Does this mean two Maintenence fees?

Yes, 2 maintenance fees. That was not explained in the initial sales pitch. It was only when we got to signing papers that I realized I was being sold an additional week.

 

[TUGBrian]

well, thats certainly disappointing and will tank an already valueless resale market for HICV

 

[paulwil1]

Sorry, I got my numbers mixed up. The old unit is 100,000 points and the new unit is 120,000 points, which between the old and new unit gives me a total of 220,000 points.

On another subject, I noticed in the Addendum to the Contract regarding my existing fixed week 33 unit that I am agreeing to pay maintenance fees using a revised assessment method. According to the addendum that revised method will result in my annual maintenance for the current year (2017) being $694, which is $52 less than I paid in maintenance to Silverleaf Resorts. Obviously, 2017 looks better using this revised assessment method, but should I be concerned about future years. I can't see in the contract where they explain revised assessment methodology.

How many points is the new units?

-Scott
Owner, HICV Google+ Group

Paul

Okay, I went back to the sales office and got clarification on what the story if on the revised assessment method. It turns out that Silverleaf was charging everyone the same maintenance fee at Oak N' Spruce regardless of unit level. HICV, according to the young woman I spoke with, has implemented a policy of charging that incorporates different level types. Some people lose out in this manner (i.e. members with Ambassador or Presidential level units in that their MFs have/will go up - sometimes dramatically. Others like myself with smaller units will see their MFs go down. My maintenance fee has gone down, and will be based on this revised amount stated in the conversion document addendum to the contract. So that means I will be paying $694 per year for my converted week, rather than the $746 I was paying to Silverleaf. I fully expect the maintenance to go up, but hopefully it will be in the 2% range it had been going up under Silverleaf.

 

[skotrla]

Sorry, I got my numbers mixed up. The old unit is 100,000 points and the new unit is 120,000 points, which between the old and new unit gives me a total of 220,000 points.

On another subject, I noticed in the Addendum to the Contract regarding my existing fixed week 33 unit that I am agreeing to pay maintenance fees using a revised assessment method. According to the addendum that revised method will result in my annual maintenance for the current year (2017) being $694, which is $52 less than I paid in maintenance to Silverleaf Resorts. Obviously, 2017 looks better using this revised assessment method, but should I be concerned about future years. I can't see in the contract where they explain revised assessment methodology. Will look further in the mound of documents I signed and received.

Thanks,
Paul

$18K for 120K new points is $0.15/point, but as you said, you got a conversion as well. You can buy low maintenance points resale units for about $0.02/point, so you could have paid about $4.4K for 220K resale points instead of $18K for 220K retail points (including conversion).

-Scott
Owner, HICV Google+ Group