It only applies to the timeshare units if you purchase from the Hilton dot com hotel reservation site. Hilton does get some of the TS inventory and rents for cash.
HGVC or RCI bookings dont pay the fee.
From the Club Rules:
Beginning the first day of the Open Season reservation window, Hilton Grand Vacations reserves the right to utilize accommodations for its own purposes including for exchange, inspection visits, promotions, rentals, special programs, or any other purposes in Hilton Grand Vacations’ sole discretion. Additionally, when a Member exchanges their ClubPoints for benefits or services other than Affiliated Resort accommodations, such as ClubPartner Perk reservations or HHonors points, Hilton Grand Vacations must pay the third party for the Member’s use thereof. As such, Hilton Grand Vacations, in its sole discretion, may rent or otherwise use the accommodations relinquished by that Member or other unused inventory to cover the cost of such third party benefits and services. Additionally, inventory owned by a developer or an affiliated resort and not yet sold, may be made available for reservation by Members or used by the developer for any purpose including but not limited to, exchange, rental, Elite privileges and promotional purposes."
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