A couple of days ago I received a letter from MVC Corporate telling me that I had been flagged for being "commercial." The letter told me that my weeks would be unenrolled and that I would not be able to add another name to a reservation even if it was one of my kids or even if they were added at the time I made the reservation. Basically that my online account would cease to work and I would have to do anything by phone. The letter did say if I could prove that I wasn't renting they were willing to listen. The letter was also very direct in saying that this action only applied to my points, not my weeks, and that a "week" rental falls under how each hotel location decides to handle rentals.
I was told that these penalties would last one year. They track each account by how many name changes or additions have been made. This includes when you add a name at the time of reservation. The letter mentioned my name additions and changes based on more months than 12 which I found a little disingenuous because all the points reset every 12 months. I feel like they did this to make it look worse than it really is. I did have a phone call with corporate about all this.
When I reviewed my account, about 50% of my reservations were rentals. (I did have other name changes for my kids and friends on top of this.) This is 100% based on the fact that "sales people" told me I could rent out to help pay the dues. But I did use 50% and my argument was that if I was a commercial entity why would I use 50%. Corporate didn't care about any of this. So when a sales person tells you to buy more and rent out some to pay dues please do not believe it.
I specifically asked how "commercial" was defined and the initial response was that corporate can define it anyway they want. I did push back and was told that if I kept below 15-20 name additions or changes per year I would be ok. PLEASE keep in mind this includes anyone you add at the time of reservation. If you are renting a week they can tell it was a week rental and they do not count it.
Another flag is if you have a bunch of reservations at high value locations or dates such as Aruba, Crystal Shores, and Hawaii etc. and they will flag you even if you haven't exceeded 15-20 names. An example is you don't need 5 two bedrooms at Crystal Shores during spring break and all the name changes are different names. Also, I guess some will reserve a ton of reservations and then try and rent them out and if they don't rent they drop them 61 days out and I was told this makes it unfair to others. This is another thing they'll flag.
I brought up that I do have more than a normal amount of points etc but if I only rent 50% how does that compare to the smaller owner who rents 100%. Corporate really doesn't care that a small owner rents 100%. So my conclusion on the phone was that I am just too big. They are fine with large owners who use their points but if you need help paying the dues then you will be flagged.
At this point I am not sure what to do but I thought I'd post to help others out. And yes, I am being vague on somethings on purpose.
Take aways
1. If you don't use all your points each year, do not buy more at a sales presentation thinking you can rent them out.
2. I'd probably stay at 15 name additions or changes.
3. If you rent out a few, stay away from renting too many at the high value resorts or on high value dates.
4. If you rent out a week then none of this pertains to you. Renting weeks is controlled by your home resort.
5. I am in this boat because Marriott doesn't post what "commercial" means which I feel is unfair. "Don't cross this line but we aren't going to tell you what the line is and we are ok if our sale people tell you to cross the line.
6. I was told that Marriott can define "commercial" any way they want and all this is what I was told a week ago. BUT it could change. I wasn't given anything in writing other than the initial letter.
