TPU Combining Strategy?

[Carol C]

Wanting to maximize the value of TPUs by combining them, with individual values from 3 TPUs to 22 TPUs. If I combine em all now, it will cost "only" 99 bucks but the expiration will be Nov 2013. I'm thinking of combining some and then another bunch in 6-8 months.

What have TUGgers done to have a good stock of TPUs combined into one deposit? Is a deposit of, say, 32 TPUs enough to get most good exchanges (excluding, say, DVC and Manhattan Club)?

TIA for advice from folks who've combined deposits a few times & have developed strategies of a sort. Appreciate it!

 

[JeffW]

Wanting to maximize the value of TPUs by combining them, with individual values from 3 TPUs to 22 TPUs. If I combine em all now, it will cost "only" 99 bucks but the expiration will be Nov 2013. I'm thinking of combining some and then another bunch in 6-8 months.
...!

An easy question - are there any other TPU's you'd combine before Nov 2013? If yes, then you are good. While it might seem better to combine some now (before they expire), and some later (to stretch out the expiration date), the reality is, as long as you do another combination before that initial expiration date, you are good.

One complaint I've heard about 'super-combining' - all points into one deposit - is that you then only have one deposit to search against.

Exactly what you do depends on your travel plans:
- if you book one unit at a time, then maybe best to keep all points in one deposit
- if you search for multiple weeks at a time, you'll need multiple deposits

- if you go to Orlando off searson, you won't need a lot of points.
- if you want 2 bedrooms at Disney for summer, then you'll need deposits with close to 50 TPU's.


Thinking about it, I'm a little surprised RCI doesn't let you split a deposit to smaller units (ie. 50 TPU to 30 & 20), particularly for those times you might want to do multiple requests (though I'll admit, probably a rarity).

Jeff

 

[Carol C]

Thanks Jeff. I love your thought process! Now, a silly question but I honestly don't know...say I combine all the TPUs into one deposit expiring Nov 2013. If I don't use up all of that deposit by that date, can I combine leftover TPUs from that combo with another/new deposit (thereby extending the life of those really old TPUs yet again?)

 

[JeffW]

Yes. As long as you always get new TPU's (typically, from the allottment you get from new week(s) every year), you should always be able combine that with older TPU's. This should mean you should be able to extend points literally indefinitely.

Jeff

 

[Mel]

Thanks Jeff. I love your thought process! Now, a silly question but I honestly don't know...say I combine all the TPUs into one deposit expiring Nov 2013. If I don't use up all of that deposit by that date, can I combine leftover TPUs from that combo with another/new deposit (thereby extending the life of those really old TPUs yet again?)

Yes, and that's why it's a great idea for those who don't need to book more than one week at a time, or have more than one search running at the same time.

Say you have your 2010 -2012 weeks on deposit now. Your 2010 deposit will expire soon, so you combine it with the two other weeks. Your combined deposit will expire in 2 years. Around this time in 2012, when whatever is left of those TPU is set to expire, you have deposited your 2013 and 2014 weeks, which you than combine with those leftovers, and once again have 2 years to use them.

If you have multiple ownerships, you might combine some now, and wait a year and combine the rest then - alternating groups to combine, but allowing for 2 or more searches at a time.

While we've all talked about the ability to extend the life of TPU past their original expiration this way, the reverse holds true too! I can deposit a December 2013 week today, and I can use it in a search, but I can't confirm anything with a start date before December 2012. If I combine it with something else (including another December 2013 week), I can now confirm anything in the next 2 years! So now RCI weeks members can borrow forward 2 years, rather than just 1!

 

[Carol C]

Yes, and that's why it's a great idea for those who don't need to book more than one week at a time, or have more than one search running at the same time.

Say you have your 2010 -2012 weeks on deposit now. Your 2010 deposit will expire soon, so you combine it with the two other weeks. Your combined deposit will expire in 2 years. Around this time in 2012, when whatever is left of those TPU is set to expire, you have deposited your 2013 and 2014 weeks, which you than combine with those leftovers, and once again have 2 years to use them.

If you have multiple ownerships, you might combine some now, and wait a year and combine the rest then - alternating groups to combine, but allowing for 2 or more searches at a time.

While we've all talked about the ability to extend the life of TPU past their original expiration this way, the reverse holds true too! I can deposit a December 2013 week today, and I can use it in a search, but I can't confirm anything with a start date before December 2012. If I combine it with something else (including another December 2013 week), I can now confirm anything in the next 2 years! So now RCI weeks members can borrow forward 2 years, rather than just 1!

Wow, really good point you have Mel! So glad you and Jeff both posted, because I didn't really read that long TPU thread when that system was launched by RCI. I know now what I want to do, so thanks to you both for your time and savvy advice.

 

[abdibile]

I really like to have several lines of deposits to do more than one ongoing search and put several units on hold without having to cancel ongoing searches.

So my strategy is to always only combine a deposit shortly before it expires with the deposit that expires next (or sometimes with another deposit that expires e.g. 2 months later when doing otherwise would lead to a very small and a very big line of deposit).

I currently have 8 lines of deposit and get 2 new ones every year (sold most of my RCI weeks as I have too many TPU anyway).

So my main problem is to have enough deposits to combine without ending up with just one big deposit line with several 100 TPUs.

Now the situation is as follows:

March 2012 I have a 1 TPU leftover expire, May 2012 a 3 TPU leftover and then November 2012 a 17 TPU unit. I ahve several combined deposits of 50-80 TPU each expire in 2013.

As my goal is always to have enough deposits to combine (without ending up with too few deposit lines) my rule would lead to combining the 1 and 3 TPU to get a 4 TPU to use to combine again in March 2014.

But somehow it does not feel right to pay a combine fee just to get a 4 TPU deposit (that is useless besides using it to combine agaian two years later).

But as I only have 2 new deposits every year, what would be the cost of the alternative to get another deposit to use for combininga again in 2014? Another purchase price (probably $1) plus annual maintenance fee of way more than the deposit fee I would now pay for combining the 1 and 3 TPU. Plus I would be left with another maintenance fee comittment.

Any thoughts on this?

 

[Mel]

I would combine th 1,3 and 17 for a single 21 TPU line. That keeps you from losing them, and solidifies that 17. In effect you would be combining those 4 points with the leftover from whatever you get with the 17.

You might want to map out a plan, so you know when and what to combine.

 

[abdibile]

Obviously in terms of cost per point it would make sense to combine more than two deposits or even leave these small deposit lines expire (as I have way too man ypoints anyway.

But let us assune the following situations:

1 TPU expires March 2012
3 TPU expire May 2012
17 TPU expire November 2012
100 TPU expire May 2013
80 TPU expire February 2014

and there are no timeshares owned that would give aditional deposits in the future. This is about my situation when not looking at 4 deposit lines with around 60 TPU each that I can combine with my four new deposits I get every two years and therefore can extend these 4 lines forever)

If I leave the 1+3 deposits expire, I have to combine:

17+100=117 in November 2012
117+80=197 in February 2014 (destroying 22 months of life of the 117 combined deposit)

and end up with just one really big deposit of 197

If I do this:

1+3+17=21 in March 2012
21+100=121 in May 2013
121+80=201 in February 2014

I paid one more excchange fee and still end up with just one really big deposit of 201 the same time as above

But if I do:

1+3=4 in March 2012
17+100=117 in November 2012 (ouch, still wasted some time from a big deposit)
4+80=84 in February 2014

I wwould at least still have 2 nice deposit lines in February 2014 and the "problem" was postponed to November 2014

Does it make sense now to combine just 1 and 3 TPU?

 

[bellesgirl]

abdibile,
Aren't you planning on making any exchanges in the next couple of years? This will whittle away at those big deposits. I had a 56 and made four exchanges this year with it. It is now down to 2. I plan to combine it with other small leftovers plus a larger one to get enough to exchange into Manhattan Club in 2013.

Also, you will have new deposits added each year over the next two years which you can combine late. I would do 1+3+17 and make 21, which is a nice value and can get you some decent exchanges (maybe 2 or more).

 

[MichaelColey]

I would do 1+3+17 and make 21, which is a nice value and can get you some decent exchanges (maybe 2 or more).

I'm not sure I would do that, unless I had a specific exchange I wanted to do that was between 18 and 21 TPU, or if the 17 TPU deposit was expiring very soon. You would essentially be paying $99 to increase a 17 TPU deposit to 21. I would just let the 1 and 3 TPU deposits expire, if I wasn't already combining something else that would make it more worthwhile.

 

[Carol C]

Obviously in terms of cost per point it would make sense to combine more than two deposits or even leave these small deposit lines expire (as I have way too man ypoints anyway.

But let us assune the following situations:

1 TPU expires March 2012
3 TPU expire May 2012
17 TPU expire November 2012
100 TPU expire May 2013
80 TPU expire February 2014

and there are no timeshares owned that would give aditional deposits in the future. This is about my situation when not looking at 4 deposit lines with around 60 TPU each that I can combine with my four new deposits I get every two years and therefore can extend these 4 lines forever)

If I leave the 1+3 deposits expire, I have to combine:

17+100=117 in November 2012
117+80=197 in February 2014 (destroying 22 months of life of the 117 combined deposit)

and end up with just one really big deposit of 197

If I do this:

1+3+17=21 in March 2012
21+100=121 in May 2013
121+80=201 in February 2014

I paid one more excchange fee and still end up with just one really big deposit of 201 the same time as above

But if I do:

1+3=4 in March 2012
17+100=117 in November 2012 (ouch, still wasted some time from a big deposit)
4+80=84 in February 2014

I wwould at least still have 2 nice deposit lines in February 2014 and the "problem" was postponed to November 2014

Does it make sense now to combine just 1 and 3 TPU?

Since you said you have more TPUs than you really need, why not just waste the 1 and 3? Of course I'm not mathematically-inclined, so all that math would make me nuts & I'd ultimately waste the stragglers likes 1-5 TPU. JMHO

 

[JeffW]

I agree with others. When you are looking at ~200 TPU's, paying $99 to preserve 1-4 points doesn't seem cost effective.

Jeff