DVC Dues increses for 2013

[GoofGoof]

Breakage is one of those weird words. It can mean, of course, broken things. But it also means money received for cash rentals of unused timeshare units. It also can mean the penalty you can get for paying off a loan early. It is also used to mean money that stores make by selling gift cards that are then never used.

I have no idea why it means so many things or how the terms came about. The first time I saw it on my time share report I though that it meant charges for broken things as well. My reaction was the same "wow, a lot of people must be trashing the place"


-dave

I had heard the accounting term of breakage income for things like gift cards and in the telecommunications industry for unused services that were paid for. It's interesting that they carry that term over to timeshares. It generally means revenue with no associated expense which I guess applies in this case too. You learn something new everyday