If a DVC owner cancels a reservation made at a Disney Vacation Club resort more than thirty days prior to the reservation, those points are returned to the current use year. If a reservation is cancelled thirty days or less from the expected usage date those points are still returned to the current use year, but are now classified as Holding Points.
Holding Account Points can only be used to make reservation requests within a sixty day window of the desired check in date. Also, Holding points cannot be banked.
Likewise, if a member cancels a reservation made for a non DVC resort or activity (remember that these points became Reservation Points- and resale buyers cannot access Reservation Points), those points are returned to the current use year with limitations on their future use. Again, Reservation Points can only be used for reservations at non-DVC resorts.
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