Advantages&Flaws
From Vampire V5
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Backgrounds
Backgrounds describe advantages of relationship, circumstance, and opportunity: material possessions, social networks, and the like. Backgrounds are external, not internal, Traits, and the player should always rationalize how the character came to possess them, as well as what they represent. Who are your Contacts? Why do your Allies support you? Where did you meet your Retainers? What investments do you possess that yield your four dots in Resources? You don’t have to do all of that at first – but be ready with an answer when the Storyteller asks during play, or be ready to suggest an answer that ties into the ongoing storyline.
Backgrounds are discrete, not progressive, Traits. The same Background can be acquired multiple times.
Merits
Merits describe advantages and gifts inherent to the character: Physical, Mental, and Social. Although something could happen in the course of play to change them – especially once weird inexplicable magic gets unleashed – characters’ Merits remain fairly constant over the course of the story.