There is a lot to watch out for in the world of timeshares. If you are going to become – or remain – a timeshare owner and have a good experience, you need to be sure to watch out for some of the scams that revolve around this industry. By knowing what to watch for and what to expect, you can make decisions that will protect yourself and your family.
The article below highlights some of the things to pay attention to with regard to timeshares. You’ll have to make the decision for yourself if you want to get involved with a timeshare, or if you want to stay involved with one you already own, but arming yourself with the information below should make it easier to arrive at a balanced, reasonable decision on this matter.
1. Upgrade Offers
This first one on our list actually applies specifically to people who are already timeshare owners. Once you purchase a timeshare and start to pay your ongoing fees to maintain that account, you likely think that you are done with your purchases from the developer. That’s not how it often goes, however. In many cases, the first purchase to buy into the timeshare is only the starting point, and plenty of other sales pitches will be made moving forward in an attempt to get you to upgrade your membership to unlock additional perks.
Those perks can vary from one situation to the next, but will often include things like access to nicer rooms or different properties, preference with regard to booking, or even reduced fees on your account. However, as with so much in the timeshare world, all is not always as it seems, and you might quickly find that you regret paying for this “upgrade” shortly after the deal is finished. Rarely do the benefits of upgrading your account add up in terms of what you had to pay, so you’ll probably feel like you would have been better off keeping your money all along.
2. Resale Scams
There is a whole ecosystem around the timeshare industry that extends far beyond just the timeshare developers themselves. Included in that ecosystem are companies that offer to sell your timeshare to get you out of the contract and earn you money at the same time. While not all resale offers are scams, it’s wise to be quite wary when entering into an agreement that offers this service.
The primary risk here is paying an upfront price to a resale company that won’t wind up being able to sell the timeshare in the end. If that happens, you are out the money that you paid to the reseller and you are still stuck with the timeshare. If you are going to agree to have a third-party attempt to sell your timeshare, it’s important that you do so without paying anything upfront for that service. Only consider working with a company that is going to get paid on a percentage or fee basis after the deal is done – and even then, be cautious and do your homework just to be safe.
3. Bait-and-Switch Presentations
This is perhaps the biggest complaint that people have about the timeshare industry as a whole. The experience that is presented to potential timeshare buyers as what they will enjoy after they become a member commonly turns into something very different once the membership experience gets started. Some presentations are more honest and forthright than others, but many people feel what they are told while the developer is pursuing a sale is not what they find after making a purchase.
One example of this issue is the trouble that many owners have finding available times to book after they purchase a timeshare. In the presentation, there is rarely – if ever – talk about how competitive it will be to book a spot at the best properties during the best times of the year. All of the images and videos show people having fun in the sun at a beachfront resort, but will you be able to get that spot year after year? Or are there too many other owners in the system to make it realistic for you to get such a great reservation? Plenty of timeshare owners later try to get out of their ownership contract specifically because they aren’t able to make reservations easily when and where they want them.
4. Misleading Gift Offers
The standard method for getting people to agree to sit in timeshare presentations is by offering them a gift of some kind. In some cases, this gift is pretty straightforward, like a gift card to a restaurant in the area, or even a physical product. In other cases, the timeshare developer might be offering a couple of nights – or more – at one of their properties in exchange for taking the time to listen to their sales pitch. When executed fairly, there is nothing wrong with the exchange of goods or services for the time of people who might be interested in buying a timeshare.
Unfortunately, many people have had the experience of agreeing to sit in a timeshare presentation only to find that it’s not as easy as they expected to get that gift. These kinds of sales presentations can drag on for many hours, and when people ask about getting their gift, so they can leave, those questions will often be put off and drug out as long as possible. In some cases, the gift will prove nearly impossible to receive, or it will require that people jump through so many hoops along the way that they finally just give up and leave empty-handed.
5. Fraudulent Exit Companies
Good timeshare exit companies can provide an outstanding service for their clients – but they aren’t all good. Some companies in this space are only trying to make a quick dollar and won’t wind up providing any results for the money you spend. As we mentioned earlier with regard to resale companies, the key here is to avoid paying upfront for services that haven’t yet been rendered. Instead, work with an exit company that offers an escrow service to hold your money while they work on the case. That’s a better path and will prevent you from being scammed.
6. Rental Income Offers
The idea of renting out some of your timeshare vacation time to other travelers in order to cover some of the costs of owning that timeshare is very appealing. As such, some companies will promote their ability to find renters for you in exchange for some of the revenue. Again here, this is where timeshare owners are often left disappointed.
Despite the bold claims made by many of these companies, it’s often the case that they have far too much rental inventory and not nearly enough interested renters to bring in meaningful revenue. If you are going to try to take the rental route in order to make some money back on your timeshare ownership, do it cautiously and only work with reputable companies.
7. Unsolicited Sales Pitches
Sometimes, it seems like timeshare scams come out of the clear blue sky. You aren’t looking for information on timeshares, or even traveling to a place where timeshares are common – only to suddenly get a message on your phone or through an email that is trying to pitch you a timeshare purchase. Often, these unsolicited pitches come along with special offers or gifts, as we talked about above.
Of course, you are free to simply decline these pitches, but the salespeople behind them are often quite skilled and experienced, and it can be hard for some people to say no. Always think twice about agreeing to buy something – or even hear about something – that you weren’t interested in until an offer came to you out of nowhere.
8. Unnecessary Rescission Services
The last entry in our list of timeshare-related scams has to do with services that will help timeshare buyers use the rescission period to get out of their purchase. This period of time – which varies from place to place, but is often about a week – provides buyers with an easy way out if they have second thoughts shortly after buying a timeshare.
The problem with these services is this – they aren’t really necessary. Almost any buyer can utilize this cooling-off period on their own, simply by contacting the developer directly and informing them of their desire to cancel the contract. Paying for rescission services just isn’t needed in the vast majority of cases and will simply be a waste of money.
Looking for a Way Out
If you are already a timeshare owner and you decide that you would like to look for a way out of that experience, timeshare exit companies may be able to help. To seek one that is going to fit your needs, take a moment to contact us today at 833-416-8796. You can also use our live chat feature to get in touch. We would love to work with you on this matter and help you to find a partner that can seek the resolution you desire. Let’s get started right away!