Let’s make sure we are clear on the definition of what a timeshare scam is. Many times, people use the term timeshare scam when to describe situations that are not fraudulent at all. Having a timeshare is nice when it accommodates your lifestyle and vacation needs. However, a timeshare can become a bad idea when you run into an actual scam. Remember, the key thing about any scam is that it is designed to rip you off financially in some way. So, most timeshare scams are focused on taking your money via cancellation offers, reselling your timeshare and having aggressive salespeople.
Timeshare scams and maintenance fees
The maintenance fees have many people thinking that the timeshare arrangement is a scam. That’s because some report that they never knew about the maintenance fees when purchasing the timeshare. It can very well be that the seller did not clarify the maintenance fees, which is poor customer service, if this is the case. But even if that is the case, the contract itself should have the maintenance fees outlined in detail. Keep in mind that maintenance is crucial to the upkeep of your property and is a preventative strategy to make sure your property does not deteriorate and lose value.
False promises by timeshare sellers
A timeshare presentation given at a resort with a good reputation will rarely have salespeople that mislead potential customers. Also, you have the right to question or ask for clarity about any information you think may be an exaggeration, which helps the company maintain a record of employees who are not following the company’s policies. Although it’s the salesperson’s job to win you over to make a purchase, that doesn’t mean you must buy. Don’t let salesman hype pressure you into a membership plan above your financial means. Get something you know you can afford and upgrade when you feel like it.
The real timeshare scams
You won’t find any timeshare scams at the more prominent resorts. Why? Because the regulations have made it so that it’s hard for them to connect themselves to well established companies. As far as real scams are concerned, here are some to be alert about:
Timeshare resale scams – the timeshare is resold to you with just a short amount of time left (a year or no time at all). If there is some time available, the maintenance fees from the much-needed repairs to use the timeshare may be extensive.
Timeshare Cancellation Scams – company offers you a cancellation package and charges you for cancelling your membership. The problem comes from not having a legal right to cancel the membership, so the unpaid dues accumulate and eventually go into default.
Rogue Timeshare sellers – At a timeshare presentation, you should always be suspicious of any deals where the seller wants to finish the deal away from the resort location.