There is a term in the timeshare industry called the rescission period that consumers should become familiar with. Essentially the timeshare rescission period gives consumers the chance to consider their purchase and read their contract at their own leisure following the excitement of having purchased timeshare membership at a vacation club. It is during this time, and only during this time that you may legally cancel your timeshare agreement with the resort.
Cooling Off Period / Rescission Period
The rescission period is also commonly referred to as the cooling off period, and the cooling off period allows buyers to think about the purchase they have made with a cooler head rather than in the salesroom where you might get swept away with the emotions of owning your own timeshare. Once you have signed the binding contract with the timeshare company the rescission period begins giving you a limited amount of time to think about your purchase along with reading the conditions and terms of the contract fully.
Timeshare Rescission Period Facts
The timeshare rescission period idea was created to protect buyers as well as the timeshare companies providing vacation ownership products. Buyers can relax knowing that if they make a bad decision purchasing on impulse they can always cancel their timeshare during the rescission period, while timeshare companies are protected from cancellation scams. Just like buying products in any store, you have a set amount of time to take back your purchases and get a refund. The same is true for timeshare. Once the excitement and passion has passed and you are back on your own thinking more soberly about your financial situation, you still have chance to change your mind. Although, only a small minority of people actually cancel their timeshare contracts, the cooling off period is great for consumer peace of mind.
How long is the timeshare rescission period?
Timeshare companies and the institutions that protect consumers understand that some buyers may want to change their minds about such a luxury purchase; and that is why the timeshare rescission period is mentioned in your timeshare contract. How long the timeshare rescission period is for your particular timeshare will depend on the country where you have purchased your timeshare as well as the timeshare company’s policies. Usually, timeshare rescission periods are no longer than two weeks and many companies are much shorter periods. To avoid confusion, you should check your contract and contact the timeshare company as soon as you have any doubts about your purchase.
Your rights and the rescission period?
During this time (and only during this time) you can cancel your timeshare contract (unless you have been involved in some kind of deliberate scam, such as when the timeshare resort doesn’t actually exist or you have bought a fake timeshare). Any money that is paid will be refunded if you have contacted the timeshare company in writing and used the correct cancellation formulas within the rescission period. All loans relating to this purchase must also be cancelled during the rescission period. Be sure to go directly to your timeshare provider and avoid cancellation companies that tend to be scams.