Timeshare exit scams have caught out thousands of timeshare owners. Indeed, according to consumer rights organisation KwikChex timeshare owners have lost more than £8 million in just seven months to timeshare exit scams. So, how can you tell if you are working with a reputable timeshare exit company or one that is a scam? Here we identify some of the red flags to look out for.
Reputable timeshare exit company or scam?
Red flag 1 – Cold-calling, texts and email
One of the most common ways timeshare owners may come into contact with a timeshare exit company is via an unsolicited call, text or email. Many scam timeshare exit companies call multiple times and apply high-pressure sales tactics. Often, they have secured timeshare owners contact details fraudulently, stating that they got them from a central registry. A reputable timeshare exit company will not cold call, nor will they apply high-pressure sales tactics. Owners who receive cold-calls from a timeshare exit company should report it to their national data protection agency.
Red flag 2 – Misinformation and scare tactics
To convince timeshare owners to use their services, many scam timeshare exit companies resort to using scare-tactics like spreading misinformation. One myth that is frequently used by rogue timeshare exit companies is that timeshare owners’ children will be forced to inherit their timeshare. This is not true. A reputable timeshare exit company will not resort to using misinformation to sell their services.
Red flag 3 – Pressured sales
Another popular line that scam timeshare exit companies like to peddle is that they are the only way owners can exit their timeshare contract, often adding an urgent deadline for joining up. This is not true. Many timeshare companies have built-in exit clauses and will work with owners to find a safe and secure way to exit their timeshare. Owners who wish to withdraw from their timeshare contract should first contact their timeshare company. Numerous timeshare laws exist to protect timeshare owners and help them safely exit their contracts. Timeshare owners who decide they would rather work with a timeshare exit company should do their homework to make sure they are working with a reputable timeshare exit company. Timeshare owners can establish an exit companies’ credentials by requesting a full viability report in writing, including a complete description of costs as well as disclosure of any risks involved.
Red flag 4 – Upfront fees that can’t be paid by credit card
Many rogue timeshare exit companies request hefty upfront fees. Often, these can’t be paid by credit card. Scam timeshare exit businesses know that credit card payments are protected in the event of misrepresentation/and or breach of contract by the UK Consumer Credit Act. If paying by credit card, even if it is a reputable timeshare exit company, always make sure that the name of the timeshare exit company exactly matches the name on the business contract. This will ensure protection by the UK Consumer Credit Act.
Working with a reputable timeshare exit company, or directly with a timeshare company will ensure timeshare owners rights are protected and that they can safely exit their timeshare contract.