Two timeshare scams have lately proliferated, preying on vacation owners desperate to be delivered from the burden of their timeshare interest:
- “Sale” of your timeshare interest to a relief company by paying them often $2,000 to $3,000 per week to take over ownership, and
- Payment of an advance fee of $500 or higher to a resale company which promises to sell or rent your timeshare interest.
Do you know how to protect yourself from scams?
First, there are legitimate timeshare relief companies, but you must know how to protect yourself from the scams which merely take your money and leave town, like the “Music Man.”
- Require that your money be held by a neutral escrow, such as an attorney trust account or title company, until the transfer process is complete.
- A transfer of a timeshare interest is not complete until the timeshare association to which you belong approves the transfer.
- If the timeshare interest is evidenced by a recorded deed, the deed transferring the interest must be recorded in the local county records.
- Determine if the relief company is a member of the American Resort Development Association (ARDA), the primary national timeshare industry association, by going to www.arda.org.
Is there really timeshare relief?
Second, there are legitimate timeshare resale and rental organizations that provide a great service. But:
- You should not pay more than a nominal upfront fee. (In California it is illegal to be charged any upfront fee.)
- Determine if the resale or rental company is a member of the American Resort Development Association (ARDA), the primary national timeshare industry association, by going to www.arda.org.
- Check on local broker or timeshare sales licensing requirements.
If you have questions, please feel free to call me for a complimentary consultation at 916-784-7030.