Questions? Call: (949) 354-4965
Safest Ways to Cancel your Timeshare
Recommended Timeshare Exit Companies
Safest Ways to Cancel your Timeshare
- December 7, 2021
Table of Contents
Safest ways to Get Rid of An Unwanted Timeshare
Do you have a timeshare that now seems to be a burden to you? Perhaps you purchased it only a few days ago, and now you are no longer interested in owning it. You want to terminate the contract, and you are wondering how? Guess what: The answers you need are right in this article.
Usually, different people have different reasons for seeking to cancel their timeshares. While some timeshare owners may be looking to terminate their contracts due to certain personal issues, others may want end their contracts as a result of being deceived or scammed.
Of course, it is no news that timeshare developers are fond of bending the truth, especially for marketing reasons. They often don’t tell prospective clients all that there is to know, and that’s even in addition to the fact that their sales reps could be predators on the look out for an unwitting victim.
For instance, you may not be told that there are annual maintenance fees—among some other hidden fees—awaiting you. Then, when these fees pop up, you might not be ready for the destabilizing hit that comes with them.
It is important to note that there may be timeshare owners who are still happy with owning one. However, there are more unhappy owners than the happy ones, which is why timeshare cancellation has become a hot issue in the industry. Therefore, if you are one of those intending to get out of their timeshare safely and effectively, rest assured that you’re now one step closer to finding your way out.
Should an Owner Simply Abandon his or her Timeshare?
Abandoning your timeshare by no longer paying the fees required may seem like an easy cancellation route. And, yes, we can confirm that this might help you get rid of your unwanted timeshare in cases where the resort developer avoids hiring a lawyer against you, due to the avoidable costs.
But, that’s not something that happens always. In most cases, you would simply be putting yourself at risk of earning a bad credit score. The resort might just report you to the credit bureaus, or even send a collection agency after you— and you know how ugly that can get. And what if your resort does not mind taking legal actions against you for reneging on the contract you signed?
Certainly, stopping your maintenance fee or mortgage payment is not the way to go. It is not advisable because it is not a reliable option, most especially when one considers the risks it poses against your credit rating. Should a court also rule in favor of the concerned timeshare resort, it would only lead to more problems for you.
Can you Resell your Timeshare Then?
There is a timeshare resale market through which timeshare owners can sell their unwanted timeshares to new owners. So, yes, reselling your timeshare is another possible way by which you can get rid of your troubling resort contract.
The problem with timeshare resale, however, is that it is not as easy as it seems. Timeshares typically lose up to 50% or more of their market value immediately after they are bought, except you have a Disney or Hawaiian timeshare.
As additional information, a timeshare’s worth may reduce to a price as low as one dollar. And, funnily enough, getting a buyer would still not be a walk in the park. This is further corroborated by the fact that some charities might be unwilling to take your timeshare should you attempt to donate it. Why? That’s simply because they wouldn’t want to start bearing the burden of paying the annual maintenance fees.
Nonetheless, timeshare resale is not impossible. You may want to try it, although we do not think it is the best way out. Note that there are two ways by which you can get your timeshare resold. They include:
1. Listing the timeshare via an advertising platform
You can choose to put your timeshare up for sale on various listing websites or platforms, which could be free or paid. Some of these platforms include eBay, Sell My Timeshare Now, Facebook marketplace, Craigslist, RedWeek, among others.
So, through these platforms, you will get to advertise your timeshare yourself and get to speak with potential buyers on your own terms. You may need to understand, though, that it may be helpful for you to owe no fees on your listed timeshare. No one would want to buy your debt together with your timeshare,.
2. Enlisting the service of a timeshare brokerage or resale company
As an alternative to listing your timeshare yourself, you may simply decide to hire a timeshare broker or timeshare resale company. By doing so, you wouldn’t have to bear the responsibility of getting a buyer yourself.
The company will take charge of advertising the timeshare, getting a buyer, and ultimately closing the deal. In spite of how promising this may seem, realize that many timeshare resale companies are fraudulent.
It is clearly difficult to resell a timeshare, so you should be wary of resale companies that request upfront payment. A sincere timeshare broker is not expected to ask for advertising fees or any fees at all until they have successfully helped to resell the timeshare.
What Better Ways Can you Terminate your Timeshare?
Of course, rather than abandon or resell your timeshare, there are some more reliable and safer means to choose from. The foremost of these methods involves taking advantage of the rescission, or “cooling off,” period. Another one is to leverage the deed back or take back program, if available. And, finally, there is the use of timeshare exit companies.
• Rescission Period
Cancelling a timeshare during the rescission period is no doubt the easiest and safest. It does not require any payment but will rather get you a refund of the money you paid for the timeshare.
The rescission period is fully backed by law as a period during which you can rescind your timeshare contract without any need for explanations. It usually lasts between one and two weeks after purchase, depending on the specific state or country in which you bought your timeshare.
Thus, the limited time means that you may have to act fast; moreover, you may need to write a letter of rescission or cancellation to your resort. Although you won’t have to explain why you are rescinding your contract, you would be expected to state clearly that you are doing so.
You should check through your timeshare contract document or give your resort a call, to know more about their rescission terms in relation to the particular state laws binding their activities.
• Deed Back Program
Otherwise known as take back or buy back, the deed back program is a kind of relief program often made available by some resorts. It is created to give incapacitated timeshare owners a chance to return their unwanted timeshares to their home resort.
But, oftentimes, this program comes with certain conditions. In most cases, an owner who wants to give back his or her timeshare would be expected to be caught up with his or her maintenance fees. He or she could also be expected not to owe a mortgage, among other possible clauses.
If you are not sure whether your resort has this program or not, you may just check through you timeshare contract for that. You may simply reach out to your resort too. Some resorts may be unwilling to take back a timeshare because of the benefits coming to them, but there are those that do so.
• Timeshare Exit Company
If those two options above are not available for you, then you might simply decide to hire a reputable and reliable timeshare exit company to help you out. We have said “reliable and reputable” because there are many bogus timeshare exit companies.
Timeshare exit companies typically conduct one-on-one consultation sessions with prospective clients in a bid to understand each person’s situation as a unique case. After that, they begin to work with experienced timeshare attorneys and experts to do necessary paperwork towards the eventual cancellation of a client’s timeshare.
An honest exit company would not take up the case of a person whose timeshare issue seems irredeemable. Moreover, such a company would not request upfront payment, and would rather make use of escrow to ensure a risk-free transaction.
In essence, we advise that you should always seek to hire timeshare cancellation companies that provide the escrow payment option. Escrow ensures that your payment will not be released to the company until the successful completion of your job. So, you get to eliminate any possibility of being scammed, and the company gets motivated to work effectively since they know their payment depends on their success.
Conclusion
Bear in mind that the first step you should take, if you ever want to cancel your timeshare, is to reach out to your resort. Be quick to leverage the rescission period in case you have just purchased the timeshare. If that’s no longer available, check whether your resort provides a deed back program. If not, then you may just choose to terminate your contract through a reputable exit company rather than try the hard route of reselling it.