Timeshare exit and resale scam: how it works, warning signs and what to do
Payment fraud · alto
Scammers find timeshare owners through public records and sale ads. In the "exit" version, fake consultants charge thousands of dollars upfront and then do nothing, or simply ask the resort for what the owner could have requested directly. Some tell owners to stop paying their mortgage and maintenance fees and send the money to them instead, which can lead to foreclosure and credit problems.
In the "resale" version, a fake buyer offers more than the timeshare is worth and asks for deposits for fees and taxes that keep multiplying. In 2022, the FTC and Wisconsin sued companies accused of collecting over US$ 90 million for exit services they didn't deliver, according to AARP.
Sinais / Signs
- Unsolicited contact offering an exit or to buy your timeshare
- An upfront fee before any result
- Advice to stop paying your mortgage and fees
- A buyer offering more than the timeshare is worth
- Seminars with a free meal and high-pressure sales
Prevenção / Prevention
- Contact the resort developer first: many have exit programs
- To sell, use a broker paid by commission on sale
- Be skeptical of anyone asking for money upfront
- Don't stop paying obligations on a third party's advice
- Research complaints about the company before hiring it
O que fazer / What to do
- Contact your bank or card issuer and try to dispute payments
- Talk to the resort about any missed payments
- Report to the FBI (IC3.gov) with amounts, wire details and contacts
- Also report to the FTC and your state attorney general
FAQ
Do I need to pay a company to exit my timeshare?
Not necessarily. AARP recommends contacting the resort developer directly, since many have exit programs.
Can I get back what I paid scammers?
It is very hard, which is why prevention matters. Report to IC3 with full details.