3 Timeshare Cancellation Facts You Should Know
Looking for a timeshare cancellation service? There are a few things you should know before choosing a company. We’ve been in business since 2000 and have seen just about everything in the timeshare industry at this point. These facts will help you avoid scams and make a better timeshare cancellation decision.
1. Almost every state in the U.S. has something called a rescission or “cancellation” period for timeshare. This is a period of time that consumers have the right to cancel the timeshare purchase they made at the resort and obtain a full refund. Each state has different rescission periods, but they usually range on average from 3 to 7 days. Usually, information about this recession period will be mentioned somewhere in your resort sales agreement. Perhaps in a tiny font.
It doesn’t matter what company you purchased your timeshare from. It could have been Wyndham, Marriott, Hilton, Hyatt, Disney etc. All new timeshare purchases are eligible for rescission if purchased in a U.S. state where such laws exist.
If you purchased your timeshare in Mexico and live in the U.S., you won’t be eligible for rescission under U.S. law. Mexico does have a five business-day rescission period law of its own though. If eligible, you can expect a full refund within 15 business days. There are some stories of timeshare owners who have tried to rescind in Mexico and have faced some opposition from the resort. Sometimes the resort may even tell you that rescinding isn’t possible or that you must pay a fee to rescind. This is not true. If this happens to you, we encourage you to contact the Office of the Federal Prosecutor for the Consumer in Mexico known as PROFECO.
If you’ve purchased your timeshare within the last 3 to 7 days and wish to cancel, make sure you follow your state’s instructions closely. For example, to rescind your timeshare contract you will almost always need to mail in a written letter that states your intention to rescind. If you don’t follow the state’s instructions perfectly there is a chance that you’ll be unable to engage in a timeshare cancellation.
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2. Watch out for companies that tell you your timeshare isn’t worth anything. It is true that your timeshare has decreased in value if you originally purchased it from a resort, but it likely still has some value. Our handy market analysis tool will show you the average asking price of timeshare resales at your resort.
Watch out For Scams
3. Be aware of schemes that involve transferring your timeshare out of your name into a ‘shell’ company. A ‘shell’ company is usually a bogus LLC set up for the sole purpose of timeshare cancellation. The idea here is to transfer the timeshare ownership to the bogus ‘shell’ company so you are no longer responsible for it. When the resort sends out the maintenance fee bill to the bogus ‘shell’ company, the bill never gets paid and the resort is forced to initiate foreclosure. The ‘shell’ company doesn’t have any assets or people to sue, so you may be in the clear. However, this isn’t always the case. Sometimes the cancellation company chooses not to transfer the ownership out of your name even when they’ve told you they have. When this happens you’re out the payment to the cancellation company and you’re still responsible for the maintenance fees of your timeshare.
Instead of paying a timeshare cancellation company thousands of dollars to supposedly ‘cancel’ your timeshare, why not advertise it for sale or rent on BuyaTimeshare.com instead? We’re accredited by all leading timeshare organizations including ARDA, CVOA and AMDETUR and we’ve received over $100 million in offers over the past two years alone. Call 1-800-640-6886 or fill out the contact form on this page to get started.