BBB Pacific Southwest shares tips for avoiding vacation and timeshare scams

 

Phoenix, AZ (June 4, 2024) – Timeshares and vacation clubs can be notorious for their high-pressure sales tactics. Vacationers, relaxed and often off-guard, can quickly find themselves committing to lifelong contracts that are easy to enter but difficult to escape.

As we near peak summer months, consumers may have more opportunities to attend a timeshare presentation while on vacation. BBB Pacific Southwest has received complaints across Arizona and Southern California from consumers regarding their timeshare sales experiences, claiming:

 

Misleading Sales Presentations:

  • Promises about booking availability and easy cancellation or resale.
  • Claims of increasing timeshare value.
  • Unexpected changes in monthly payments or maintenance fees.
  • Verbal promises or misrepresentations contrary to the reality of the service.

 

High-Pressure Sales Tactics:

  • Persistent pressure to buy despite multiple refusals.
  • “Today only” upgrade deals during lengthy presentations.
  • Encouraged to sign quickly without adequate contract review.

 

While some people enjoy positive experiences with their timeshares or vacation clubs, BBB shares the following tips to help consumers identify potential red flags and assist businesses in improving their practices.

  • Research carefully. Extensively investigate timeshare properties, vacation clubs or exit companies before working with them. Check BBB Business Profiles to view customer reviews, ratings and complaints that can help you make an informed decision.
  • Read before you sign. Thoroughly read contracts for language about lifetime commitment, heirs’ obligations, maintenance fee increases or guarantees. State laws vary on whether they allow buyers to exit timeshare agreements after signing, so research before. In the Pacific Southwest, check Arizona and California regulations.
  • Beware of high-pressure sales tactics. If you feel like someone is trying to push you into a deal, walk away. Free gifts may be offered to attend the presentation, which can be accepted without obligation to sign up for services.
  • Sell with the company you bought from. To sell a timeshare, contact the resort directly and see if they have a resale or buyback program.
  • Be realistic about what you can get for your timeshare. Most of these contracts are not investments and may return considerably less than you paid.
  • If it sounds too good to be true, it is. There are deals to be found on travel, but scammers know consumers want to save money and take advantage.
  • Don’t pay fees up front. Be wary of paying timeshare exit companies all fees up front until services are rendered.
  • Report it. If you suspect you may be the subject of fraud or dishonest business practices, report it to the BBB Scam Tracker.

 

BBB advises thorough research before engaging with any timeshare or exit company. Read reviews, obtain references, and investigate the company before signing a contract or making any payments.

Check with the Federal Trade Commission (FTC) for additional resources on:

  • How To Handle Sales Presentations
  • What To Know Before You Commit
  • How To Avoid Timeshare Resale Scams
  • How To Avoid Timeshare Exit Scams
  • Buying Undeveloped Property and Timeshares in a Foreign Country
  • Reporting Timeshare Scams

About the Better Business Bureau Serving the Pacific Southwest.

Better Business Bureau (BBB) has empowered people to find businesses, brands, and charities they can trust for more than 110 years. In 2023, people turned to BBB more than 218 million times for BBB Business Profiles on 5.3 million businesses, and 80,000 times for BBB charity reports on about 12,000 charities, for free at BBB.org. The International Association of Better Business Bureaus is the umbrella organization for the local, independent BBBs in the United States, Canada and Mexico. Incorporated locally in 1938, BBB (NAME) serves Greater Arizona and Central and Southern California, providing critical tools to ignite success including mentorship, online products, coworking and access to capital. Our objective expertise educates the community on ethical behavior in the marketplace and how businesses can build trust.

 

Kryistyna Hook
Senior Director of Brand Strategies and Social Impact
kryistyna.hook@bbbcommunity.org  |  928.302.3701

 

Reprinted by permission of the Better Business Bureau, © 2024.