Hi guys, this is like the first thing on here out of all my posts I have written about scams. Now this is not scepticism or theory, but I have had some experience now, which is a little unfortunate, but now I can warn others. I experienced it here in the US, but DON'T THINK IT DOESN'T HAPPEN IN AUSTRALIA Some of these companies operate worldwide, such as Worldmark by
Wyndham (formerly known as Trendwest), RCI etc
I have been to two presentations from different companies Worldmark and Consolidated Resorts (who are opening up Tahiti Village in Las Vegas)
There are many things in common with them and many other companies out there. They know that "Time Shares" has a bad connotation to it, and they announcing "we do not sell time shares, this is purely vacation ownership"
They start off by calling you, telling you that you have won a vacation. You think beauty! You go down and they say you have to go to a presentation but don't have to buy anything to get your prize. You think to yourself "ok, I won't sign anything!" You get there, and they do a presentation and tell quite a few lies. Like the cost of land and vacations has risen 1000% in the last few years... Motel 6 started off at $6 a night, now their $100 a night (and they are not really). They create a party atmosphere with loud music and convince you that "Vacation Ownership" is the way to go. It beats inflation with vacations, you can stay in nice resorts at the same price as you could in Motel 6, if you become an owner. I have noticed from research they suck in about 30-50% of people who go to presentations that didnt intend on purchasing.
Well the fact is, there is no real ownership on many of these things, it's more like overpriced
membership. The forms you sign can revoke your right to cancel when you want to, and people can be sucked in from $10,000-$50,000 financed through them, and you CAN BE STUCK IN A CONTRACT!!
What they tell you is if you ever want out, you can sell it, because it's equity.
Well, unlike
home or other property equity, this depreciates worse than a car. It may only really be resellable for 20% of what you paid.
I am sure people reading this will think "Oh I wouldn't be sucked in, I am too smart for that." But their presentations really are appealing, but their contracts differ a lot from their sales pitch.
So, I write this to warn others, and try to make it
well known. I got told today that this industry is the most corrupt in America today, and is worth hundreds of millions of dollars each year, and the companies involved in Timeshares/Vacation Ownership etc back each other up, to keep it going. They target students with no money, they target the elderly, and often there is no way out. No early payout like in a mobile phone contract.
So anything that looks, sounds, smells like timeshares, vacation ownership etc where they want a downpayment, contract and upfront fee for long-term accomodations, AVOID IT! Don't even go to the presentation for the free vacation offer!
Companies that offer this to avoid
Worldmark by
Wyndham
RCI Timeshares
II Timeshares
Consolidated Resorts
I hope this helps others, and interested to hear if anyone on this
forum can relate to any of this.
Cheers