Timeshares are some of the worst money traps you can get caught in. Buying a timeshare means spending potentially millions of dollars for a vacation home you’ll never fully own, and that will lose value over time.
If you’ve been unfortunate enough to get sucked into a timeshare scam, the best thing to do is get out of it. This isn’t an easy process, though. It may even seem impossible.
We have the solutions you need.
Whether the coronavirus has opened your eyes to the failings of timeshares or you’ve been looking to get out of one for a while, you no longer need to worry. Here is everything you need to know about cancelling a timeshare.
How Does a Timeshare Work?
Before we advise you on cancelling a timeshare, you need to know how a timeshare works. If you have a timeshare, the odds are that you sat through a presentation detailing all the ins and outs of timeshares, but we guarantee that they skipped a few details.
First, it’s important to note that you never fully own a timeshare. As the name suggests, a timeshare is a vacation property that you share ownership of with other people. No matter how much money you fork over, you’ll never get closer to owning that property.
Another clue from the name is that what you’re really getting a share of is time at the vacation property. Depending on what kind of timeshare you signed up for, you either get to visit the property for a fixed set of dates (usually a week) each year, or you can reserve the property for a set number of “floating” dates. Either way, you’re only allowed to use the timeshare property for a designated period.
What is a Timeshare Agreement?
The timeshare agreement is the cornerstone of timeshare operations. This is the physical contract that defines how much you’ll pay each year, how many people are involved in the timeshare with you, and when you can make use of the timeshare property.
It also describes the rules and process for cancelling the timeshare. This is where things can get complicated, if not impossible.
To avoid the potential of clients cancelling their timeshares once they find out they’ve been scammed, the people who create timeshare agreements often include serious penalties and fines. This means that leaving the timeshare can be just as expensive as staying in it. The only difference is that you’ll have to pay the crazy fee upfront instead of over time.
Cancelling a Timeshare Agreement
That said, it isn’t impossible to get out of your timeshare agreement. It isn’t even impossible to get out of it cheaply.
If you signed the timeshare agreement fewer than 7 days before you decided to cancel it, there’s a chance you can cancel the timeshare for free. That’s because most states consider that length of time a ‘cooling-off period” during which you can cancel any contract without consequences.
If it’s been more than 7 days, you’ll have to turn to the agreement itself for details. Some timeshare agreements allow for a free or discounted cancellation within a fixed timeframe.
Outside of that timeframe, you’ll have to prove that the party you purchased the timeshare from breached their part of the agreement. This could be anything from unsanitary living conditions to being denied visitation on your set dates.
Check out this article from Lonestar Transfer for more information on ways to cancel a timeshare agreement.
Making Wise Investments and Other Life Hacks
The best way to get out of a timeshare is to never invest in one at all. Instead, focus on long-term investments that net you more value than you put in.
Follow Inside Express for more advice on this and other ways to hack your life.
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