The concept of timeshares originated in the 1970s. Timeshares didn’t become popular until several years later when they became similar to what we expect from them today. Timeshares can seem like a great idea at the time of signing up with them.
But there may come a point when you no longer like the idea of having one. You may instead want to exit a timeshare. You may no longer be able to keep up with the constant costs.
But is exiting legal?
If so, how do you do it? How difficult is it, and how long will it take? Keep reading and learn more about exiting a timeshare below.
Benefit From the Recession Period for New Timeshares
Suppose you get a timeshare with your favorite resort. The timeshare may have advertised itself as the best deal you’ve seen so far. Whatever it costs, the timeshare seems to be worth your while.
But after some time, you may realize that it isn’t as beneficial as you thought. Maybe you didn’t read all of the contract’s details. Maybe the timeshare has more restrictions than you realized, and you can’t enjoy its benefits unless you satisfy many other requirements over several years.
If you feel that you’ve made a mistake with your timeshare, don’t panic. This happens to many people with many types of timeshares. This doesn’t mean that you lost all the money you put into it once you signed up.
If you have recently gotten a timeshare, you may be able to take advantage of the recession period. This is a very short period in which you can give the timeshare back.
The exact time of this period will depend on the state in which the resort exists. Some states have recession periods that are only three days long. Others may have periods that are 15 days.
If you bought a timeshare for a resort outside of the US, the recession period will be different. This short period may seem unfair, and it is, to a certain extent. But if you act fast, you may have enough time to take advantage of this period.
How It Works
Some people may be disqualified from using the recession period. This is true of those who used a public offering statement for some time before purchasing the timeshare. But some states are more lenient and may offer you more time for the recession period if you ask.
If you fall within the recession period, you need to write a timeshare cancellation letter. The resort should have a specific cancellation address where you can send the letter. Since recession periods are short, you need to act fast.
If you have a hard time finding the cancellation address, don’t worry. Call the resort and ask for it. They might struggle to give it to you, but they legally must provide it.
Before you send the letter, make a copy of it. Use a reputable mail carrier, like USPS. As soon as the resort receives your cancellation letter, they need to sign it to prove that it arrived safe and sound.
This keeps them from lying and saying that they never got your letter. Be wary of cancellation fees that may come after your letter is accepted. It is often illegal for resorts to charge these fees.
Make sure you do your research and look up whether your resort is allowed to do this. This can help you avoid unnecessary fees that may come with a timeshare that you don’t want. This allows you to exit the timeshare without having your wallet drained in the process.
Find a Way for the Resort to Take Back the Timeshare
Recession periods are so short in certain states that it may not be possible for you to benefit from them. If you miss the recession period, does that mean that you’re stuck with the timeshare forever? Not at all!
The next thing you can try is getting the resort to take the timeshare back. You may encounter some hurdles along the way, depending on what kind of resort you’re dealing with. This is a perfectly legal way to do away with the timeshare and give it back to the resort.
You can find out if you are a good candidate for this option by doing some research. Check out the paperwork that you received when you bought the timeshare. What does it say about giving the timeshare back?
Some resorts will have detailed instructions for how you can do this. Others may be more complicated and may not give you much information. You should come across a phone number that you can call to give the timeshare back.
But you will have to be cautious when doing this.
What You Need to Know
No resort wants to lose a valuable customer. When you call and say that you want to give the timeshare back, the resort may try to persuade you to keep it by providing different offers.
They may offer you additional discounts and other bonuses to get you to stay. But don’t be persuaded by these bonuses. While they make the timeshare more appealing, it still won’t be worth it to keep the timeshare if you don’t want it.
Upgrading your timeshare also requires you to get involved with more contracts and binding agreements. This is the last thing you want if you want to cast off the shackles of your timeshare and be free again. When you make the call, be sure to stay focused.
After you turn down the resort’s offers to upgrade your timeshare, you should get to the point. Explain that you want the resort to take back the timeshare. The conversation will then go in one of two ways.
The resort may agree to take back the timeshare and you’ll be free. Or the resort may decline to take it back, and you’ll be out of luck. Resorts can decline to take back a timeshare without legal repercussions.
But this does not mean that this is the point where you should give up. There is still another method you can try.
Sell Your Timeshare
If all else has failed, it may be time to consider selling your timeshare. This is often the last resort for most people because most can get rid of their timeshares in easier ways. But you have to be careful when doing this.
Some resorts have restrictions that prevent you from selling the timeshare to someone else. Suppose you got a loan to get the timeshare and you have yet to pay it off. This means that you have an “encumbered” timeshare on your hands.
As long as it is encumbered, you can’t sell it. You first have to pay off the loan, and there is no way around this issue. If you don’t have this problem, then you’ll be in luck.
Before you sell it, make sure you know what it’s worth so you get top dollar. You can see what other people are selling their timeshares for by looking at various websites online. eBay and Craigslist are good options, but you can also check what real estate agents have to say.
The Details
The unfortunate truth is that many timeshares aren’t worth that much. For it to be worth a lot, your timeshare would have to be from a major resort, like Disney. It’s okay that you might not break even when you sell your timeshare.
The benefit is that you will no longer need to make payments on that timeshare once you sell it. This is important because most timeshares cost a person more than a thousand dollars every year. This is a big chunk of your wallet going to waste!
This has been increasing over recent years as well. Once you have everything sorted out, list your timeshare for sale online. Spread your listing around social media and other parts of the internet to get more views.
It may take a while for your timeshare to sell, but it should sell eventually. You may also want to consider getting a lawyer when doing this. This will help you ensure that you’re going through the process correctly.
How to Exit a Timeshare at the Right Time
You’ll know when it’s time to exit a timeshare; when you can no longer keep up with the costs of maintaining it. You can exit during the recession period or make the resort take it back. You can also sell it.
Are you ready to get rid of your timeshare? Check out our services and see how we can help you accomplish this.
