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Barclays

The Tuesday Slot on Wednesday

Welcome to our Tuesday Slot which we had to postpone yesterday due to an important consumer alert that need to be published immediately. We apologise if yesterday you were looking for our usual Tuesday article.

This week we publish another Secret Shopper Report , edited once again by our Secret Shopper Coordinator Pete Gibbes. In this report you will see the price per point that members are being quoted which is $9.24, this price is scandalous as we all know that there is little or no resale market value.

RETAIL PRICE DOES NOT EQUATE TO RESALE PRICE

TIMESHARES ARE VIRTUALLY WORTHLESS

We have also been informed that Diamond has terminated sales agents and managers caught employing unfair and deceptive sales practices, unfortunately Inside Timeshare just sees this as playing to the crowd. These are just the scapegoats who have been the subject of too many complaints, THEY HAVE BEEN CAUGHT, we all know the rule, do and say what you like, just don’t get caught!

Another “Nightmare on Timeshare Street” is in the offing, we have been contacted by another senior who is being forced into foreclosure, more on this when we are able to publish, now for our Secret Shopper Report.

Diamond Resorts 30 Cent Solution

A Secret Shopper Reports

Secret Shopper Report edited by Pete Gibbes, Secret Shopper Coordinator

November 20, 2018

By: Secret Shopper ages, 54 and 62

Works for Department of Corrections

Works for Department of Defense

We attended a timeshare member update in Williamsburg in November, 2018

We are struggling to keep up with loan payments and maintenance fees for the points previously purchased.  

The Virginia sales agent we met with would have driven us into insolvency if we purchased points based on our understanding of what the sales agent described. We both clearly understood the sales agent when he told us if we purchased additional points, we could pay maintenance fees at $.32 per point.

Had we purchased points based on what we both heard and believed, then filed a complaint, and based on reports from a significant portion of the 524 Diamond members who have reached out to our advocacy group, the answer we would have received to our complaint would have been a description of the legitimate 30/30 program that has nothing to do with paying maintenance fees with points. We would probably be told we misunderstood, and we signed a contract.

FACT CHECK

Only Platinum members can pay maintenance fees with points at $.04 per point.

We have learned there are many complaints from members who say they were told they could pay maintenance fees at $.30 per point. We’re not sure why this Virginia sales agent tacked on an additional $.02.

The sales agent wanted to attach our Barclays credit card, issued after our first purchase, to pay for maintenance fees. The agent said that for every dollar spent charging with the Barclaycard, you get two Barclays points if it is travel related -non-travel one point for every dollar.

The informed timeshare member should ask, “How much value does a charged point have?” Members think in terms of a point being like 2000 points to stay a week in Virginia. Already this is a little confusing. So we asked our sales agent how, for example, $100 charged would translate into actual value or money to pay maintenance fees? He said he didn’t know!

FACT CHECK

The answer is if non-travel related, 1%, so $20,000 charged in a year is 20,000 reward points.

We own 3000 points, so our maintenance fees should be around $600 a year. We only have a $2000 limit on the Barclaycard so the $2,000 charged would produce 2,000 reward points but would contribute only $20 toward the $600?! That’s a far cry from the oft repeated complaint we hear, “And you can pay your maintenance fees by charging purchases to your Barclaycard!”

We asked about the 1500 bonus points that we had been promised at our first purchase of 3000 points. He said he wasn’t sure. He continued to talk about buying more points. After we said no to his offer of points, he said he would go look into what happened to the 1500 bonus points. When he came back he did not even mention the bonus points, but once again he presented an offer to purchase more points.

He offered first 17,000 additional points. We said no. Next he offered 8,500 points. He said if 8,500 points were purchased we would become Silver members, and would then have access to cheap vacation weeks and the maintenance fee program where we could turn in points at $.32 per point to pay maintenance fees. I wrote this down and my husband was with me.

FACT CHECK

If we purchased 8,500 points we would only have 11,500 points so:

  1. We would not even be Silver, as Silver loyalty requires 15,000 points,
  2. Only Platinum members can use points to pay maintenance fees at $.04 per point. If a Platinum member turned in 50,000 points, they would only get $2,000 to be paid towards an $8,631 maintenance fee bill in 2018.

We said no to $8,500 points. We asked again about the 1500 points. He went to the back. The manager returned.  

The manager told us if we make loan payments to Diamond, those payments would go toward the down payment of 8500 points which would have cost:

Purchase price: $78,548 at $9.24 per point (Points sell for about $4 per point)

Down payment: $23,677

Timeshares have little to no secondary market

The manager, who did not provide his name, said if we paid a monthly loan payment of $400 per month, (hypothetical because we did not get far enough along to find out what our monthly payments would be), for each $400 a month payment, the $400 would directly reduce our down payment because they wanted us to lock in this great price per point at $9.24 per point.  We would not have to make loan payments on the principle balance until the down payment was eliminated.

Once our down payment was eliminated by loan payments, he said, as each payment would reduce the down payment, so once the down payment was eliminated, then we could finance the remaining amount and be credited our 8500 points purchased. In other words, we would make loan payments that would equal the down payment of $23,677, eliminating the down payment, and then the principle balance would begin ($55,613 after the down payment of $23,677 was eliminated).  

The manager wrote down “3000 points” and said we could not stay anywhere with 3000 points. He said we would have to pay half out of pocket because we had so few points.  We might be able to get a weekend somewhere. I was aware that there are many places to stay booking a one bedroom and that we can save points from one year to the next. I remembered that from the first meeting.

Fact Check

There are many weeks available for 3,000 points

What was really amusing is that we were given a paper stating that our price of $9.24 would be locked in until May 10, 2020. However, at the bottom, and I am not making this up, it said that the price of $9.24 was only available if we purchased that day, November 10, 2018!

From a May 16, 2017 Inside Timeshare article:

Inside Timeshare has received many complaints from members who say they were told they could pay maintenance fees at $.30 per point. It is an adulteration or, according to Diamond Hospitality Agents, a misunderstanding of a 30/30 program whereby 30% of vacation points can be credited toward travel discounts.

Here is one actual complaint from 2016:

Kathie O on December 6, 2016 reported being told she could redeem points for 50 cents a point to pay maintenance fees. The sales agent promised her she could open a Barclaycard to pay maintenance fees without explaining the reimbursement was on only 1.5% (at that time).

Fast forward to May 12, 2017 Kathie reported:

Yesterday in St. Martin sales agent Riza Young and her manager said that through travel services we could cash in 20,000 points for $.30 per point to pay for $6,000 in maintenance fees. We were also told at Grand Beach Resort in Orlando that if we bought 10,000 more points for $38,000 we could cash in 20,000 points for $10,000 to totally cover our maintenance fees of $8500 +. She told us she “hates it when agents lie to us.”

There is an abundance of confusion. Does Diamond think we are really that daft? That WE are making this up?

https://www.facebook.com/groups/DiamondResortsOwnersAdvocacy/

Once again the secret shoppers shed a great deal of light on the practices of sales agent at presentations, for those who have any doubts, the careers our secret shoppers have are ones of trust and integrity. Inside Timeshare knows who to believe.

Mid Week Round Up

It is with great sadness that Inside Timeshare announces the passing of Leo Gomez last Friday. Leo was a Vietnam Veteran with two Purple Hearts and was suffering from pancreatic cancer, he was 100% disabled from exposure to Agent Orange, he was also battling against Diamond and Barclays. His story was published here in our Friday’s Letter from America on 21 September, you can read his story at the links below.

Inside Timeshare and all the Advocates of our Diamond Resorts Owners Advocacy page offer our sincerest condolences to his family.

R.I.P Leo

http://insidetimeshare.com/fridays-letter-from-america-22/

https://www.opednews.com/articles/A-Fourth-Agent-Orange-Vete-by-Irene-Parker-Fraud-180917-513.html?fbclid=IwAR2P3xMxMwZt3_L5j2j6O5ZkjDFhrk0QYCn-Ai58wrOA2iw-L1-TI7yymbk

Yesterday we broke the news published in La Provincia, that the Cazorla brothers Santiago Santana Cazorla and Manuel Cazorla, are battling each other in court, it revolves around a dispute for the payment of an indemnification of 718,000€ to Arturo Ramirez, a partner of Manuel Cazorla, for the position of general director at Anfi. It appears that this title has never existed and he has never worked in such a position. It also appears that this position was invented to justify payment from Anfi funds.

https://www.laprovincia.es/gran-canaria/2018/11/06/director-anfi-declara-pleito-hermanos/1114520.html?fbclid=IwAR3ToH-WH_qkGKX4JCi9JB9sFFXZMLs0WCgMPoX5UyIe76wNuB33eYSR_UY

We wonder how the Anfi members now feel about this along with all the other scandals that have been taking place. One thing is for sure there is never a dull moment when it comes to Anfi. (See link to previous articles)

http://insidetimeshare.com/great-anfi-battle-partners/

http://insidetimeshare.com/the-great-anfi-battle-of-the-partners-round-2/

Another of our readers has sent in some new information on another company calling owners regarding claims, Canongate Marketing with the website

http://canongatemarketing.com/

This is not a brand new company, their website was originally registered on 1 April 2015 and is due to expire on 1 April 2019, the registrant is hidden once again by privacy protect. They originally came to light several years ago with the usual resale scam of the guaranteed buyer.

The address they give is:

Calle Leopoldo Alas Clarín 4,  29002 Malaga

With the telephone number:

+34 952 062 030 (Malaga)

The address is just a stones throw from the Port of Malaga and is in a residential area, although there is a shop which supplies mailbox services.

Our reader had a call from Canongate Marketing regarding his Diamond ownership, they explained that he had a claim which they would make on his behalf through the Spanish Courts. The amount of the claim is between £13,000 and £18,000. He explained that he no longer had any of the relevant paperwork, but that did not matter they could proceed without them, but he would have to fly to Spain to meet with them. They also act on a “no win no fee” basis and will take 60% of the returned amount.

Now we all know that lawyers fees will need to be paid before a case could go to court, also if there are no documents how could a case be prepared and taken to court?

So this leaves us with the million dollar question, what is the “bait and switch” for the client to have to travel, what are they going to “sell” to make their money?

We have no doubt there is going to be an elaborate scam involved, it is only a matter of time before we find the answer.

Well that’s it for today, if you have been contacted by any company or have found one on the internet and want to know if they are genuine, then use our contact page, we will be pleased to help.

The Tuesday Slot with Irene

Welcome to this weeks Tuesday Slot, this week we welcome a new contributor Diane Creiger, with her article Elder Advocates, but first a quick update on the article published yesterday regarding Anfi Tauro Beach.

After publishing it became apparent that this news was still breaking in the Spanish press, with the publishing of more information regarding the demolition of the shacks and the company employed by Anfi to carry this out. Canarias Seminal published

“UN COMANDO DE BOXEADORES PENINSULARES VIAJA A GRAN CANARIA PARA DERRIBAR CHABOLAS (VÍDEO)”

(A COMMAND OF PENINSULAR BOXERS TRAVELS TO GRAN CANARIA TO DEMOLISH SHANTIES (VIDEO))

http://canarias-semanal.org/not/23270/un-comando-de-boxeadores-peninsulares-viaja-a-gran-canaria-para-derribar-chabolas-video-/

This follows from the El Diario article “Violento derribo de chabolas en Tauro”

(Violent felling of shanties in Tauro)

https://www.eldiario.es/canariasahora/sociedad/Violento-derribo-chabolas-Tauro_2_794790515.html

With following photo posted on facebook:

(These are the sicarios and godosjediondos of the business  DESOKUPA traids by Santana Cazorla and the government of the Canary Islands from Spain to curb the Canaries with their corrupt laws of eviction and appropriate the public domain ¡¡¡Espabilate Canario that you eat the jediondo godo!!!) (Apologies for the translations)

I just wonder how all the members at Anfi feel that their “club” is a party to this type of behaviour?

Now on with today’s article.

“They told us if we did not give up our deeded timeshare, our children would be sued and their credit would be ruined. I recorded the presentation.”

A frequent timeshare member complaint, reported by our readers, concerns faulty estate planning advice given to members concerned about passing on a timeshare liability to their children and heirs. Members say they are told their children will be responsible for the timeshare unless they give up their deeded timeshare and buy timeshare points. Timeshare members should receive estate planning advice from their estate planning lawyer, not from timeshare sales agents. Irene Parker  

By Diane Creiger

July 24, 2018

I am writing to let seniors know how financially devastating a timeshare decision can be. I am 74 years old and my husband Tom is 77. We bought Diamond points only because we were repeatedly told our heirs would be responsible for maintenance fees if we did not give up our deeded timeshare. We have learned this was not true. We were given false estate planning advice.

In Branson, June of 2014, our sales agent Kimberly told us three times, “Your children will have to take this timeshare whether they want it or not.” I had asked what would happen if our children could not pay the maintenance fees. Kimberly said our children would be sued and their credit ruined. I recorded this in-person presentation in Missouri on June 18, 2014. In Missouri one party recording is allowed. Kimberly was very threatening.

On the recording, DRI sales agent Kimberly states, “The HOA companies want their maintenance fees and they say this will go to your kids whether they want it or not.” I asked, “what if they can’t pay it?” Kimberly replied, “Then the HOA has the right to sue your children and ruin their credit. If you have a deed, which you own, that’s what we are looking at here today. That’s the difference between Diamond and what you have.” She repeated, “If your kids don’t want this, they still have to pay the maintenance fees on it, regardless. This will be willed to them whether or not they want it. Your kids do not have a choice.” That sounded pretty threatening to us.

We did not buy then, but worried about the liability we would pass on to our children, we purchased 4,000 vacation points later in Florida, only for this reason. The Florida sales agent told us the same thing.

I learned this was in no way true in our situation, but now made worse because we used a credit card to charge the purchase. This debt could complicate our estate settlement. In other words, we had no estate problem, UNTIL we gave up our deed. With a credit card liability, the settlement of our estate could be jeopardized by this outstanding debt.

I reached out to Diamond Resorts Consumer Advocacy, Diamond CEO Michael Flaskey, Diamond’s PR Firm Prosek, Barclays President’s office, the National Timeshare Owners Association, the Better Business Bureau, the Florida Attorney General’s timeshare division, the Florida Attorney General’s Senior vs Crime Project, and AARP. The Senior Sleuths never responded. There seems to be no timeshare enforcement. We feel trapped. Everyone responds, “You signed a contract.”

After numerous attempts to resolve our dispute, I received an unusual call from a Mr. Edward Florez. Mr. Florez stated his department was recently set up, and his job recently created, because Apollo Global Management wanted their customers to have the best customer service available and that is why they created his office. Mr. Florez said he had been a police officer for 20 years. He said he wanted to help me. I was informed our account is now a corporate account and we are to deal only with him. Mr. Florez allowed me to record our call, which is a first. He was very explicit that we should not go to any more timeshare updates, unless we wanted some particular gift. He said there was no reason for us to experience so much pressure.

I told Mr. Florez that six different salesperson had told us about the problems our heirs would experience inheriting the deeded timeshare we owned before Diamond acquired our resort. Mr. Florez agreed this was not correct. He said that there may have been a few sales people who needed to be brought up to their (Apollo’s) level of customer service.

I asked Mr. Florez why our maintenance fees had increased $500. He said this was an “impact” fee that occurs when a deeded owner gives up their deed. I said that would mean our maintenance fees should not go up because of this being a one time fee. He laughed and said “I will never say that.”

I then became a little forceful and told him I was thinking about writing some articles, and writing letters to AARP, DoJ, and Consumer Affairs. I told him that the senior community needed to be warned and the Department of Justice needs to look into the timeshare industry. There was a lot of stuttering on the other end of the line.

Diamond’s CLARITY program is about Diamond members receiving clear, concise, accountable, transparent information. We received the opposite of accountable and transparent information.

As a last resort, I reached out to Apollo Global Management. After contacting Apollo, I received a call from Diamond corporate within an hour. I was encouraged, only to be told no one will talk to me anymore. I was informed I must send my complaint snail mail to Diamond’s corporate office from now on. I feel like I have been sent to the Principal’s office.

We feel our Diamond Orlando sales agent Randy used deceptive tactics to coerce us into giving up our deeded timeshare by telling us the following:

  1.  Randy said if we did not give up our ILX (Arizona) deeded timeshare our heirs would be responsible for maintenance fees. We had heard sales agents at five prior sales presentations make this same claim.
  2. Randy told us that once we had completed and paid for our Diamond purchase we could walk away from Diamond at any time with no repercussions. No misunderstanding here. I asked this question pointedly.
  3. Randy said our current maintenance fees were much too high. He said our maintenance fees may not go up if we converted to points. Randy explained that this was because our deeded week was in a small pool. He said points are in a much larger pool which serves to dilute the fees. After we converted to points our maintenance fees went from $2,000 to $2,500.
  4. When I asked Randy about the $500 increase in maintenance fees, he just said we could deduct the fees on our income taxes. When I told him the IRS doesn’t allow maintenance fees to be deduction, he replied, “Well, many people do it.”   
  5. After signing a few papers, we were directed to the office of a DRI QA agent. She had us sign numerous documents electronically which we could not entirely read. We signed in a master block, and then were told to tap the blank blocks. One of the blank blocks stated that Diamond could not raise our maintenance fees more than 25% per year. We could not read this until we reviewed the hard copy after we returned home. We would never have signed a document that allows maintenance fees to be raised by 25%.
  6. The initials on the documents are not mine. My initials are DMC, but the contract shows DMN.
  7. When we told Randy and the QA agent that we were electronically inept, they suggested we attend a training class on the use of the Notepad. We received a letter stating we were to attend a “New Member Orientation” at Cancun Resort in Las Vegas. We incurred the expense of the airfare to Las Vegas, in addition to other expenses. When we showed up for our orientation we were told there was no such thing as a New Member Orientation. We were furious. All they did was try to sell us more points.  

We have not used any of the Diamond points we purchased. We have asked Diamond to return our $16,000 that we paid for 4,000 points. We are even willing to forfeit our ILX deed for which we paid $19,000 to get out of this nightmare.

When Diamond calls us, they record the call, but when I ask if I can record the call, I have repeatedly been told no. This is very intimidating, especially to seniors who feel they have been victimized. They say it is against company policy.

I had the opportunity to sit on a federal grand jury from January of 1999 until June of 2000. I understand the patience and determination it takes to get to the bottom of a situation and to seek justice. I will not give up. I have learned we are one of many seniors who bought Diamond points and were told if we didn’t give up our deeded timeshare our heirs would be responsible for maintenance fees.  I have joined our Diamond member sponsored Facebook.  

In my complaint I included:

If the decedent left a will and named you as a beneficiary and you decline the bequest, most states treat the event the same as if you had predeceased him. The executor must probate the will as if you had died and were no longer available to accept your inheritance. Your bequest will then revert back to the estate. info.legalzoom.com/happens-someone-refuses-accept-inheritance-21217.html

We also had a terrible experience in Sedona at Los Abrigados. They put us in a handicap unit, which we didn’t need. The room was dirty with the contents of a broken colostomy bag that had dripped 15 feet across the carpet. We took pictures. They would not accommodate us with other lodging. We had our children and grandchildren with us. All they did was put rugs or runners over the carpet until the next day when they cleaned the carpet. They only refunded our points after we complained.

Florida’s Seniors vs Crime project, Senior Sleuths never responded.

http://insidetimeshare.com/the-tuesday-slot-with-irene-8/

Thank you to Diane for sharing her experience and becoming our own Senior Timeshare Sleuth, volunteering her time to assist other seniors who feel they have been victimized by timeshare sales agents. We look forward to future articles.

We seek to provide Diamond Resort members a way to proactively address membership concerns; to advocate for timeshare reform; to obtain greater disclosure from the company; to advocate for a viable secondary market; and to educate prospective buyers.

https://www.facebook.com/groups/DiamondResortsOwnersAdvocacy/

https://www.aarp.org/aarp-foundation/our-work/income/elderwatch/report-fraud/

Thank you Diane, we hope to read many more from you, but I am sure that this will hit home to many of our readers.

Tomorrow we will be publishing the article about Marriott and their report to shareholders, which also highlights the fact that they are facing a plethora of lawsuits in Spain with a substantial amount set aside to cover the costs of this.

If you have any questions or comments on any this or any other article published, or just need information on a company that has contacted you, then use our contact page and we will get back to you.

 

Friday’s Letter from America

Welcome to this week’s Letter from America, today we highlight two families who have been up-sold by Diamond, Gad and Noreen Liebmann who are staging a protest outside Diamond’s Daytona Beach Resort and Sheilah and Thomas Brust. These stories are another in the series of  “A Nightmare on Timeshare Street”, but first a quick roundup from Europe.

It has been reported that yet another “Relinquishment and Claims” company is in liquidation, Standon Mortimer Associates. This company is one in a long line that informed clients that they could lodge a “no win no fee” claim against their timeshare, the only thing was to do this they had to “relinquish” their membership first. Obviously this was a great cost.

Once the membership was canceled then they would put in a claim, usually under section 75, which as we have said before is not likely to pay out. The whole scam was to get your money for the cancellation, which in many cases was never actually done.

If you have paid this company to carry out any work regarding your timeshare and it has not been done, contact the liquidators below:

Name of Company: STANDON MORTIMER ASSOCIATES LTD

Company Number: 10437622

Nature of Business: Timeshare Relinquishment

Type of Liquidation: Creditors’ Voluntary Liquidation

Registered office: C/o Kingsland Business Recovery, 14 Derby Road, Stapleford, Nottingham, NG9 7AA

Liquidator’s name and address: Tauseef Ahmed Rashid, Kingsland Business Recovery 14 Derby Road, Stapleford, Nottingham NG9 7AA

Office Holder Number: 9718.

Date of Appointment: 18 April 2018

By whom Appointed: Creditors

Further information on Silverpoint or is it Signallia Marketing has just come in, apparently a representative from Signallia is knocking on the doors of guests at Hollywood Mirage.

There are this week a couple more happy ex-timeshare owners, the first is an ex-Anfi member, who this week had over 53,000€ paid into his bank account after his recent court case where his contract was declared null and void.

This does fly in the face of the Anfi management denying that anyone is getting paid, according to Canarian Legal Alliance, Anfi have actually paid out 2 million euros.

In another case a German client who purchased his Anfi del Mar timeshare for 14,000€ had his contract declared null and void, with thcourt awarding him over 23,000€ plus legal interest. This is a result of Anfi taking a deposit within the cooling off period which is forbidden, so the court awarded double the amount taken.

Now on with our Friday letter.

A Report from Two Diamond Resort Platinum Members Up-Sold by the Same Daytona Sales Agent

Sheilah Brust warns: Keep The Pencil Pitch

Gad and Noreen Liebmann: Up-sold into financial disaster

There is no such thing as the “Ability to get (Double Usage)”

Page 2 of the Pencil Pitch is based on 15,000 points actually purchased instead of 25,000, so 65,000 points illustrated instead of the 75,000 first proposed

65,000 own                $8,631 current maintenance fees before 15,000

65,000 given                2,621 maintenance fees on the new 15,000

130,000 points            $11,252 Total maintenance fees with new 15,000

 50,000 if used            8,000 Less reimbursement check

 80,000 left                  $3,252 Maintenance fees still owed       

x $.10 reimbursed     EXCEPT THERE WAS NO 65,000 POINTS GIVEN!

$8,000

The CLARITY™ Promise handed out before sales presentations:

With this clear, concise and consistent information, consumers can easily determine whether the Diamond Resorts hospitality experience is the right decision for them and their families.

https://www.businesswire.com/news/home/20170123005839/en/Diamond-Resorts-Launches-New-National-Customer-Service

Diamond’s Response to Sheilah Brust:

On April 5, 2018, we received a call from a “hospitality” agent. She said our complaint had been escalated to the legal team and they found no wrongdoing. This is part of what she said to us.

I definitely agree that your confusion of that process is warranted. I have spoken to our legal team and sales team and we agree the double point explanation is definitely something that could have been misconstrued or seen as confusing by members or purchasers.

We have made changes to the way that information is given at the time of sale but we have to say the stance we take on this is: because there may have been some confusion on how you may use those points to create a savings for yourself doesn’t make the explanation illegal.

By Irene Parker

June 8, 2018

Gad and Noreen Liebmann were up-sold by the same Daytona Regency sales agent as Sheilah Brust. Gad and Noreen have been protesting outside the Daytona Regency by holding up signs an hour or two every day except Sunday for over three months. They will take a few months off to go up north, but plan to resume their protest in September.

In preparation for this article, I felt it was important to get a feel for what it was like to hold up a sign. As we walked to Daytona Regency from our cars, Gad and Noreen dropped off food for a homeless man. Gad told us, “One of the homeless was offered $20 to ‘get rid of them’ and on another day one of the salesmen brought some water and wanted to “thank us” for picketing. He claimed that our presence increased their sales. He also told us that we could have more effect by working as greeters at Walmart to help pay our dues.”  

My husband and I weren’t sure what to expect. We arrived about 11:00 AM, Friday June 1. We were greeted by the security guard. He could not have been nicer. He seems to serve as a sort of diplomatic liaison between Gad and Noreen and the staff at Daytona Regency. He patiently listened to me relate some of the more serious allegations timeshare members have reported to Inside Timeshare, 208 since January 1. He said he has not purchased Diamond points.          

Inside Timeshare has heard from a total of 32 Diamond Platinum members, alleging they were up-sold by deceitful sale tactics or are disappointed in their Platinum membership. Of the 32 Platinum members, 29 members reported they were told they would be able to sell points, or pay for maintenance fees, if they purchased more timeshare points; utilizing programs members say did not exist. Thirteen of the 32 Platinum members say they have resolved their dispute. Eleven were up-sold by the same Diamond sales agent.

Pictured from left: Noreen, Irene, Tyler and Don

The sign my husband Don is holding reads,

Diamond is not responsible for what our sales agents say.”

This was told to Diamond member Joshua Parker (no relation) by a Diamond VP on a call Diamond recorded. Josh says he was told points are an investment and would be easy to sell. When Josh and Nichole learned they were expecting twins and could no longer afford the timeshare, they learned there is virtually no secondary market for Diamond points. Josh is a 90% disabled Army veteran. He served in Iraqi. They are in the foreclosure process.

John Collick, a decorated 100% disabled Marine veteran, was told he needed to buy Diamond points because Diamond was acquiring his timeshare, The Colonies. This turned out not be true.

Josh and John were both told, Diamond is not responsible for what our sales agents say.” That would be okay, except Diamond hands out to consumers before a presentation their CLARITY™ promise, launched after Arizona Attorney General Mark Brnovich issued the company an Assurance of Discontinuance.

Amanda and George Jones are both active duty Navy. They recently received their foreclosure letter. Both fear losing their Security Clearance. They say they were told by Diamond sales agents in Virginia and Florida their 18% loan would be easy to refinance, “Just Google it.” http://insidetimeshare.com/tuesday-slot-irene-3/

Today, June 6, 2018, another Navy couple contacted Inside Timeshare. They too could lose their security clearance as they are Navy logistics.   

Sheilah and Thomas Brust’s “Double Point Promise” complaint

Sheilah says she and her husband Thomas were promised double point usage if they upgraded by buying 15,000 additional points. Already Platinum members with 50,000 points, they had enough points to meet their travel needs.

Sheilah and Thomas met with Brad Leslie on February 4, 2017.  Mr. Leslie said there were big updates due to Apollo changes. Brad said he had just learned about the double points program in Orlando while in training. Another Florida DRI sales agent pitched a double points program to a Navy veteran. Her complaint has been resolved:

We were hosted by the Diamond Resorts East Coast Sales Team from Mystic Dunes. They said we had been invited to the workshop as a way to thank us for having been Platinum members for over five years. Mystic Dunes sales agent A M explained details of a program only available to five plus year Platinum members. A M said if I purchased an additional 25,000 DRI points, I could take advantage of a special offer and never have to pay maintenance fees. He illustrated on paper how the program worked.   

57,500 points I owned prior to the workshop

25,000

82,500 x 2 (double points) = 165,000

Back to Sheilah’s “Pencil Pitch”

Brad Leslie said that over ten years our maintenance fees would be $86,310. According to Brad, we would have 65,000 points after buying 15,000 more points but DRI would give us 65,000 more – so we would have effectively 130,000 annual points. Of the 65,000 original points, we would use 50,000 and the purchase of an additional 15,000 points would allow us the extra bonus 65,000 points. Brad said we would receive via check or reloadable debit card $8,000 from the redemption of 80,000 points at $.10 through a travel reimbursement program that could be used to pay maintenance fees. If we redeemed 80,000 from the 130,000, we would be left with 50,000 points to travel.     

I asked Brad why this program was developed. He said Diamond wanted to make sure we STAYED VACATIONED. Now it seems more likely he wanted to drive us into foreclosure to be able to start over with his next victim.  

As a result of this up-sell, we have less time to travel because we have to work to pay for the additional points that increased maintenance fees to $11,252. We also have a loan with Diamond for $31,000 and the $26,000 Barclay card charges.

Brad charged on two Barclay cards $14,000 in my name and $12,000 in Thomas’ name. After he opened the cards, Brad said,Barclays loves you! You got $26,000 credit!” I was livid after I learned what happened as we were unaware the amounts had been charged. We could have used a different credit card that would have gotten us rewards points.

We saw Brad again in May 2017. Brad said the program had changed. Brad told us in February we would be sent a debit card that would be reloadable for the maintenance fee reimbursement program. Brad informed us in May that DRI was getting rid of the debit cards because there were problems. Brad had said the double points (65,000) would appear on a split screen on our dashboard. He said DRI was still working on the split screen. This program only made sense if we received the additional 65,000 points. I wrote down everything Brad said. I have an accounting background.   

This whole deal was based on having 130,000 points using points at $.10 a point for a Travel Advantage reimbursement service, but this was of very poor value and only made sense because of the extra bonus 65000 points. You can book a lot of vacations with 54,259 points that would vastly exceed a measly reimbursement check for $5,425.90.

Brad assured us he would be here for us and hoped he could restore our trust in Diamond. We had explained how we had been duped into buying 4000 more points in California so our heirs would not be saddled with Diamond points.

Diamond has refused to help Sheilah, but she is encouraged by a call from her Florida Timeshare Division reviewer supporting her claim.

Gad and Noreen’s debacle

Gad and Noreen own 96,000 Diamond points, only because they bought an additional 25,000 points to take advantage of benefits they now know they already had. Gad and Noreen are both Army veterans. Noreen served as an Army officer in the nursing corps. Gad, also an Army veteran, worked for IBM and VISA, at times stationed overseas. The Liebmanns have nine children, not counting children they fostered. According to Gad,  

For over 20 years we enjoyed using our Diamond points. We had purchased eight Diamond contracts over the years and had been happy until Daytona sales agent Brad Leslie sold us 25,000 points November 22, 2017, we allege by fraud.  Brad told us that if we purchased 25,000 additional points for $70,000 we would get additional benefits. He showed us how using these benefits, we might not have to pay more maintenance fees if we used the same amount of vacation time. What Brad Leslie neglected to tell us was that we were already eligible for these benefits. He knew this. He also claimed that we could recover the cost of the additional points after 10 years. This was also false. Brad said that we would be even on the $70,000 within ten years if we only booked through Value Getaways.

A call to Diamond CEO Michael Flaskey got a response from a lady who offered to allow us to give back some of our points, lowering the dues but not eliminating the latest purchase.  In other words, give back points we already paid for, requiring us to pay the company $70,000 after being sold points to take advantage of a program we already had. We may be older, but we’re not stupid.

We have used all of our 2018 points for redemption reimbursement and with the over $700 monthly mortgage payments, we can no longer use Diamond points for vacations. Since we can’t afford to travel because of this debacle, we thought we should warn others by holding up our signs. I feel America is in a moral crisis when CEOs feel no concern when people complain directly to them of questionable business practices. My heart is heavy since the DRI salesman Brad Leslie professed to be a Christian, as I am.

Gad and Noreen protesting outside Daytona Regency

Thank you to Gad and Noreen and Sheilah and Thomas for joining our advocacy efforts. I reached out to Diamond for comment, but they did not respond. We were hoping they could explain Sheilah’s pencil pitch.  

Many timeshare members feel there is little to no timeshare enforcement in Florida. According to several members, Florida dismisses complaints, backing up the developer by also falling back on the oral representation clause. Florida receives about $70 billion a year in tourist revenue.

From the Florida Attorney General’s Timeshare Division DBPR

Timeshare developers are required to provide full and meaningful disclosures to purchasers in the documents they are required to deliver to them including the public offering statement, sales contract, and all supplemental documents at the point of sale.  A document called “Acknowledgment of Representations” or “Purchaser’s Understanding” or a similar document provides the disclosures which each purchaser initials and signs at the time of purchase and it contains all the relevant information about the timeshare product.  A developer heavily relies on these documents to refute any claims by a purchaser regarding the alleged misrepresentations. Therefore, in light of these written documents, it is very difficult to prove the allegations raised in the complaint.  

From the Arizona Attorney General’s Assurance of Discontinuance:

IV Assurances

“Diamond shall enhance its programs, policies and training and continue to instruct and train its Vacation Counselors and Sales Managers to comply with the ACFA (Arizona Consumer Fraud Act). Diamond shall advise all Vacation Counselors and Sales Managers that they may not:

  1. Sales agents should not deviate from sales material
  2. Sales agents should not make oral representations at the point of sale inconsistent with the Purchase document.

https://www.azag.gov/press-release/attorney-general-brnovich-announces-800000-settlement-diamond-resorts

Contact Inside Timeshare or one of these self-help groups if you need help.

https://www.facebook.com/timeshareadvocategroup/

https://www.facebook.com/groups/DiamondResortsOwnersAdvocacy/

https://tug2.com/Home.aspx

https://www.facebook.com/groups/180578055325962/

https://www.facebook.com/groups/465692163568779/

https://www.facebook.com/groups/1639958046252175/

That’s it for this week, Friday is here and the weekend is about to start, join us next week for more readers stories and their experiences in the world that we call “A Nightmare on Timeshare Street”.

We will also be publishing more information on those companies that keep springing up promising the earth and delivering nothing, so remember if you are called and are not sure if the company is genuine, do not do anything until you have done your homework, double check and check again.

If in doubt contact Inside Timeshare and we will show you where to look.

Have a great weekend.

Friday’s Letter from America

Today’s Letter from America by Irene Parker replaces the one that was originally scheduled, that article has been pulled as the company it revolved around has made a settlement in favour of the client. This is a result of the article being sent to the company for comment before publication, we just wish this happens more often.

A Disconnect between Wall Street and Main Street

Three more Seniors Driven into Timeshare Foreclosure

ILG’s stock rose about 5 percent on the news of the deal, while Marriott Vacations — paying $14.75 in cash and 0.165 of its own shares for each ILG share — slid 9.2 percent.

https://www.reuters.com/article/us-ilg-m-a-marriott-vaca/marriott-vacations-buys-ilg-in-47-billion-timeshare-merger-idUSKBN1I10ZX

Apollo Global Management (NYSE:APO) plans to take Diamond Resorts public, according to The Wall Street Journal

Sources indicate that Apollo is seeking a valuation of close to $4B for Diamond Resorts

https://seekingalpha.com/news/3347179-diamond-resorts-files-confidentially-ipo

May 11, 2018

Meanwhile, Introduction by Irene Parker

Inside Timeshare advocates on behalf of Active Duty military in danger of losing their Security Clearance due to timeshare foreclosure. Currently there are five battling this worry, including three members of the Navy, one Homeland Security agent, a defense worker, and a military paralegal. Veterans, from the ages of 28 to 83, including a double Purple Heart recipient, have reported allegations of timeshare fraud on the front of the sale, and difficulty selling timeshares they no longer want or can afford. Several of our veterans are combat disabled.             

Phyllis, Shirley and Marcy would like to share their timeshare experience to warn other seniors. All allege they were a victim of Elder Fraud. Shirley paid one of those “Get out of your timeshare” companies money to get out of her timeshare contract, only to be foreclosed. No one needs to pay anyone to be foreclosed. Now she is being taken to court by Barclays because her purchase was charged to a Barclay credit card. Marcy was called by another “Timeshare Exit” company. The caller said he was an attorney and told her the timeshare company would take her house and her Social Security benefits if she did not pay him $2900.   

The Consumer Financial Protection Bureau helped Wells Fargo victims when Wells Fargo agents opened bogus accounts. With the roll back of the Dodd Frank act, enacted to reduce mortgage lending abuses evident during the subprime mortgage debacle, happy freewheeling lending days may be here again for timeshare developers. Sources tell us there are few if any CFPB investigations.

Many of the complaints we have received are from timeshare buyers who tell us they had no idea credit cards had been issued and were told charging purchases to their Barclaycard would pay for their maintenance fees. Typically, around 1% of amounts charged can be credited to maintenance fees. Others were not even aware they had purchased a timeshare until they returned home.

Perpetual timeshare contracts, some with little to no secondary market, are signed via a tablet, technology foreign to some senior buyers. Seniors may be less comfortable with electronic tablets used to sign timeshare documents, but even those comfortable with tablet technology have reported it is more difficult to review documents on a tablet. Sales agents demand the buyer buy the same day the offer is presented with little time to review documents. Most report exhausting sales sessions that are aggressive and often last several hours.     

Inside Timeshare has received 421 timeshare complaints from our readers. Given we have received so many stories resembling Phyllis, Shirley and Marcy stories, Timeshare Advocacy Group is embarking on a nationwide media campaign to warn the public not to buy a timeshare without talking to their financial advisor, an attorney, or a member of the Licensed Timeshare Resale Broker Association. http://www.licensedtimeshareresalebrokers.org/

As a former stockbroker, I have nothing against great wealth. I wish we all had the foresight to grow old with Bill Gates and his stock price, but enormous profits gleaned by predatory timeshare sales and lending, coupled with timeshare exit scams has devastated the lives of hundreds of families, according to our readers, who did not understanding the nature of the developer based timeshare contract. Better Business Bureau reports, AG investigations, DOJ reports, and lawsuits galore support the argument that dream vacations can easily turn into a nightmare. As always, we know there are timeshare sales agents trying to sell honestly and many who are happy with their timeshare.  

Having followed timeshare stocks for three years now, my investing comfort level is with Disney Vacation Club. I have never described myself as a socially conscious investor, but having listened to 421 horror stories, my money is on Disney. Not one Disney member has ever contacted Inside Timeshare and the law firms I have surveyed tell me they have never had a Disney timeshare member seek legal assistance. Disney is a starter stock you can give to your kids and grandkids without regret. The following chart shows respectable profits can be gleaned from investing in Disney.

https://www.cnbc.com/2018/01/03/if-you-put-1000-in-disney-10-years-ago-heres-what-youd-have-now.html

Now on to Phyllis, Shirley and Marcy, three Inside Timeshare readers who contacted us this past week horrified at what is happening to them. I had trouble keeping them straight because they were all making the same comments:

I’m having panic anxiety attacks!

I can’t even read this because I’m having palpitations!

I’m so scared! I don’t know what to do!

Phyllis C, age 67, a California resident, was a Diamond Monarch owner

Phyllis works for a prison. She teaches residents how to sew uniforms for CalFire firefighters. Phyllis was the head pattern maker for OP, a brand I remember well.

By Phyllis

I was asked to attend a breakfast to talk about upgrades on a timeshare I owned. I was told it would last 55 minutes, but I was there for seven hours. Four highly pressured sales people took turns on me, bouncing me into three different rooms. They said my children would be responsible for the timeshare bankruptcy if I didn’t give up my Riviera Beach Club week and buy the new vacation points. They told me I would be personally responsible for my portion of the $32 million dollar Monarch timeshare company bankruptcy debt.

I told them over and over I didn’t want it and that I already owned the timeshare. They said I had to buy into the new program even though I had owned my timeshare forever. They said that I could never get out of it because my timeshare went bankrupt and I had to invest with Diamond Resorts or they would go after my children for payment. I had a panic stress disorder attack. After several hours, I was tired and hungry. In order to get out of there I signed. I am a senior citizen five feet tall. Sales agent Raymond Coppin was a six foot tall man, standing over me stating he was a child of GOD and that he could help me. He said to me “I am a friend. I can tell you what to do only after you sign a contract.” Victoria Borghetto, Hassan Younes, and Steven Ginsberg took turns telling me I had to buy Diamond points. They said using the BARCLAYS BANK CREDIT CARD for shopping would make my points go up and my maintenance fees go down.

I signed a contract to buy 3,300 Diamond points which they charged to a Barclaycard. I never received the card. I never used the card. I had a trial date May 8, 2018 to pay their lawyers in the amount of $3446.04. I have asked and been granted a 60 day continuance hoping I can find someone to help me. Diamond sent a letter stating the timeshare went into foreclosure and I am out of the contract. Since the timeshare and Barclays are together, shouldn’t I be out of paying the bank as well? Diamond already foreclosed on the timeshare I had used and enjoyed for so many years. I paid a timeshare exit company $1,600, but they must have nothing to do with Barclays?

I need help. Could someone give me advice? Can I get someone to go with me and represent me? I am afraid and stressed. Please e-mail me on what I can so as soon as possible. Thank You.

By Shirley K Minnesota, age 74

Club Wyndham

We will not be paying the Barclay card amounts due. We believe we are a victim of Elder fraud. This Tennessee news report interviewing the couple pictured in this television news report is exactly what happened to us. Wyndham opened a Paypal credit line without our knowledge. Furthermore, we feel we were scammed into opening two Barclay cards to purchase 84,000 Wyndham points for $14,879 on April 27, 2017. Mr. Ryan and Ms. Lapping told us the Wyndham points would not cost anything if we charged things to the Barclay credit card.

https://www.newschannel5.com/news/newschannel-5-investigates/consumer-alert/couple-goes-to-wyndham-timeshare-meeting-unknowingly-gets-15k-line-of-credit

Branson sales agents:

Gerald Ryan was highly aggressive

Samantha Lapping

I have filed a complaint with the Missouri Attorney General, the FBI at IC3.gov and the Consumer Financial Protection Bureau. I will be filing a complaint with the FTC and our Minnesota Attorney General.  

We did not know that the Barclay cards had been opened until we returned home. They had run our credit on our personal cards and came back saying, “You have great credit!” They must have opened the cards based on that information.

When I felt we had been scammed, I called and cancelled the Barclay cards shortly after the April 27, 2017 purchase. I thought that was the end of it, but on May 2, 2018 I received correspondence from Pinnacle that said I owe Barclay’s $14,879!  We are getting calls from Pinnacle.

https://www.bbb.org/minnesota/business-reviews/financial-services/pinnacle-credit-services-llc-in-minneapolis-mn-23002292/reviews-and-complaints

I didn’t even know what we bought. They had said if we charged things using the Barclay credit card, then it would all be free because we would not have to pay anything. They said we would pay for the Wyndham points by using the credit card. We were there from morning until about 2:46 PM in the afternoon. I am 74 years old and my husband Ellsworth is 77. Ellsworth is hard of hearing.

The following charges we were not aware of were charged to us.

$5,500 was put on a Barclaycard in Shirley’s name

$9,379 was put on a Barclaycard in Elswsorth’s name

$7,349 Promotional purchase

$2,000 Promotional purchase

$30 Promotional purchase

We were shocked when we received a “Welcome to Pay Pal credit and thank you for an account” on April 27.

I have always paid my bills until this nightmare. I have sciatic nerve problems and I don’t know what to do. I am not sleeping and don’t know where to turn. I am working just to make money to try to end this. There was no time to read anything. I believe this is Elder Abuse and Elder Fraud.

Marcy S, age 70, a California resident, widowed

I owned a deeded week at Ka’anapali Beach Resort

I was contacted by a man who identified himself as Louis Stravricos who said he was an attorney with US Consumer Attorneys Group in San Diego.  His telephone number is 855-627-0795. He said he was calling about my Diamond timeshare. He was aware that I was a Diamond owner and that I owned at Ka’anapali Resort. He sent me a copy of their contract and said I needed to pay him $2900 to get out of the Diamond contract.  He told me Diamond was going to take my house and my children would be responsible for paying all Diamond debts and that they would even attach my wages.  He said Diamond would also take my Social Security payments and my retirement.

I have not paid my Diamond maintenance fees for about three years. I wanted to deed it back to Diamond but they would not take it back. I tried to sell it but no one wanted it. I have Fibromyalgia so it is very difficult for me to travel.

This man that called was horrible. It was very scary. Would you please contact Diamond for me because I do not know what I should do? (We did and Diamond responded) I did not know if he was telling me the truth.

Irene told me that now Diamond has a program called Transitions, a voluntary surrender program. If I was current on my maintenance fees, I would in all likelihood be accepted for Transitions. I heard nothing from Diamond until I recently received a letter that said I was past due on $9,000 in maintenance fees. I cannot pay that.

Four other complaints were reported to Inside Timeshare directed against the same timeshare sales agent and in one complaint, the same vice president of sales mentioned in Marcy’s complaint:  

Complaint #1

The agent stated that we could take any points we did not use and apply them towards our maintenance fees.  He then spoke of the opportunity to earn an additional $2,700 towards our maintenance fees by using the Barclay Credit Card.  What he failed to advise was that we would have to charge $270,000 annually to earn $2,700 towards our maintenance fees!

Complaint #2

We were Monarch owners. We were told unless we bought more points our heirs would be responsible for maintenance fees.

Complaint #3

The presenter said we were not full members and we should have received a letter to go to full membership. I told them we never received a letter. He then offered a deal that would only be good right then.  He informed us that what we had was worth nothing now and we would have to upgrade to be able to use any benefits because of the bankruptcy.

Complaint #4

We were told at the Capistrano Beach Resort we would not be able to use our Monarch week unless we bought points and that our Monarch week was worthless. We were not told of the option to deed back the week.

Other seniors foreclosed:

Deneice and Louis Vargas – in the foreclosure process

http://insidetimeshare.com/fridays-letter-america-21/

Seniors Romeo and Lily Dalisay

http://insidetimeshare.com/fridays-letter-america-9/

We seek to provide timeshare members a way to proactively address membership concerns; to advocate for timeshare reform; to obtain greater disclosure from the company; to advocate for a viable secondary market; and to educate prospective buyers.

https://www.facebook.com/timeshareadvocategroup/

https://www.facebook.com/groups/DiamondResortsOwnersAdvocacy/

https://tug2.com/Home.aspx

https://www.facebook.com/groups/180578055325962/

https://www.facebook.com/groups/465692163568779/

https://www.facebook.com/groups/1639958046252175/

Thank you to Irene and our contributors for their story, it makes you wonder how these overpaid company executives can actually sleep at night, I think we all know the answer to that, no conscience, pure greed and a greater love of money than their fellow man!

Unfortunately it all starts with those lower down the food chain, the sales agents, obviously looking to become one of the big boys with their own office!

Well that’s it for this week, Friday is here and the weekend begins, have a good one.

The Tuesday Slot with Irene

Welcome once again to the Tuesday Slot with Irene, today we share with you A Timeshare Warning to Military and Law Enforcement by another retired military veteran Joshua Parker, no relation to our very own Irene Parker, this article continues our series of timeshare whoes revolving around veterans.

Over the past few months Inside Timeshare has been highlighting many stories of retired military and law enforcement vets who have succumbed to the sales patter of highly skilled rogues. Some have seen their entire life savings whisked away and now facing financial ruin, all due to the predatory sales tactics of timeshare sales agents.

Inside Timeshare and all our contributors send out the same warning, beware the sales agents!

Following on from another article by one of our new contributors Meryl Reyman, whose article we published on 17 April, it is with great joy we mention her article is now being published in The Spectrum. Meryl has also made it to USA Today, so Inside Timeshare with your help and contributions is certainly making the headlines and bringing the despicable tactics of the timeshare industry to a wider audience.

https://www.thespectrum.com/story/opinion/mesquite/2018/04/30/reyman-beware-nevadas-predatory-time-share-companies/564676002/

Over the past year it has not been just vets that we have highlighted, it is also the elderly who have also been targeted as easy prey. It is not just in the US this is happening, Europe is also seeing the same thing. Inside Timeshare has been receiving many enquiries on how to get out of timeshare and the loan agreements which they have been sold. One of the main culprits in providing these loans is Barclays.

We have in our case books many pensioners who have been coerced into purchasing “investment packs”, all financed by Barclays Partner Finance, arranged by sales agents, even though the purchasers have stated they could not afford it. Yet loans of upto £30,000 have been granted, without even a check on income versus outgoings reports, with only small pensions as their income!

Inside Timeshare will continue to highlight these practices, along with all the rogue resale, claims companies and fake law firms, it is you the readers that provide us with the information to warn others of what is going on, for this we thank you.

Now for Joshua’s article.

A Timeshare Warning to Military and Law Enforcement  

A Public Service Announcement

Timeshare foreclosure can result in the loss of Security Clearance

By Joshua Parker, US Army, Ret, OIF

May 1, 2018

Timeshare Advocacy Group™ is a group of volunteers advocating on behalf of consumers victimized by predatory timeshare lending, sales and marketing. These tactics have caused several members of the military to fear the loss of their Security Clearance. This poses a threat to our national security in that anyone can get hired to sell timeshare points with the intent to see Security Clearances revoked.

If a military member must foreclose, the chain of command considers that member a security risk. A military member in severe financial distress is vulnerable to acts of desperation and is at a high risk for career termination.

Few timeshare buyers are aware the timeshare contract is perpetual, often unable to be sold and accompanied by rising maintenance fees. The timeshare contract is one-sided. Benefits can be changed or eliminated at any time for any reason.  

The most common complaint is deceit and bait and switch. Some examples of what prospective buyers or existing timeshare members have been told:  

  • It’s easy to refinance an 18% timeshare loan or there are special military offers that do not exist. Banks do not finance timeshares.
  • Timeshare points can be easily resold or rented. While Disney Vacation Club maintains some resale value, many timeshares have virtually no resale value. When an owner wants to get out of a timeshare, he or she may go to a timeshare exit company. These services charge money upfront offering to list or sell your timeshare. Members of an organization called Licensed Timeshare Resale Brokers Association (LTRBA) charge nothing upfront to list a timeshare for sale. Check with a member of this organization before paying anyone to sell or get you out of a timeshare.
  • Those desperate to get out of a timeshare may pay thousands in upfront money, relying on a “guaranteed exit” only to be told foreclosure is considered a guaranteed exit. It is not necessary to pay anyone to foreclose.
  • One pattern of deceit is to sell a package that is family-affordable although it is not the package the family needs.  After complaining, the family is told the answer is to buy more timeshare points.
  • Deceit occurs when a prospective purchaser is shown a Presidential quality unit that is not available to them based on what they actually purchased.
  • Another deceitful practice occurs with the upsell of existing owners. Those members are told that additional points are financially advantageous.If the member pursues a contract rescission, they must prove to layers of corporate employees that, in their case, there has been a deceitful or predatory practice. It is the job of those employees to convince the owner/member that he/she has misremembered how the program works. The owner, by persisting with a gauntlet of letters, interviews, rebuttals, and regulatory and law enforcement filings, may convince the company to accede to their case. If there is a predatory lending loan, the owner can include in his/her arguments a reference to the FBI’s description of White Collar Crime, Mortgage Fraud, and Fraud for Profit.
  • Timeshare companies and timeshare sales agents can dodge the state contract rescission period by not allowing access to the booking site, or tell the new timeshare buyer maintenance fee relief programs/ability to sell points will be effective at a later date.

If you or someone you know has a timeshare concern, contact Inside Timeshare http://insidetimeshare.com/. There is never a charge. Those helped are encouraged to make a donation to Whistleblowers of America, an organization seeking justice for active duty military, veterans and government workers. https://whistleblowersofamerica.org/

That’s it for today, Inside Timeshare is closing early as it is May Day (Spain has closed down), or as some call it International Labour Day, personally I call it “Early Happy Hour”. See you all tomorrow.

Friday’s Letter from America

Welcome to this week’s Letter from America, it is another “Nightmare on Timeshare Street” story involving yet another Veteran Raymond Mori, who is also a Double Purple Heart Recipient, his story is written by his daughter Teresa Laird, who is also a Veteran.

purple heart medal

This story along with others we have been publishing with similar stories from the elderly, seems to point to one thing, these groups are being deliberately targeted by Diamond Sales Agents. It can only be described as totally despicable behaviour, Diamond needs to get their house in order and be rid of these practices with the sales agents losing their licences and jobs.

Diamond is not only to blame in this matter, Barclays is also culpable, after all they are the ones providing the finance through their BarclayCards, which in many cases the clients did not know that one had been taken out in their name, until it is too late.

In Europe we have seen similar problems with Barclays, allowing sales agents to arrange loan agreements on the day with only a cursory credit check. None of the consumers who have contacted Inside Timeshare on this matter have ever had to provide an income and expenditure report, to show that they can actually afford the loan. This is something that would normally be done when taking out any sizable loan.

Usually we report on the week in Europe, suffice it to say it has been rather quiet, with only one court sentence reported this week. It involves the Puerto Calma Group, the Court of First Instance in Maspalomas found the contract illegal and declared it null and void, the clients in this case have been awarded 19,000€ with plus a further 3,600€ as a sanction for the illegal taking of a deposit within the cooling off period.

The only other major news was addressed in yesterday’s article about TESS, which has prompted many readers sending messages of support. One reader, even went on to say that Mr Cox is one deranged man and is obviously very ill, well, that is something we can well believe going by what he has been doing over the past months. There will be more to come on that story.

Now for this weeks “Nightmare on Timeshare Street” article.

Another Veteran, Raymond Mori, Alleges Timeshare Fraud

Retired Marine and Purple Hearts Recipient

Supported by Josh Parker, Army Veteran, Kevin and Brenda Hopkins, Air Force Retired, Roy Simmons, Navy Veteran

Exclusive: ILG explores merger with Apollo’s Diamond Resorts Timeshare Math – $3.5 Billion minus $2.2 Billion = $1.2 Billion

https://www.reuters.com/article/us-ilg-m-a-diamondresorts-exclusive/exclusive-ilg-explores-merger-with-apollos-diamond-resorts-sources-idUSKBN1GX2XJ

Purple Heart Crest

By Teresa Laird, Raymond and Teresa Mori’s daughter

Friday March 23, 2018

I am writing this article on behalf of my parents, Raymond and Teresa Mori, ages 83 and 79. My dad is a Marine veteran having served 23 years. He is 100% disabled. My dad earned two Purple Hearts. I too am a Veteran, an Army medic.     

Had I not been at the last Diamond Resorts “Update” March 13, 2018, I am convinced my parents, at age 83 and 79, would have purchased 30,000 additional Diamond vacation points for $234,295. This offer required a down payment of $69,993. I kept the paper of these terms under the table because members are not allowed to walk out with handwritten notes. My dad was not feeling well. He falls asleep in his wheelchair and had spent six months in the hospital after a heart attack. The stress over this expense has caused their health to deteriorate further. Thank you to Whistleblowers of America for advocating on behalf of Veterans. Please consider a donation to WoA if you are not drowning in timeshare loan payments, Barclaycard payments and annual timeshare maintenance fees.

https://whistleblowersofamerica.org/

 The sales agent we met with in Las Vegas did not even know how many points my parents already owned. The maintenance fees for 30,000 additional points would have been $4,466 on top of the maintenance fees for the 27,000 points they already owned. I’ve learned my mom’s entire Social Security check goes to pay the Diamond expense. I am beyond angry.

I have joined forces with Angela Simmons Sandstede, Josh and Nichole Parker, Josh a combat veteran, Kevin and Brenda Hopkins, Air Force, battling Diamond.

Angela says her parents were upsold to $2,750 a month in Diamond mortgage payments and are facing bankruptcy because of the up-sells. Angela’s parents live on her dad’s US Postal Service Letter Carrier’s pension.

Angela says her parents owned 52,000 DRI points before being pressured into further up-sells we both feel were fraudulent and criminal. We believe our parents. Angela and I have partnered to become advocates helping seniors needing assistance making a YouTube so the public can see what harm we feel is being done to the elderly, although there are many complaints from those younger as well. Mr. Simmons is also a veteran. He served in the Navy. Angela and Mr. Simmons, Josh Parker and Kevin Brenda’s YouTube:

Roy Simmons and Angela Sandstede Simmons

https://www.youtube.com/watch?v=j_nca6lMA4U&feature=youtu.be

Kevin and Brenda Hopkins

https://www.youtube.com/watch?v=zAkBlfyhVYQ&feature=youtu.be

Josh Parker

https://www.youtube.com/watch?v=ezkJ7GlJN4U&feature=youtu.be

Inside Timeshare has been asked to submit an article to a military down trace that will be distributed to 7,000 active duty army, three divisions, a Buyer Beware PSA announcement, given we have now nine active duty Navy, Homeland Security, Air Force, and a member who works for a defense contractor worried about their Security Clearance alleging they were defrauded by timeshare sales agents.

Teresa & Raymond Mori’s Nightmare on Timeshare Street

Like many, my parents used their Monarch Grand Vacation timeshare for years without complaint. In reviewing their documents, I feel there was deception from the moment they encountered Diamond Resorts. Like many, they were told they had to give up their Monarch deed and buy points. I’ve learned they did not have to do that. Since Diamond acquired Monarch, their annual maintenance fees have increased from $2,600 to $4,600. Like Angela’s mom, my mom is also so stressed over this I can’t ask her to participate in a YouTube. I am in college, now facing filing a barrage of regulatory and law enforcement complaints on top of writing my archeology thesis. My parents have not used their Diamond points. They give their points away.     

My mom told me they had purchased an investment, I called Diamond Resorts when my dad said they wanted to sell some points. My dad is so angry he doesn’t want to talk about it. When I asked how to go about selling points, the DRI hospitality agent laughed at me and said you can’t sell back points, but you can use them towards merchandise purchased through Diamond Resorts. When I looked into the value of doing this, it was no help to my parents. This needs to end. The elderly need to be protected.

According to what my parents reported, they have been lied to at each up-sell. They told me they were told they were investing in property. They were not allowed to take the contracts to their room to go over them. The agents would not allow my parents to call me to discuss the transaction. They have described high pressure tactics, constant messages to their room, phone calls, increasing gift values when they said no to “Updates”, any tactic to get them onto the sales floor.  Once they got them there, they were told they would not get their gifts if they left.

Here’s what happened

4,000 Diamond points purchased 3/12/2013 converting from Monarch to DRI

9,300 points were provided as “equity”   

Purchase price: $20,416 now owning 13,300 points

2500 Diamond points were purchased 6/25/2013 at Palm Canyon Resort

Purchase price: $8,325 now owning 15,800 points

2500 Diamond points were purchased 7/29/2013 at Polo Towers Las Vegas

Purchase price: $8,616 now owning 18,300 points

At ages 79 and 75 they were sold a Sampler product. This is a trial program. Why did they need a trial program if they bought points several times?

5000 Sampler points purchased 5/4/2014 in Sedona

Purchase price: $2,995

This was when I realized the predatory nature of timeshare sales. I called Diamond corporate and told them they needed to take back this last Sampler purchase at the very least. They said they would work with us. Instead, they sold my parents 17,000 more points! They said they would attach the Sampler points to another program. I could not believe it. Think how easy it would be to misrepresent or confuse them by selling points by phone. I am infuriated.

17,000 points were purchased at ages 79 and 73, after spending six months in a hospital after a heart attack, now owning 27,000 points

Purchase price: $49,492 told $13,991 was equity from their prior contracts

Amount financed: $47,138

New maintenance fees: $4,780

My mom and dad are good people who worked hard all their lives. My mom worked as an interpreter for the Ontario CA school district. She speaks Spanish. My dad is diagnosed with early Alzheimer’s. To think their lives have been ruined by this company, in my opinion, speaks of unspeakable evil. Angela and I vow to stop. We are advocates now.

From what Angela told me, I will be told by a Diamond Resorts Hospitality agent, working for Diamond Resorts Consumer Advocacy Department, “Sorry, you signed a contract.”

There seems to be no regulation, no enforcement and no one cares.

Elder financial abuse is a type of elder abuse in which misappropriation of financial resources or abusive use of financial control, in the context of a relationship where there is an expectation of trust, causes harm to an older person. https://en.wikipedia.org/wiki/Elder_financial_abuse

inspired advocates

https://www.facebook.com/groups/DiamondResortsOwnersAdvocacy/

Thank you Teresa Laird for writing your parents story, also once again a very big thank you to Irene Parker and the army of volunteers who are doing a fantastic job in highlighting and help all those who are turning to Inside Timeshare for help.

If you have been contacted by or are thinking of doing business with any company and are not sure if they are genuine, contact Inside Timeshare, we will help you find the information.

Remember, many of these companies are very professional at getting you to believe what they say, they know what you want to hear and will target that.

So that’s it for this week, another Friday is upon us and the weekend beckons, we hope you have a very relaxing and enjoyable weekend, join us next week for more news and information on the seedy world of timeshare.

friday cat

The Tuesday Slot with Irene

Although this is the Tuesday Slot with Irene, we welcome a new contributor, Greg Jennings with his “Nightmare on Timeshare Street”, once again Irene Parker was the editor. As usual we will have a quick roundup of some of the news in Europe.

Yesterday we published the article on Silverpoint and their announcement that they had stopped the resale programme of Club Paradiso, today we received another Newsletter. This one is from Club Paradiso and is slightly different from the last in that they now claim they are looking at alternative “Marketing Agencies” to begin the “Resale Programme” for Club Paradiso members.

The question is now, will this be a company set up by Silverpoint, or will it be an already existing company?

The other question is regarding the resale market itself, where is it?

That question we leave you the reader to answer.

Last week Canarian Legal Alliance announced their 96th and 97th Supreme Court victories, this is an amazing achievement, making yet again Spanish legal history. These cases were against Puerto Rico SA (Puerto Calma) and Silverpoint respectively. Both contracts being declared null and void and the total awarded in both cases 56,600€ plus legal fees and legal interest.

CLA also published in their news section a letter from one of their clients, Mr Rolf Ingvar Høyer, (Professor Emeritus (BI Norwegian Business School, Oslo). In this letter he explains his dealings with CLA in the long running case against Anfi.

This began in 2009 and ended up with the case being heard at the Supreme Court, with 131,000€ being transferred to his bank account at the end of last year. For his full story follow the link to the CLA website.

https://www.canarianlegalalliance.com/celebrating-victory-mr-hoeyer/

With all the negative spin being put out by Anfi against CLA, this should leave you the reader in no doubt that timeshare companies cannot be trusted with the truth.

So on we go with another readers experience at the hands of Diamond sales agents.

My Name is Recycled Inventory

Geek

By Greg Jennings

Diamond complaint #58 out of 94 Inside Timeshare received since January 1

March 20, 2018

How I became a victim of Diamond Resorts

The first year: They said that there was a meeting I should have been invited to, but if I wrote a note to the sales manager stating that I was not aware of this meeting, I could buy additional points at the reduced sale price.

2017:  I attended yet another Owner Update, unhappy with my Diamond ownership.  I was in way too deep and my employment situation was not secure. During this meeting, Las Vegas DRI sales agent Jeff Regier asked why I was unhappy, and then proceeded to tailor his sales pitch accordingly. I told Jeff that the outstanding loan was unaffordable, and that without full time work, my savings had been depleted in order to keep my Diamond loan current.

That’s when he offered what appeared to be the perfectly tailored pitch:

If I purchased 4000 additional points, I would be at a level where I could use the points to pay maintenance fees, would qualify for a lower interest rate on the mortgage, and most importantly, if I was unable to continue, I could pursue the “Exit Strategy”, where Diamond would buy back my ownership at a reduced rate. Jeff said these benefits wouldn’t be accessible until after January 1, 2018. This is how they dodge the rescission period.

The following link and comments are from a Ripoff Report against Jeff Regier written by Jonathan Brown, July 8, 2016:

https://www.ripoffreport.com/reports/diamond-resorts/nationwide/diamond-resorts-diamond-resorts-international-timeshare-scam-hostage-liar-las-vegas-n-1315868

If you want to actually take a vacation and enjoy it without being forced to sit in an office for 7 hours then AVOID DIAMOND INTERNATIONAL. I had 2 specifically bad Sales reps here Andrew Fernando, wouldn’t let us leave even when my Son needed food. Went and got food so that we could STAY. My son needed a Nap, he said, go give him a nap and then COME BACK!

Right, because that’s what I want to do on vacation, spend time with Andrew Fernando all day. Then Jeff Regier got involved. He actually corrected Andrew 4 times in front of me for not clearly explaining what was going on. Once I figured out that they wanted me to spend 30K More, I was out.

Back to my nightmare

lightening cash

My story begins 2006 or 2007. I was in a bad place in life. Most of my records had been lost. Talking about this is uncomfortable, because I feel stupid for falling for the scam I now understand this timeshare sale was. I’m embarrassed and ashamed. I only hope my story helps others understand the predatory nature of this industry and just how worthless the product is in relation to what it cost me.

I had originally purchased a timeshare from Monarch Grand Vacations believing I had purchased a retirement travel lifestyle for just under $10, 000. The sales pitch was impressive. Monarch owned eight premier resorts in the western United States and was affiliated with Interval International. In addition, Monarch owners could enjoy “unlimited Day Use” at any Monarch property, without using points.

My grandmother had recently died, leaving me with a small inheritance. I was drinking and gambling. In my depression I think I just wanted to secure some part of normalcy. I attend a convention in Las Vegas every year so assumed this ownership would make that more affordable. I had been suffering with a disability due to a chronic back injury. With no support base, dependent on narcotic pain medication, I was an easy mark for the timeshare sales team.

The first year was pleasant enough. I was able to travel to Las Vegas using the points, but was disappointed to learn Monarch would be going through bankruptcy.

The second year I exchanged my points through Interval International.

The third year in Las Vegas, I attended a Diamond “Owner Update” where I encountered the hard sale. They said due to bankruptcy, Monarch inventory was being transferred to creditors. With inventory dwindling to zero, there would eventually be no availability so my only option to preserve the value of my investment was to purchase into the Diamond Resorts family, as DRI was the largest creditor. This was accomplished with a separate loan, monthly payments, and an increase in maintenance fees.

Over the next few years, the owner updates were roughly the same. Apollo Global Management acquired Diamond and point values had been adjusted. I was told that in order to continue to attend my annual conference I would need to purchase additional points in order to find available inventory. These updates often exceeded three or four hours. My need for pain medication made me susceptible to doing whatever I could to end the updates. I panicked thinking everything I had been paying for would be valueless as Diamond reduced inventory in order to escalate demand for DRI points.

In 2016, I made what I thought would be my final purchase. I had just made Silver Level, but DRI sales agent Paul said that I was not financially viable unless I became Gold. I left with a new $374 monthly payment on a 15 year loan. I had been struggling to make the prior loan since my second accident that happened in 2011. I had lost my home to foreclosure while on temporary disability.

In 2017, I attended yet another Owner Update now seriously unhappy with Diamond. I was in way too deep and my employment situation wasn’t secure. I told Jeff  the loan was unaffordable and that my savings had been depleted. I had been trying to sell my timeshare on the secondary market but there was no demand for Diamond points. The $3000 maintenance fee cost more than 10 days in many hotels. The only way I had been able to secure DRI availability was in response to marketing emails which required another sales meeting.

During this update, DRI sales Jeff Regier asked why I was unhappy, and then proceeded to tailor his sales pitch accordingly: If I purchased 4000 additional points, I would be at a level where I could use the points to pay maintenance fees, would qualify for a lower interest rate on the mortgage, and most importantly, if I was simply unable to continue, I could pursue the “Exit Strategy” – Diamond would buy back my ownership at a reduced rate. These new benefits wouldn’t be accessible until after January 1, 2018. This is how they dodge the rescission period.

This “exit Strategy” was what I believed would be my way out. I of course didn’t need or want more points. Jeff Reiger knew I couldn’t afford more points. I only bought points because I was desperate to end my relationship with DRI. He used that to hook me. He also said he would act as my point of contact for all future DRI dealings, getting me discounted bookings and that I wouldn’t have to deal with any more sales people. After almost 4 hours, I needed to be done.

As it turned out, the interest rate was essentially the same, the loan was now 10 years, and part of the balance needed to be on a Diamond branded Barclays credit card offered at 0% interest. Jeff said if I called him in January he would get the 0% extended, and that I could use the card to pay down principal on the note. The loan required direct access to my checking account for approximately $560 per month. I went online in January with the tablet I had been given as instructed by Jeff, but could find no promised, “Exit strategy”, the ability to pay maintenance fees with points, or any form of buyback program. I had been duped.

I called Jeff in January and asked him to extend the zero percent interest on the credit card, and transfer some of the loan balance to the Barclaycard. He said I needed to call the credit card issuer myself, because he couldn’t do it without my personal information. He said if they would not extend it I could apply for a new card with a promotional interest rate. He then said he would be unavailable because he was going on vacation. This was the final straw. This was when I realized what a fool I had been to believe anything these people told me.

With my remaining 2017 points, I booked a trip to Hawaii by responding to a promotional email for Kona Village Resort. During the mandatory update, I refused to buy more points. I was then accused of illegally recording the meeting. The sales manager demanded I sign a blank form. When I refused, he said he’d “take care of it” adding that I’d never get a discount booking again. They also refused the promised resort vouchers for attending the presentation. This was a breach of the timeshare practice offering compensation for attending promotional meetings without obligation to purchase.

Sales agents claim points have value. They told me to preserve value I had to buy more points. They told me they would make ownership more affordable. They told me I could use points to pay maintenance fees. They told me if I couldn’t continue, they would buy back my ownership – LIES – every one of them. When I sent a letter to Diamond requesting information on the promised “Exit Strategy” I received an email stating no such strategy exists.

I have run out of money. The automatic payments have drained my account. I have come to terms with the fact that I have wasted over $60,000 over the last ten years trying to preserve what I was told was an investment in retirement travel.

As I sit here today, I am unemployed, struggling with a disability, and financially devastated. Diamond collection agents call every day. When they call, I ask if they are offering me employment. At first, they told me I needed to confirm my contact information for security purposes. When I refused, they told me they couldn’t discuss my account, so I ended the phone calls. They still call but no longer ask for verification. When I ask about the exit strategy, or if they are aware of promises made by their sales staff, they tell me they are only going to discuss my account. So I end the call.

I have no idea how to proceed, but I cannot pay with money I don’t have. I am sure they will find many ways to ruin what was left of my credit having bled me of my finances. They don’t care. I see them as predators. They will move on to new victims, and the cycle will continue. But I will no longer participate.

I am recycled inventory.

Comments from Irene: Greg is not stupid. We have heard from doctors, lawyers, a contract specialist for Consolidated Edison, professors, 34 active duty and retired military including Raymond Mori, recipient of two Purple Hearts. His daughter Teresa Laird submitted an article for this coming Friday’s Letter from America. I have an MBA and a CFP. We all signed DRI contracts. We all say we were told things that were not true. With 338 Diamond Inside Timeshare reader complaints received since late 2016, Greg is not alone. Unresolved complaints:

Josh Parker

https://www.youtube.com/watch?v=ezkJ7GlJN4U&feature=youtu.be

Eron Grant

https://youtu.be/-FMk_45zRzk

Roy Simmons

https://www.youtube.com/watch?v=j_nca6lMA4U&feature=youtu.be

Kevin Hopkins

https://www.youtube.com/watch?v=zAkBlfyhVYQ&feature=youtu.be

 

We seek to provide Diamond Resort members a way to proactively address membership concerns; to advocate for timeshare reform; to obtain greater disclosure from the company; to advocate for a viable secondary market; and to educate prospective buyers.

https://www.facebook.com/timeshareadvocategroup/

https://www.facebook.com/groups/DiamondResortsOwnersAdvocacy/

We’re here for Greg

coloured hands

Thank you Greg, your story is truly up there with the worst of “Nightmare on Timeshare Street”. Also thanks to Irene and all the volunteers who are helping people like Greg. These stories are becoming all too familiar at Inside Timeshare, with readers contacting us on an almost daily basis.

If you have any questions or comments about anything in this article or previous one published, contact Inside Timeshare, using our contact form for a private message or post a comment on the relevant article.

Have you been contacted by a company offering you a service such as resale, claims or relinquishment, or are searching the net for one, then remember to do your homework before engaging with them. If you require any help in checking their validity, then use the contact form with your questions, we will then get back to you and point you in the right direction.

It pays to be diligent so do your homework and save your money!

give us money

The Tuesday Slot with Irene

Welcome to the Tuesday Slot with Irene, this weeks article has been submitted by Sheilah Brust and her complaint to the FBI regarding her dealings with Diamond sales agents. Inside Timeshare has passed on many complaints to the US team, who are also helping people to file similar complaints.

Now for our usual look at some of the European news.

Another contract has been declared null and void by the Supreme Court in Madrid, this time against Palm Oasis / Tasolan. According to the judgement the contract was once again in breach of the timeshare law in regards to the contract being for an indefinite period, or for more than the stipulated period and the taking of deposits within the cooling off period.

The UK couple (pictured below) have been awarded over £12,000 plus the legal fees and legal interest. The case was brought by the lawyers Miguel Rodriguez Ceballos and Eva Maria Gutiérrez, both from Canarian Legal Alliance.

CLA Clients

PDF for the Supreme Court Sentence

Palm Oasis Tasolan Supreme Court Sentence 114-2016

It has also just been announced that CLA have received Supreme Court ruling number 95, this was against the Tenerife based company Silverpoint.

The court again declared the contract null and void and has awarded £99,504 to the client, the court increased the amount by an incredible £26,652 in way of a fine against Silverpoint for taking an illegal deposit at the point of sale during the cooling off period. The client will also received back the legal fees and legal interest.

So far there is no news on the sentencing of Dominic O’Reilly or Stephanie O’Reilly of EZE Group, they pleaded guilty at Birmingham Magistrates last year, with the magistrates referring the case to Birmingham Crown Court for sentencing. The delay may just be due to waiting for reports from the probation service which is a normal procedure, especially if a custodial sentence is possibly involved. When we find out we will let you know.

There is also still no news of the investigation of the South West Police ROCU investigation into some of the Mark Rowe companies, this is likely to be a long drawn out investigation which will be covering these companies activities over a number of year. Obviously there will be many consumers with complaints and all these will need to be interviewed. So don’t expect a speedy conclusion.

Now on with our FBI article from Sheilah edited by Irene Parker.

FBI Talking Points – “Just the Facts, Ma’am,” Joe Friday

By Sheilah Brust

March 13, 2018

For timeshare members too young to remember, “Just the Facts, Ma’am”

dragnet

The show (Dragnet) was the result of an extraordinarily close collaboration between (Jack) Webb (Sgt. Joe Friday) and LAPD Chief William H. Parker, who had quickly built a reputation for eliminating corruption. (Timeline June 20, 2017)

https://www.youtube.com/watch?v=N3Xh4f8lOjU&list=PL_72IjwCotIQgQAe2WPvR2mPwEPVl-1FB

It was hard to believe I was on hold, waiting to talk to an FBI agent about my vacation plan. I am so disappointed at having to resort to this, but what we were told was not true. We have owned this timeshare since before it was acquired by Diamond Resorts. We had traded in our deeded timeshare into non-deeded Diamond vacation points and had accumulated 50,000 points, enough to become Platinum Diamond members. We had hoped to leave something nice for our children and grandchildren. After experiencing what I believe to be fraudulent bait and switch tactics, we don’t have enough money to travel. Like so many other complaints, we were told if we purchased additional points, we would not have to pay maintenance fees.  My husband and I had to get part time jobs to pay for the fees. I used to work for the New York State Governor’s office of Employee Relations, so I knew to start filing regulatory complaints, which is so time consuming it’s like having two part time jobs!

50,000 points I owned prior to the presentation

15,000 additional points in dispute

65,000 x 2 (double points) = 130,000

Our annual maintenance fee on 50,000 DRI points is $8,631. The additional 65,000 points redeemed at $.10 a point would have paid for $6,500 of the $8,631. It’s a great program. Too bad it doesn’t exit.

There is no such program allowing double points, but “Hospitality” agents at Diamond Resorts “Consumer” Advocacy department are trained to be detectives themselves, searching through the member’s contract to be able to email you back your initials on the fine print, in essence saying, it doesn’t matter what a sales agent says. All that matters is you signed a contract.      

According to lawyers our advocacy group has talked to, it is not legal to hide behind fine print, encouraging sales agents to lie. I found this online:

In case after case, scandal after scandal, American federal law enforcement officials have clearly shown by their indictments and prosecutions that there is no confusion in their minds—lying is a crime. Businesspersons need to clearly understand those rules and what prosecutors define as lying.

Graziadio Business Review

https://gbr.pepperdine.edu/2010/08/businesspersons-beware-lying-is-a-crime/

The reason timeshare agents get away with it is because there is virtually no enforcement. Timeshare buyers usually buy timeshares in states other than the state they live in (usually a state that sells lots of timeshares and brings in lots of tourist dollars), so when you file a complaint, the elected officials of the state, in which you are not a resident, may not take you seriously.

The weakened Consumer Financial Protection Bureau doesn’t even allow you to select a timeshare company from their menu when filing and the timeshare borrower usually doesn’t even know the name of the actual lender. The timeshare company services the loan, so we picked Barclays from the menu, but when you talk to Barclays they usually say, according to our Facebook members, That’s too bad but we didn’t directly sell you the points or commit the alleged crime.”

So, here we are asking the FBI for help. This is what I learned reporting an online white-collar crime complaint through IC3.gov and orally through the FBI field office nearest to where we bought our timeshare. Any timeshare member who feels they have been victimized by “deceit, concealment, violation of trust, and bait and switch” of a serious nature, like ours, needs to file a complaint with the following law enforcement agencies in addition to filing regulatory complaints:

  • The FBI at IC3.gov online using the FBI’s Complaint Referral Form,
  • The FBI orally through the FBI field office nearest where you signed your contract.
  • When you call, select the prompt for “Submit a Tip” then #3, White Collar Crime. Have your facts ready and contract handy. It’s a good idea to write your facts down so that you have good facts in front of you. Even the thought of calling the FBI is a little intimidating, but the agent I spoke to was a nice man who seemed very interested in what I had to say.
  • The Federal Trade Commission – find the “Timeshare Sales” option. https://www.ftccomplaintassistant.gov/GettingStarted#crnt
  • The Secret Service – FBI agent #1234 I spoke with (I don’t want to use his real number) said we should also file with the Secret Service if it involved credit card fraud. We’re looking into that. www.secretservice.gov

In our case, we were not told two Diamond Barclay credit cards were going to be opened. We were not even aware of the amount of the down payment. The down payment was $26,000! We would have for sure used a credit card that would have earned us reward points. I was infuriated when our DRI salesman Brad Leslie came back and said “Barclay loves you guys! They gave you $26,000 credit!” We thought the form we filled out was to check our credit for the down payment. We already had two Barclaycards, one issued by Diamond and other personal. Now we have four Barclaycards!! We did not dispute it because Brad said he would transfer it to our existing Diamond loan. That never happened.  

Don’t be afraid to talk to the FBI. The agent I spoke with did not rush me. We spoke for over an hour. https://www.fbi.gov/contact-us/field-offices/

Some of the things they will want to know include:

  • When you purchased your timeshare?
  • Where you purchased your timeshare?
  • Who sold you the timeshare?
  • What did you purchase?
  • How much did it cost?
  • Why do you feel it was fraud for profit?

Fraud for profit: Those who commit this type of mortgage fraud are often industry insiders using their specialized knowledge or authority to commit or facilitate the fraud. Current investigations and widespread reporting indicate a high percentage of mortgage fraud involves collusion by industry insiders, such as bank officers, appraisers, mortgage brokers, attorneys, loan originators, and other professionals engaged in the industry. Fraud for profit aims not to secure housing, but rather to misuse the mortgage lending process to steal cash and equity from lenders or homeowners. The FBI prioritizes fraud for profit cases. https://www.fbi.gov/investigate/white-collar-crime/mortgage-fraud

I have read so many sad stories on our advocacy Facebook page. It tears me up inside to think a company that was good until about 3 years ago can do this to people. It’s gotten worse in the last few years. I guess I always want to believe in the best in people, but after this – $60,000 later, that is hard to do. We have asked Diamond to give us our money back for the last purchase that we believe meets the definition of fraud for profit. It takes a day to buy a timeshare, but weeks, days and sometimes years to get out of one.

Whatever you do, don’t pay anyone you don’t know money upfront to get you out of your timeshare. Check with our advocacy group before retaining an attorney or a “get you out of your timeshare” exit company.

With no secondary market, consumers are completely at the mercy of the timeshare company, but I hope we can turn this around and make the public and Diamond aware that some of their sales agents exhibit questionable business practices.

Diamond, make this a good company again!

There may be other timeshare members who feel they have been victimized by the same sales agent. If so, you can give the name and phone number of that member to the FBI agent so they can look up the other member’s complaint, linking your complaint to theirs. It’s a sophisticated system.   

Timeshare members nationwide want to thank the FBI for their efforts. Without them, we would have no federal enforcement – only members helping members.

tree

These are timeshare advocacy groups Inside Timeshare believes are pro-consumer, non-industry influenced, seeking to provide members a way to proactively address membership concerns; to advocate for timeshare reform; to obtain greater disclosure from the company; to advocate for a viable secondary market; and to educate prospective buyers.

https://www.facebook.com/timeshareadvocategroup/

https://www.facebook.com/groups/DiamondResortsOwnersAdvocacy/

https://tug2.com/Home.aspx

https://www.facebook.com/groups/180578055325962/

https://www.facebook.com/groups/465692163568779/

https://www.facebook.com/groups/1639958046252175/

Thank you Sheilah for your contribution, we are sure it will give others the confidence to undertake this task themselves.

As always, if you have any questions or comments on any article published or are just wanting information on any company that has contacted you or you have found on the internet, contact Inside Timeshare and we will point you in the right direction.

Remember doing your homework and checks before engaging with any company will save you in the end.

Friday’s Letter from America

In this week’s Letter from America we welcome the first article from Ken Silva, with his Nightmare on Timeshare Street story. This is also made more complicated due to the involvement of Barclays, as this is considered as a separate agreement to the timeshare. But first we look at the news from Europe.

It has now been confirmed that the enterprises owned by Mark Rowe, are being investigated by South West Police, this follows the report at the beginning of January of the raids conducted by Trading Standards at several premises used by these companies. This followed after an investigation by the “Scambuster Team”.

The Police are contacting clients who either have lodged complaints with Trading Standards and the Police in the past, or from records seized in the raids. If you have had any dealings with any of his companies (a full list can be found at the link below), then contact:

South West Police ROCU. DC 4624 Katie Andrews. PO Box 37, Valley Rd, Portishead,Bristol. BS20 8QJ

Police ROCU UK

http://insidetimeshare.com/monster-credits-associated-companies-summary/

Could this now be the end to the Mark Rowe Enterprises?

If we thought that things could not get any stranger in the world of timeshare, then you would be wrong.

Silverpoint based in Tenerife and headed by Mark Cushway, have not only closed their sales decks.

For now on with today’s Letter from America.

A Warning to Anyone Thinking About Buying a Timeshare

Our Diamond Resorts International nightmare

Fri Doh!

By Ken Silva

February 2, 2018

Timeshare Consumers, take my advice and do due diligence before buying a timeshare.

Protect your family. Do not get your family into the mess we are in. Do your research. There’s a reason there are so many timeshare members on Facebook and websites seeking to dump their timeshares. I’m sure there are sales agents selling the product honestly, but you decide about our sales agent after reading what happened to us. All you have to do to prove we are telling the truth is to get on our booking site and try to find a vacation based on what we were sold.

Attorneys General, please, do not dismiss our experience. We are fighting to get our money back, as we still owe $10,000 on a Diamond Resorts Barclaycard credit card. We hope to escape the “ironclad” STAY VACATIONED contract.  

Here’s what happened

saleman

In May of 2016 my wife and I purchased a Diamond Resorts International (DRI) Sampler (trial) package for $2,995 in Las Vegas.

Using our Sampler points we booked a stay at Diamond’s Ka’anapali Resort. We purchased 2,500 Hawaii Collection Diamond points for $13,000. Our sales agent was Karen Cossettee. Ms. Cossette told us we would be able to book one to three weeks of vacation anywhere. Our son Jacob, age 3, has a serious medical condition so we need to vacation close to home as we have to be near medical facilities. We had to cut both our Hawaii and Las Vegas trip short because our son experienced a medical emergency back home.

After we returned home, we got on the booking site, but found no locations meeting our requirements. About the only bookings you can get with 2,500 points are for places like Branson Missouri or Gatlinburg, maybe a one bedroom in Orlando. It is impossible to stay one to three weeks in a one bedroom in California near a major medical facility.  

Jacob has cerebral palsy. He has been diagnosed failure to thrive and is on a feeding tube. He requires 24/7 care and he is a case study at Stanford University Medical School. We cannot fly because of his condition. We booked Tahoe recently, but cancelled that trip because even Tahoe is too far.  

Using our Sampler points requires a sales presentation, so we booked a trip to

Las Vegas November, 2017. We stayed at DRI’s Cancun resort. There the Diamond sales agent, Davia Hunsicker said, “Hawaii lied to you! You can’t go anywhere on 2,500 points.” We were told Hawaii Collection points are expected to be slammed with assessments and 10-14% increases in maintenance fees because Hawaii is so expensive and subject to weather damages. However, in Hawaii they told us maintenance fees increase only 6%. They went on to explain that Hawaii was going to have a $1,000 plus assessment for damage to shores.  Ms. Hunsicker told us U S Collection maintenance fees increase only 2% on average.   

The Vegas agents told us the only way out of this situation was to move our Hawaii points to the US Collection and to do that we had to buy 4,500 points for $18,000 to own 7,000 U S Collection.

Like in Hawaii, we were shown several places we could stay that met Jacob’s needs. Again, when allowed on our booking site (again after the rescission period), it was a different inventory. I called DRI and reached a Platinum agent who said, “I’m with the Platinum desk. I can pull strings.” She found a desirable option, Pacific Grove in California. This was one of the locations we were shown in Vegas, only in our inventory it would require 22,000 points.

Timeshare companies can dodge the rescission period by not allowing access to the booking site until after the rescission period. In our case, I tried to log on two days after signing but was told my account was in escrow. The rescind period is seven to ten days, but it takes nearly 30 days before you can access the booking site.

DRI sales agents are so good at having all the answers and they will promise you the moon. Ms. Hunsicker also said we could get an extra 8500 “ghost” points that would upgrade us to Silver by saying we owned an RCI week. She instructed us to just nod to the QA person when they ask about RCI and we would be able to get the extra points, but not to say she told us because, “You might get me fired if they find out, but that way you’ll get another 8500 points.” She advised us to purchase an RCI week at Sam’s Club for $500 – $600 and then trade it in to Diamond for 8,500 points. She said with Silver benefits we could have food stocked and luggage forwarded. This was a tremendous benefit because of Jacob’s needs. However, when I read about these benefits the luggage benefit costs additional funds and the food service was not available at the Silver level.  

We asked about what would happen if we could no longer use the points and were told DRI will work something out and were informed DRI has a website where you can sell points. DRI points are virtually worthless on the secondary market.

We would have rescinded our contract immediately if I had been able to see that we could not use our points as promised. Diamond salespeople will offer their cell and promise to be available and act like they genuinely care about you (like ours did concerning Jacob), but then disappear after a few days of friendly texts.

I work for a faith based non-profit. We teach anti-bullying and leadership skills. Our credit score is over 800. I am 33 years old and my wife is 31, caring for our son’s severe medical issues. To think that timeshare companies allow these practices and hides behind the fine print is astonishing.

I published a review on Trust Pilot.

Reply from Diamond Resorts International

Published Monday, January 15, 2018

We regret to hear of your experience as we are known in being forthright and delivering top notch service. Please email us at [email protected] for further assistance.

My response to Diamond’s response

Edit: Diamond Resorts reached out, as seen below, however, they have not responded to my email to them as of 1/25/18. Also, they are not known for their top notch service. In fact, look on Facebook for the various groups of people who are in positions like mine, or the many other reviews on Trust Pilot. It often takes DRI 45 or more days to get back to you and many are ignored. When you call customer service, they tell you there’s not much they can do to help.

If Diamond was forthright and delivering top notch service, they would refund victims their money. I’m glad I have a background in Social Justice and Social Media.

I hope our pain will save others.

Notes from Irene

Since Ken submitted this article a week ago, Inside Timeshare received five more complaints directed against this same sales center, one against the same agent Ken complained about.  Especially in California, there have been complaints from Monarch owners of deeded weeks, coerced into giving up their deed and buy points, only to find out they did not have access to the week they had used and enjoyed for years.

http://www.monarchowner.com/p/opt-out.html

https://monarch-grand-vacations.pissedconsumer.com/lawsuit-against-monarch-grand-and-diamond-resorts-20150428628300.html

All timeshare resorts have non-member inventory that always guarantee non-members can spend the money but members often cannot find availability. Diamond is not the only resort with complaints like this. New York Attorney General Eric Schneiderman settled with The Manhattan Club for $6.5 million. Clearly, there is a problem industry wide.

https://ag.ny.gov/press-release/ag-schneiderman-announces-65-million-settlement-midtown-manhattan-timeshare-scammed

Timeshare deception and “bait and switch” is not a practice limited to Diamond, but in the case of DRI, licensed resale brokers will not even accept a Diamond listing. It’s bad enough if you can sell a timeshare if you were lied to, (often a timeshare is worth only pennies on the dollar), but with Diamond it is worse because it has been widely reported Diamond has virtually no secondary market. Try calling some of the members of the Licensed Timeshare Resale Brokers Association and see what they have to say.

http://www.licensedtimeshareresalebrokers.org/

ethics scale

We really do hope timeshare developers will work with us to stop predatory timeshare sales.

Thank you Ken and Irene for today’s article, it is with these stories that everyone becomes aware of what is happening, including the developers. Let us hope that they take note and start to change how they operate.

Inside Timeshare has just been informed from one of our German readers that Marriott is sending out emails to clients with the following statement (part of email translated from German):

An important commentary has been published in the press regarding letting restrictions on tourists (especially in the Balearics and in Catalonia) in 2017.
We would like to point out that MVCI Management, S.L. the only licensed company that has the right to rent properties in MVCI Resorts in Spain for themselves or their owners.
Weekly owners who rent their time-share weeks either by themselves or through third parties face fines of up to € 400,000.
Due to the complex nature of the legislation in question in Spain, we recommend that you obtain legal advice on your individual circumstances before renting your weeks outside the MVCI rental program.
If you have any questions, please do not hesitate to call us or send an e-mail to Europe.ser[email protected]com.
Best regards,
Marriott Vacation Club
We will obviously bring you more on this as we get more information as and when we get it.

If you have any questions or require any information on this or any other article published, contact Inside Timeshare, we will be pleased to help and point you in the right direction.

So that is it for another week, Friday is upon us and the weekend beckons, have a good one.

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