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Friday’s Letter from America

Welcome to this weeks Letter from America, today we publish the final report by Irene Parker on the Platinum Protest in Orlando which was held on 17 to 19 May. This report also includes their brief stories which helps to explain why they are protesting. In the case of Patty and her story, we have received many complaints which have named the same sales agent. Inside Timeshare has read these complaints and it is surprising that for people who have never met how close their stories are. This can only lead us to conclude there is something very wrong in what this sales agent is doing.

What Happened at the May Platinum Member Protest in Orlando

Save the Date for the next Platinum Protest in Arizona:

Veteran’s Weekend November 9 – 11


From left: Anna, Cindy, Sheilah and Patty

By Irene Parker

May 24, 2019

Many have expressed admiration for the efforts of four Diamond Resorts Platinum families protesting on behalf of 85 Platinum members who have reported that they were told to buy additional timeshare points for reasons they say do not exist. Of the 85, 43 reported that they were told they would be able to offset maintenance fees only if they purchased additional points. Others report they bought points told that they must buy additional points to be able to sell points.

What happened to Sheilah and Gad (a protestor not pictured), is why Friday’s location was at the Florida state building housing the Florida Attorney General’s timeshare division, the Department of Business and Professional Regulation (DBPR).  Sheilah, Gad and a third buyer all bought from the same Daytona agent.  They each have their “pencil pitch” which is what agents scribble as they talk. Near the top of Sheilah’s three-page pencil pitch appears:  

8631 (Now) – 8631 (Save) = 0

What could be clearer?

1) (Now) (Save)

2) Redirect savings to help offset costs (to 0)

The complete explanation is in Sheilah’s article:

https://insidetimeshare.com/fridays-letter-from-america-11/

Diamond Sales Agent pencil pitch

Diamond’s response, from the company promoting a CLARITY promise of “Clear, concise, accountable and transparent information” was, “We admit this was confusing, but it was not illegal,” according to Sheilah.

“Talking to the Florida Timeshare Division DBPR was the same as talking to Diamond Resorts,” Sheilah said. At first, I was dismissed with “We don’t know if you were given this evidence or if you took it.” Their point I believe was that evidence obtained illegally is not admissible. When I questioned the logic of this statement, the reviewer called back several days later reporting that she spoke with Diamond’s attorneys. “I didn’t understand the program either until I spoke with Diamond’s attorneys, but now I do,” she reported to Sheilah. It’s not difficult to understand why someone would be so angry they would fly 1,000 miles to protest.

Florida’s DBPR has dismissed all our readers’ complaints with, “Verbal representations are hard to prove.” While Arizona, New York, Tennessee and other states have launched timeshare investigations based on a volume and pattern of complaints, Florida will not. When Sheilah asked why, the DBPR supervisor responded, “How they do things in other states is not how we do things in Florida.” By their own admission, Florida dismisses timeshare complaints, despite a volume of complaints. The timeshare lobby ARDA has been quoted as saying, “Timeshare is a highly regulated product.” Apparently regulation means dismissing all complaints.

Florida’s dismal statistics:

As reported at a Florida legislative workshop in Tallahassee March 12:

Victoria Butler, from the Florida Attorney General’s Department of Consumer Protection, reported a figure of 1,500 to 1,600 complaints in recent years, with about 50% involving senior citizens. She said the majority of complaints were in regard to the initial sales presentation.

Ms Butler stated that the Florida timeshare division engaged only 42 complaints, the majority concerning resale.

Nevada is another state that dismissed all our readers’ complaints with, “You have no proof.” At least in Nevada, you can record a conversation without the other person aware. Florida is a two-party state meaning it is illegal to record without the other person aware.

How in the world is a timeshare buyer expected to obtain proof?

Three of our protestors were able to speak at length with one individual inside the state building. In fear of retaliation, we will not identify this person, but their advice was to have the protestors protest every Friday. Logistics preclude this, but we appreciated their support and knowledge of unfair and deceptive practices.

Inside Timeshare has heard from 831 families describing unfair and deceptive timeshare sales practices. ARDA and Diamond’s CEO Michael Flaskey argue that the vast majority of timeshare buyers are happy with their timeshare.

Fair enough, so I checked facts and figures. I contacted law firms and timeshare exit companies throughout the United States. There are many. Two exit companies reported that each receives 3,000 to 3,500 calls per month. They accept less than 200 as clients. Just two of the many law firms and exit providers receive over 6,000 calls per month from families seeking timeshare release! An entire industry of law firms and timeshare exit providers has sprung up catering to timeshare members waking up to the realization that the timeshare they were told would be easy to sell, or sell if they bought additional points, has no secondary market.

I have to admit I was not looking forward to a weekend of sign holding, but the reward we felt by the number of horn honks, thumbs up and, especially on Sunday, a steady stream of members stopping by to express their concerns, made it all worthwhile. Here we met Platinum member #84.

I’m not a Platinum member, but wanted to support the Platinum Protestors’ efforts. Patty and Cindy have their stories. The second day of the protest I heard from a Diamond member who contacted me infuriated. She had bought points from the same agent Patty bought points from, becoming #43 of 85 Platinum members who say they were pitched maintenance fee relief programs that do not exist. This will make six complaints against Patty’s agent; the third complaint against this agent was from a couple ages 79 and 80, the husband diagnosed with Alzheimer’s disease. We even have a recording of the agent provided by a veteran from over a year ago who experienced a similar up-sell.

Rather than show concern for 85 of their highest loyalty members who have reported unfair and deceptive practices, Diamond and the timeshare industry as a whole insists there are few complaints. There is not enough space in an article to list all the law firms, timeshare exit companies, lawsuits, including whistleblower lawsuits, and Attorneys General investigations concerning timeshare sales.

All protest participants had been timeshare owners and members for decades. They liked timeshare. The Platinum members had purchased points a number of times, so with the ensuing trust did not expect to be blindsided by programs that they say do not exist.

We’re not saying there are not honest timeshare sales agents trying to make a living selling timeshare points properly. But when top liars, who eventually get fired for pitching too much heat, are put up on a pedestal for new hires to emulate, the result fosters deceit.    

Many have wondered if this industry could exist without deception. One timeshare insider reported that Diamond Resorts has the highest loan loss provision of all major timeshares. As reported by Wall Street:

Diamond Resorts International Inc. Downgraded To ‘CCC+’ On Very High Anticipated Leverage, Outlook Negative

The negative outlook on Diamond reflects our expectation for minimal cash flow generation and very high leverage in 2019. The outlook also incorporates our belief that the company is vulnerable to possible future operating missteps or an unexpected downturn in the economy over the next two years, which may render its capital structure unsustainable despite our assessment of adequate liquidity.

https://www.ademcetinkaya.com/2019/04/diamond-resorts-international-inc.html?fbclid=IwAR0N7Sc0Dld_LFlK8F2sv0-t4gIzAr-yd5HngEyWb6JLnVcW_OA0hfvSPPU

Many of the 85 Platinum members have resolved their dispute, but resolution required several rebuttals and regulatory filings. Some relinquished their points, meaning they walked away from all the money spent. Diamond points sell for around $4 per point so we’re talking about Platinum members with 50,000 points or more walking away from $200,000 or more. A recorded QA closing is routinely used in the dismissal, but recording the sales session is not allowed. As mentioned, recording without the other person aware is legal in some states, but not Florida.   

Given a reluctant regulatory environment, the Courts of Public Opinion seem the only courts open. Holding up signs is not easy, but the rewards are great. A realtor stopped by clearly upset that he could not sell a Westgate timeshare for his client. I gave him my contact information. Within a few hours, his client called from Brazil. Out of about 60 licensed timeshare resale brokers, only one I am aware of will accept a Westgate listing. If there are no takers, I advised the member to speak Portuguese when the maintenance fees collectors call. He can no longer afford the timeshare. Fortunately, there is no loan outstanding. His relief at hearing straight answers was palpable, even from that far away.    


Grateful listeners

Two new Facebooks have been launched by Wyndham and Starpoint Sapphire Inside Timeshare contributors. Through Social Media and grassroots protests we little by little are letting the consumer know timeshare sales can be a quagmire of debt and deceit. These are the support groups we feel are not industry influenced:

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

https://tug2.com/Home.aspx

https://everythingabouttimeshares.com/consider-exchange-options/

Bluegreen Facebook

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

Wyndham Facebook

New: https://www.facebook.com/groups/376743609795740/  

Sapphire Starpoint New: https://www.facebook.com/login/?next=https%3A%2F%2Fwww.facebook.com%2Fgroups%2F292083584642570%2F%3Fref%3Dshare

Diamond Resort Facebook

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

Gold Key Facebook

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

Thank you Irene and a very big thankyou to those who were able to make it to the protest, also thanks must go out to all those who showed support in whatever way they could. The next Platinum protest is scheduled for 9 to 11 November which is Veterans Weekend in the US and is being held in Arizona. If you are able to make it, you will be most welcome.

That is all for this week, use our contact page if you have any views or comments on any article published, or if you just need a little help or advice we are here to help.

Have a great weekend and join us again next week.


Friday’s Letter from America

Welcome to this week’s edition of Letter from America, following on from our previous articles on the timeshare bills put forward by Florida and Nevada, Attorney Mike Finn submits his thoughts on this subject with the introduction by Inside Timeshares very own Irene Parker.

But first, a reminder that today is the first day of the Platinum Protest in Orlando, even if you can’t make it, please enter your support for them on the Diamond Resorts Owners Advocacy page on Facebook. We hope to bring you a report from them next week.

Lawyers and Their Important Role in Consumer Protection

By Attorney Mike Finn

Why You Should Sign our Petition asking a lawmaker to sponsor a Bill in 2021 requiring that timeshare buyers be offered 24 hours to review a perpetual timeshare contract before signing.

By Jordan Raskin

May 17, 2019

Our petition preparing to launch:  

https://www.care2.com/?fbclid=IwAR3w3tungUxAWYjY3fSro_WJBRUKB9pe99LiJ_9ur8T5WZOyC9wHsyswqZc

Provide the timeshare consumer 24 hours to review, at least think about, their decision to sign a lifelong perpetual contract, with no secondary market, often without even having tried the product, and often not allowed access to the booking site until after the rescission period.

This offer could be waived if the buyer chooses, either due to the certainty that the buyer wants the product, or the need to sign because the vacation is ending soon.

This offer should not be buried in the electronic fine print. It should be a separate disclosure presented and signed before the sales presentation. The price per point offer would be required to be maintained for 24 hours.

What’s so unfair about that?  

Introduction by Irene Parker

Never mind a lawyer! We’d settle for our mom, dad, son, or daughter!

Both the Florida and Nevada Bills referenced in Mike Finn’s article below, asking that timeshare exit providers provide buyers 24 hours to review their contract before signing, died in committee: Florida HB 2639 and Nevada SB 348 bill are dead  

SB 1430 Companion Bill to Florida HB 2639 Vacation and Timeshare Plans

http://www.flsenate.gov/Session/Bill/2019/01430

SENATE – Died in Innovation, Industry, and Technology

How do you separate the wheat from the chaff? There are legitimate lawyers and lawyers with questionable business practices. I have contacted a number of exit company providers to inquire about the volume of calls they received. Two of the major exit companies say they receive between 3,000 to 3,500 calls each month from timeshare buyers desperately seeking release from timeshares they were told would be easy to sell. Each company only accepts less than 200 callers as clients, as the member must meet specific criteria of unfair and deceptive sales practices.  

Before we begin with Mike Finn’s article,  

If you are going to be in the Orlando area this weekend May 17-19 Friday – Saturday, please support our Platinum Protestors. Locations and dates provided: https://insidetimeshare.com/fridays-letter-from-america-49/

Now onto:

“Why Kill All the Lawyers?”

By Attorney Mike Finn

“Add to that advantage the fact that the purchaser purchases on the same day they’ve been introduced to the product with no ability to consult with or review the multipage purchase contract with their own legal representative and you can begin to understand the owner/purchaser’s situation years later when they ultimately seek to terminate their arguably lifelong contractual obligations contained within their timeshare purchase contract.”

It’s hard to say anything about lawyers that haven’t already been said. They are both revered and reviled as staunch proponents and champions of justice or as avaricious opportunists. The profession is comprised of all types, from the most learned jurists to the slightly seamier side of humanity. We lawyers share the same spectrum of positive human qualities and negative frailties as the rest of our species.

The import of this article is less related to the issues of lawyers individually, but rather to the role of the attorney as consumer advocate within the legal system. I speak to the issue of what removing lawyers, or significantly diminishing their role to effectively represent their consumer clients, does to strengthen or weaken consumer protection in general, as a matter of national policy.

Currently, there is pending in at least two states with a significant timeshare presence, Nevada and Florida, House and Senate Bills sponsored by ARDA, the timeshare industry’s trade association. Ostensibly, per the statements made by ARDA’s political arm, ARDA-ROC (American Resort Development Assoc.-Resort Owners Coalition), the primary intent of these Bills is to enhance consumer protection. However, to some of us on the consumer side of the equation, we suspect there may be a darker, more industry serving purpose. These Bills seek to regulate two separate and quite distinct groups, lawyers and timeshare exit companies.

There can be no argument that some regulation is warranted, specifically in regard to the unlicensed and unregulated timeshare exit companies; however, this ‘shotgun style’ approach of lumping-in lawyers with this proposed legislation will if passed, create some chilling and decidedly consumer-unfriendly impacts on the timeshare consumer/owner.

To further distinguish these totally disparate entities, lawyers are already both licensed and extensively regulated by their respective State Bar Associations. Additionally, as lawyers, (and unlike exit companies) we are specifically trained and educated to handle matters involving contract disputes, as well as debtor/creditor rights issues and other relevant matters that may well arise in the course of a controversy. Without getting too far into the weeds, I think it’s fair to state that the pending State Bills are clearly designed to severely limit and restrict the involvement of both timeshare exit companies and, from my perspective, more importantly, lawyers, in terms of their ability to provide services to timeshare owners seeking third-party assistance in terminating or modifying their timeshare purchase contracts.

To summarize the owners’ plight, many owners didn’t realize that their purchase contracts did not include a way to terminate their contract when they could no longer utilize their timeshares because of life changes, like aging, job loss, divorce, death of a spouse, or other major life changing events. This issue wouldn’t be so troublesome if it were not for the fact that there exists little to no resale value or market for these timeshare interests, trapping owners who cannot continue to derive any benefit from their ownership, but remain legally bound by their purchase contract, subject to annual rising maintenance fees and other contractual liabilities.

The ‘timeshare exit’ industry sprang into existence to fill the market void created when the timeshare developers themselves were unwilling to offer owners relief from essentially ‘lifelong and perhaps beyond’ contracts. This exit industry includes lawyers who focus on consumer timeshare owner issues as part and parcel of their law practices, and exit companies, non-lawyers who claim industry knowledge and apparent ability to act on behalf of timeshare owners in their negotiations with timeshare developers or property owner associations.

The focus of this article will remain on the lawyer and not the exit company. It’s important to distinguish between these two different kinds of organizations and avoid comparing the two. They are completely and totally unlike and should not be combined or grouped together in these Bills. It’s impossible to make any logical form of comparison beyond stating that each seek to represent the consumer timeshare/owner in dealing with the respective owner’s timeshare situation. Combining the two and treating them as equals in proposed legislation is grossly inaccurate and inappropriate. It only adds to consumer confusion!

Attorneys have undergone extensive education and training and have prepared for and passed a state mandated Bar examination in order to prepare themselves for dealing with contested and controversial legal issues. Our legal system is by definition adversarial in nature. Justice involves a process by which parties on each side of a controversy present, through their selected legal representative, their respective position to an impartial determiner of the facts in order to produce a just outcome. Indeed, our very symbol of justice is a robed and blindfolded woman holding a scale aloft in her hand.

Each side, through its appointed legal representative, presents its best case to the referee, hearing officer, or judge and jury. At the end of the contest, the winning side, through presentation of evidence and persuasion, tipped the scales in its favor. This is our legal system, or at least the portion of it that decides controversies. Add to our justice system the requirement that each side starts off with a level playing field. Neither side has gained an unfair advantage prior to the contest commencement. As a condition of fundamental fairness, may the side with the most compelling case for justice win!

What can skewer the ‘level playing field’ aspect of the justice model, is if one of the players gets to the game before the other side, gaining a one-sided advantage. Arguably, that’s exactly what the Timeshare Developer has been able to do. Since the state requires the Developer to register and apply for a license to market timeshares within that particular state, the Developer has prepared its purchase contracts and other disclosure documentation and submitted them to the appropriate state agency well in advance of its initial sale. It’s probably fair to suggest that these purchase agreements were prepared by an able team of lawyers with the Developer’s best interests in mind. In fact, the only remaining task for the Developer’s sales team at the time of consumer purchase is to fill in the blanks on the preprinted purchase contract with the purchaser’s name and other pertinent information.

Add to that advantage the fact that the purchaser purchases on the same day they’ve been introduced to the product with no ability to consult with or review the multipage purchase contract with their own legal representative and you can begin to understand the owner/purchaser’s situation years later when they ultimately seek to terminate their arguably lifelong contractual obligations contained within their timeshare purchase contract.

Now that you can envision, from the consumer’s perspective, the un-level playing field that the consumer finds themselves on at termination time, and add to that the circumstances that would exist if the Timeshare Developers are successful in passing these new laws. These Bills, if passed, would further restrict the consumers’/owners’/members’ ability to seek justice within the legal system, if the lawyers’ ability to represent the consumer is constrained and restricted.

From where I sit, as lawyer representing timeshare owner/consumers, it appears that the timeshare industry is dissatisfied with its already existing unfair advantage over their consumer and still seeks to tilt the field further in their favor. My advice to them (not that I anticipate them appreciating any of it) is to show a kinder, gentler aspect to your loyal owners by either recognizing and permitting an easier contract termination, or, at minimum, not further attempting to restrict their right to effective legal representation as they seek relief from their onerous timeshare purchase contracts.

Respectfully submitted,

Michael D. Finn, Esq.

Thank you Mike and Irene for this week’s edition of Letter from America, these articles are certainly helping many timeshare owners see exactly what is going on in the murky world of timeshare.

If you have any views or comments on any article published then use our contact page we would love to hear from you. Do you have a story to tell, be it a positive one or a “Nightmare on Timeshare Street”, which you would like to share, then contact us and we will help you to submit an article.

Well, that is all for this week, remember the Platinum Protest and show your support, have a great weekend and join us again next week.

The Tuesday Slot

Today on The Tuesday Slot we welcome another new contributor Laura Crow with her very own “Nightmare on Timeshare Street”, with an introduction by Inside Timeshares very own Irene Parker. These stories are now becoming all too familiar on our pages, with new “Nightmares” being received on an almost daily basis. It seems that not a single day goes by without another email pleading for help, many of these are from seniors and veterans. We do have to ask when will the industry change the way it works?

It is now only a few days to go before the start of the Platinum Protests in Orlando, the dates are 17 to 19 May, see the link at the end of Laura’s article.

We are timeshare trapped!

By Laura Crow

Tuesday, May 14, 2019

Introduction by Irene Parker

Laura Crow was told the California Attorney General only acts when it is in the interest of the public? Why then, have Arizona, New York, Tennessee, Missouri and Wisconsin AGs, to name a few, launched investigations and negotiated settlements when they received a volume and pattern of timeshare complaints?

Timeshares rank second on the list of complaints to the state in Connecticut in 2018, according to the state Office of the Attorney General

Do you have a story idea? We want to hear from you! Fill out the complaint form on the NBC CT Responds page or call 844-303-RESP, (844) 303-7377. More #NBCCT Responds archive here.

https://www.nbcconnecticut.com/news/local/Timeshare-Troubles–What-To-Do-Before-You-Buy-and-Sell-504017151.html

Each state has a different protocol for filing a timeshare complaint. In California and Nevada, timeshare complaints must be filed with the state’s real estate division against a particular agent. Filers should also file a complaint against the principal broker over all the brokers in the state.

Those who feel they experienced unfair and deceptive timeshare sales practices should also file complaints with the FTC and the FBI at IC3.gov. Inside Timeshare has received reports of unfair and deceptive sales practices from over 800 families. Many members report being financially and emotionally devastated, having believed false claims told to them by timeshare sales agents, like the common complaints voiced today by Laura Crow. Seniors suffer physical harm as many report loss of sleep, weight loss, and symptoms of, or a recurrence of, cardiac and blood pressure problems over the stress of their timeshare nightmare.

There has been no federal enforcement. Attorneys General who have launched investigations and negotiated settlements are appreciated, but investigations and settlements have been mere speed bumps along an enormous revenue stream.

Please reach out to the FTC and FBI if you experienced unfair and deceptive timeshare sales practices:  https://insidetimeshare.com/fridays-letter-from-america-47/

One of the Wyndhamtestimonials by current and former employees Laura discovered:

“Liars liars pants on fire”

Former Employee – Timeshare Sales in Daytona Beach, FL

Doesn’t Recommend

Neutral Outlook

CEO

I worked at Wyndham Destinations full-time (More than a year)

Pros

Free coffee, nice view, some friendly co-workers, company parties were fun, decent discounts

Cons

The timeshare sales department is filled with a bunch of liars. New hires have to sit through specific training on what is and is not allowed to tell customers. You are in no way allowed to tell customers that the timeshares are a good investment, that points can be used to pay the management fees, or that the timeshares can be rented out during peak periods to give them a return on their money. ALL THESE THINGS ARE NOT ALLOWED, BUT TOP SALES PEOPLE SAY ALL THESE LINES AND EVEN MORE LIES TO MAKE SALES. The top sales team are all a bunch of vultures lying to people to make a living. Customers get beaten down during the process. I’ve seen documents forged and old terms given to customers to secure their signature. If you have a conscience, do not work there. If you like lying to people to make money and can obtain a real estate license and have a clean background, lying to people during a timeshare presentation is much more lucrative than lying to people on the phone. If this is the type of scummy person you choose to be, then Wyndham is a great fit. If you are a salesperson who grows a conscience, there are other jobs at Wyndham you can do, so you don’t need to just quit. Just try to transfer to a different department.

Laura Crow’s Nightmare on Timeshare Street

I am a California resident and have found other California residents online in the same leaky timeshare boat as me. We have all filed a complaint with the California Attorney General and were all told that the Attorney General can’t intervene on behalf of individuals. They only act when it is in the interest of the public. Well, how many members of the public does it take to get some kind of action?

After attending a Wyndham WorldMark presentation four years ago, we left believing we could travel anywhere, any time. Europe was the big selling point. The selling point for my husband was that we could make good money by renting out our timeshare. The timeshare would pay for itself! As many have reported, timeshares are worthless. In no way should timeshares be pitched as an income producing investment. I would advise you to run the other way if you ever encounter sales agents spouting such falsehoods.

We are trapped in a contract that has not delivered the financial gains or freedom our sales representatives assured us it would. Instead, it has turned into a financial burden. We are left with the constant stress of this hanging over us, waiting for the next hit to our credit report.

Wyndham and WorldMark could care less. I will send them a draft of this article, but safe to say they will say something like it didn’t matter what our sales agents said. That’s why the public needs to know a timeshare sales agent can get away with saying anything to make a sale. What product would you buy for $25,000 to $100,000 or more that becomes worthless a second after your contract rescission period ended, should you need to dispose of the product?   

Our experiences with Wyndham are the same as so many other timeshare buyers, irrespective of the company. Instead of boring you with our Wyndham narrative, I will draw your attention to the lethargy and inaction on the part of regulatory authorities, authorities who are supposed to have our best interests at heart.

I understand that the BBB is not a government agency and has no power to enforce the law or compel a business to act ethically, but I wonder how it is possible for Wyndham to have such a volume of complaints (over 2000) and bad reviews, yet still maintain a C+ rating. About the time when I filed my BBB complaint, there was a warning from the BBB about a pattern of complaints concerning sales practices. That warning has mysteriously been taken down. How did that happen? My next step is to contact Alexis Castro at the Nevada BBB to find out.

It was the same story with the CDRE (California Division of Real Estate). Mr Aiu of the compliance division has been good enough to communicate with me but told me cases are judged on an individual basis, so no point mobilizing a group to achieve strength in numbers.

Hmm, where have we heard that before? The Catholic Church sex abuse scandal and #metoo comes to mind. This dismissal plays right into the hands of Wyndham. My complaint basically comes down to ‘he said, she said’ but ‘we said, he said’ is needed. Someone, somewhere, a regulator, a lawmaker, a media outlet; something needs to happen. If women followed Mr Aiu’s advice, we would still not be allowed to vote.

ARDA, The American Resort Development Association has been quoted as saying; “Timeshares are a highly regulated product.” Big timeshare paints a portrait of happy timeshare campers idling on the beach, but there are thousands of complaints to be found on the internet. Comments from current and former Wyndham employees, like the comment above and additional comments below, support my allegations. If you would like to test my thesis, compare the number and nature of complaints about a hotel brand, contrasted with the number of complaints directed against that same company’s timeshare brand.   

There are state and federal laws prohibiting unfair and deceptive sales tactics, yet the timeshare industry is going strong. I read about lawsuits and AG cases against Wyndham, like the $20 million a jury awarded to former Wyndham sales agent and whistleblower Trish Williams. Even that has done little to stop unfair and deceptive sales. Wyndham and other companies pay out some money, toss in some media window-dressing dollars, and carry on like nothing happened.

I am in it to win it. I will be reaching out to the media, starting with NBC. I will continue to search out agencies that may intervene or advocate on my and other owners’ behalf. Until the FTC, the FBI, or more state AGs act, public awareness is our only safeguard. That is why I am writing this article. It is not acceptable for timeshare sales agents to lie, deceive, misrepresent and withhold information about their product in order to make a sale.

Here are more Glassdoor.com anonymous reviews by current and former Wyndham sales agents rating the company. Their comments support our allegations of deceptive sales practices.

https://www.glassdoor.com/Reviews/Employee-Review-Wyndham-Destinations-RVW3171503.htm

Here are some reviews by salespeople at Wyndham. You are enabling this behaviour by

Helpful (4)

“If you have integrity – don’t even think to work here”

Cons

You are 100% on commission. The only way to sell is lying to customers, the quota is very high and management is very unprofessional. On an everyday basis, you will hear from current owners how disappointed they are with timeshare product – it makes very hard to sell a product that does not do any good for people.

“In House Sales”

The way to making real $ is if you are okay with lying to people, otherwise, you can make an average living 40K or so. The biggest issue is that upper management acts like they have blinders on, making employees sign statements that they will not say certain things, while direct managers teach the sales techniques that encourage embellishments! Really?

Nov 7, 2018

Helpful (1)

“Sales Rep”

Current Employee – Outside Sales Representative in New Orleans, LA

Recommends

Positive Outlook

CEO

I have been working at Wyndham Destinations full-time (Less than a year)

Pros

I can’t even think of one

Cons

Wyndham Destinations over promises and vastly under delivers on potential income – the possibility for large income prospects are there though minutely small. The fact is it’s very hard to even make a living wage. It’s timeshare sales so very very few leads are actually even viable. Additionally, management regularly and actively encourages sales reps to oversell what clients are actually buying, to mislead, misdirect and ultimately be dishonest with prospects and do anything to get the sale.

Aug 21, 2018

Helpful (1)

“Vacation Ownership Sales”

Former Employee – Inside Sales Representative in Atlantic City, NJ

Doesn’t Recommend

Negative Outlook

CEO

I worked at Wyndham Destinations full-time (More than 3 years)

Pros

Some of the people that work there are nice.

Cons

Being trained to lie to clients to sell them points to travel. If you don’t lie, there is no way to make money. Taking advantage of older people and ripping off their retirement funds is not my idea of how to make a living. The worst thing is that management rewards the biggest liars by sending them off on a beautiful vacation and calls it “President’s Club”. If you ever meet a President’s Club sales rep, RUN! There is nothing they are about to tell you that is remotely close to being true.

Jun 30, 2018

Helpful (1)

May 11, 2018

“Vacation Ownership Sales”

Former Employee – Sales Associate in Clearwater, FL

Neutral Outlook

CEO

I worked at Wyndham Destinations full-time (Less than a year)

Pros

Can make great friends among certain Co-workers, free meals, beautiful office space, earning potential is attainable if you possess the skill sets.

Cons

Favouritism from management, unethical sales process, you should not have to lie about what you’re selling if the product is as good as you say it is. Draw sucks

“Front Line Sales – Not for everyone”

Former Employee – Front Line Sales Representative in New Orleans, LA

Doesn’t Recommend

Neutral Outlook

CEO

I worked at Wyndham Destinations full-time

Pros

I genuinely liked most of the people I worked with.

Cons

Marketing can bring in some completely unqualified tours so when you work on straight commission, it can be extremely frustrating. Management’s take on it is complete oblivion if that marketer meets (and exceeds) their numbers. This job can be emotionally draining – especially when you talk to people about vacationing all day and then get little wiggle room to take your own time off (again, management will bend over … if you are selling). I never sacrificed my morals to make a sale but, unfortunately, I saw many people that did.

“Scam”

Former Employee – Vacation Sales Consultant in Clermont, FL

Doesn’t Recommend

Negative Outlook

CEO

I worked at Wyndham Destinations (Less than a year)

Pros

Work life balance. nothing else is good about this job.

Cons

If you are heartless and enjoy lying to people including elders and single moms, then maybe you can do very well here.

Save the Date!

The Platinum Protest is this weekend May 17-19 in Orlando. Contact Inside Timeshare for more information. On May 17 protesters will meet outside the Florida timeshare division office.

Contact Inside Timeshare if you would like to join Laura Crow’s efforts. Here are some self-help groups we feel are not industry influenced. There are honest sales agents and many who use and enjoy their timeshare. That doesn’t mean sales agents who deliberately mislead should be allowed to continue unchecked, report after report confirms, especially in Florida and Nevada. Thank you, Laura Crow, as we welcome our newest active advocate for change.

We seek to provide timeshare members with 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://everythingabouttimeshares.com/consider-exchange-options/

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

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

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

Well that’s it for today, if you have any comments or would like to share your views with others, then use our contact page, Inside Timeshare would love to hear from you.

Friday’s Letter from America

Welcome to this weeks Letter from America, but before we start the article, a quick update on A K Advisory Limited. As we have reported this is just one company contacting Eze Group clients, saying they can get their money back for a £725 upfront fee, one of our readers has informed us of the “ESCROW” account and the name of the recipient that it should be paid into, these are the details.

The BACS  account is a Lloyds TSB account, Number 37871668, Sort Code 77-13-11, Name of account holder Mr Connor Baker.

This company along with all the others is a fraud, do not pay them anything, you will not get your money back.

Now for todays Letter from America.

It is unlikely Arizona Senator Michelle Ugenti-Rita, R-Scottsdale, quoted below, will bother to read the reports from some of the 80 Platinum members who have been financially devastated because they believed in timeshare programs they say did not exist. Today’s Inside Timeshare describes some of the members financially devastated. We hope timeshare members will recognize how ARDA ROC lobbyists spent some of members’ $5 million in annual $3 to $10 opt-out “donations” and recognize that this organization is not the voice of 1.8 million timeshare members. The comments below from lobbyists and pro-industry lawmakers are appalling.

At least the Arizona Attorney General’s Office and Howard Fischer, a journalist for the Daily Courier, understand. What chance does the consumer have if ARDA and the developers will not even heed the advice of an Attorney General. As we have previously explained, there are many ways to dodge a rescission period. Tuesday’s Secret Shopper explained how easy it is to bait and switch the unsuspecting. Just how out of touch can those in authority be. Imagine how you would react if you learned minutes after the rescission period that you experienced fraud, reading,

“the timeshare industry’s top lobbyist told ConsumerAffairs in January, admitting that points have no resale value while claiming that consumers don’t mind this because the value comes from the experience.

From The Daily Courier

Lobbied by the industry, state lawmakers are not going to help those who bought timeshares get out from under what is often a lifetime obligation.

https://www.dcourier.com/news/2019/apr/16/opt-out-provisions-timeshare-bill-no-longer-table/?fbclid=IwAR2cs4PdvFFqQVlvUd_I5-DxOSOUl5U59w_KVEYs1jchViitMMLYzz6PRx0

“We’re disappointed that the timeshare industry killed a lot of the pro-consumer parts of this bill,” said Katie Connor, spokeswoman for the Attorney General’s Office.

“They’ve got a lobbying presence here and around the country,” added Amanda Rusing who lobbies for the office. “It was very disappointing to have to remove all of the stronger, pro-consumer provisions.”

Sen. Michelle Ugenti-Rita, R-Scottsdale, who chairs the Senate Commerce Committee, said the legislation, which now awaits a roll-call vote, does include some additional requirements for what needs to be disclosed to prospective buyers.

“At some point, these are adults that come to a meeting of the minds and want to sign a contract,” Ugenti-Rita said, saying that buyers have some responsibility to know exactly what they are signing.

While the industry claims that “points” are no different than a deed, simply with more flexibility, consumers have noted that points appear to have no intrinsic value because they can’t be resold, making memberships that were purchased for hundreds of thousands of dollars essentially worthless on the resale market.

“Their value comes from using it,” the timeshare industry’s top lobbyist told ConsumerAffairs in January, admitting that points have no resale value while claiming that consumers don’t mind this because the value comes from the experience.

According to ARDA lobbyist Don Isaacson:

But the bottom line said (ARDA lobbyist) Isaacson, is that the state should not step in to protect people who didn’t bother to understand the nature of the deal.

“You read the documents,” said Isaacson. “And unless there is fraud, you are bound to that particular purchase.”

Anyway, Isaacson argued that too much is being made of the issue.

Timeshare Insider

Save the Date! Our next Platinum 80 Protest is May 17 – 20

Two Locations:

Friday, May 17 near the Florida DBPR Office

Saturday and Sunday, May 18 and 19 near Disney World

You don’t need to be Platinum to Join Us!

Protesting Unfair and Deceptive Timeshare Sales Practices

By Platinum Protest Organizers

Friday, April 19, 2019

When we protested in March in Las Vegas, where we represented 70 Diamond Resorts Platinum members alleging that we had been intentionally targeted for our loyalty and deliberately up-sold into insolvency. Since then we have grown to 80 Platinum members, many similar if not identical complaints. We believed in programs to pay maintenance fees that do not exist. Others say they were told if they purchased additional points, they would be able to sell points. According to Diamond, we are all confused. We are all educated professionals.

As reported at a legislative workshop in Tallahassee, Florida March 12,

Victoria Butler, from the Florida Attorney General’s Department of Consumer Protection, reported a figure of 1,500 to 1,600 complaints in recent years, with about 50% involving senior citizens. She said the majority of complaints were in regard to the initial sales presentation.

Ms Butler stated that the Florida timeshare division engaged only 42 complaints, the majority concerning resale. This fits with our members reporting that all timeshare complaints they submitted, DBPR responded, “Verbal representations are difficult to prove.”  

Based on these numbers, a sales agent can say anything to sell points. At least let the consumer know they should not believe a word a sales agent says. Reading the contract doesn’t always help. Members are often not allowed onto a booking site until after the rescission period has passed.   

The status of 80 Platinum member complaints:

  • 26 Resolved their Diamond dispute so won’t be protesting. Resolved doesn’t mean people didn’t lose a lot of money,
  • 21 Unresolved,
  • 9 Foreclosed with one senior Navy veteran filing for bankruptcy,
  • 18 Unknown outcome because we don’t call to find out what happened,
  • 4 Relinquished which meant they lost everything.
  • 2 In litigation.

Diamond points sell for around $4 a point. Platinum members own a minimum of 50,000 points. In 2018 maintenance fees had increased to $8,631. Out of the 80 Platinum complaints, 42 members report that they were told of maintenance fees relief programs that they later learned did not exist and 16 specifically say they were told they could pay maintenance fees at $.30 per point.

Only Platinum loyalty members can pay maintenance fees at $.04 per points so if a member turned in 50,000 points, redeemed at $.04 per point, it would mean they would be credited $2,000 towards a maintenance fee bill of $8,631 with no points left to travel. Members report that when they file a complaint, the hospitality agent responds describing a legitimate 30/30 program that offers travel discounts. This program has nothing to do with paying maintenance fees at $.30 per point.  

Inside Timeshare told us they do not link prior articles if the complaint has been resolved, but given Platinum complaints are increasing, they said they would allow us to link articles published by 14 of the 80 Platinum members even though some have resolved. They resolved, but not without endless rebuttals and regulatory filings. When you read our 130-page summary report – reports from educated professions who don’t know each other, all reporting similar to identical complaints, it’s unlikely a reader would conclude all our reports are falsehoods.  

We have added the Lusk family to our list of 81, even though they did not submit their complaint through Inside Timeshare. Their experience was published in USA Today. As reported by Rebekah L Sander for the Arizona Republic, Frank and Betty Lusk are retired Christian missionaries, nearly 90 years old. Annual maintenance fees are $19,000.

He told the Lusks buying another $150,000 timeshare with 10 per cent down was “life insurance” that would resolve any debts they had with the resort when they died, a promise they repeatedly questioned, Betty said. The timeshare contract they received is not life insurance and does not pay off debts upon death.

https://amp.usatoday.com/amp/3310015002

Following are 14 articles submitted by our Platinum 80 members:

Article 1 published April 12, 2019 Platinum member #80

The timeshare member is single, over 70 years old. From 2015 to 2018 the member was ping-ponged back and forth seven timeshare times told, “You should not have bought Hawaii points,” and then “You should not have bought US Mainland points,” until up-sold into insolvency. The member has lost their entire retirement savings that were worth almost $400,000. The member also suffered tax consequences due to liquidating a retirement asset.

Since we published the article, the family learned she was only switched back and forth five times over six transactions. These histories can be a nightmare to piece together, worse than your worst tax return.

Article 2 was published by Consumer Affairs March 29, 2019 Platinum #57/80

The FBI website is tricky. One of our three FBI helpers helped Diane through the intricacies of the FBI filing website IC3.gov. It starts off confusing asking if you want to report Terrorism, Missing child or Internet Crime.

Diane’s father had asked Diamond to take back a fully paid timeshare when he was 85 years old. They said no. He was sold five additional contracts between the ages of 85 to 88.

Diamond Resorts still can’t explain why it sold $250,000 worth of timeshare points to an 88-year-old

In late December, Diane Burkhart sent a complaint to the FBI describing how her 88-year-old father agreed to purchase $250,000 worth of timeshare points over the course of 18 months, from 2016 until late 2017. In 2018, he was diagnosed with dementia. He is now 89 and living in a nursing home, Burkhart says. His wife passed away last May.

https://www.consumeraffairs.com/news/diamond-resorts-still-cant-explain-why-it-sold-250000-worth-of-timeshare-points-to-an-88-year-old-032919.html

Article 3 is by Platinum Protestor Patty Boyak Valentine’s Day 2019 #28/80

Patty’s Las Vegas sales agent was recorded defrauding a disabled veteran in 2017. That family was interviewed January 2018, at which time they provided to Inside Timeshare a copy of the highly disturbing recording. An interview Inside Timeshare conducted with the couple was sent to Diamond’s attorney. The dispute was swiftly resolved, but instead of firing this agent, Patty met him October 2018. He introduced himself as a Platinum Specialist. Patty purchased her last contract from him. Just recently Inside Timeshare has heard from a third member sold by the same agent, the husband was diagnosed with Alzheimer’s and English is his wife’s second language. The family is financially devastated.

The very first complaint Inside Timeshare received in 2016 was about being told buying additional points would relive maintenance fees.  

At their last stay at a Diamond Resorts International resort in August 2015, Sylvia Saldana said that a sales agent tried to convince them to purchase another 10,000 points in order to achieve platinum level, which is 50,000 points (Remember they owned 30,000 points). The sales agent explained that by being platinum, it would allow the couple to pay their maintenance fees with their points, as only platinum members are allowed to use their points to pay maintenance fees, Sylvia Saldana said.  https://insidetimeshare.com/fridays-letter-from-america-on-thursday/

Patty’s Miracle Mile Protest in March article (pictured above)

Article 4 was submitted by a 100% disabled Army veteran. He was issued a 1099C for $170,000. His is one of now 21 complaints directed against the same sales agent. At least following the advice we provided to his CPA, he successfully disputed the phantom income.

This former Diamond member says DRI sales agent Rick Casper, working out of Polo Towers in Las Vegas, told him to buy more Diamond vacation points to eliminate maintenance fees. He and his wife wanted to talk to someone at DRI because they were struggling to pay maintenance fees on the 50,000 DRI points they already owned. This member is a 100% disabled Vietnam veteran, having been exposed to Agent Orange. The former member did not contact us to complain about Diamond Resorts. He wanted to know if there was anything that could be done about 1099. I did ask why he purchased additional timeshare points from Rick Casper, given Inside Timeshare has received 11 identical complaints about the same Las Vegas sales agent over an 18 month period.   

In 2016 we went to Las Vegas and stayed at Diamond’s Cancun resort and met with Rick Casper. Mr Casper said if we upgraded, we would be able to cover maintenance fees. However, maintenance fees increased after the upgrade to $16,000 a year. After five hours, my blood sugar was at 400. I was recovering from congestive heart failure. Rick Casper said it would cost us $198,000, $2500 a month in payments for the next 10 years but after ten years we would have no maintenance fees and no loan payment. Rick Casper said, “Then the little people will be paying for your vacation.” He said it would take a year to a year and a half to set up but he would personally handle it. He said since we were only paying $3, he had a guy that could sell points for much more than that and the proceeds would pay for the maintenance fees. I ended up paying a company in Branson MO $1500 to get out of this, but now the IRS has issued us a 1099 which has to be claimed as income. It’s for around $170,000. I’m now 71 years old. I would have been better off foreclosing.

Article 5 is by Gad Liebmann and his wife Noreen. They have been protesting outside Daytona for a year. They have had to stop protesting because Noreen was injured in a fall. They are both Army veterans and have many foster children.


From left, Noreen, Irene, a good Samaritan holding sign for Gad and Don

One of the Diamond sales agents told them they should be greeters at Walmart to help pay maintenance fees. Their complaint is identical to Sheilah Brust’s complain. Sheilah and Gad were sold by the same agent. Sheilah attended a presentation as a Secret Shopper and was told this agent was a problem at Wyndham.

Article 6 is Sheilah’s article. The article is called “Sheilah’s Pencil Pitch”

Sheilah is in possession of her “Pencil Pitch” which clearly states $8,631 minus $8,631 = 0 on the first page. There is an arrow and “save” written on the paper. At first, DBPR dismissed Sheilah with, “We don’t know if you were given this paper or you took it.” Sheilah was astonished. The last Sheilah heard from the reviewer is that she didn’t understand the program either until Diamond’s attorney explained it. That alone should have been grounds for dismissal. Here’s the first page of the pencil pitch. Sheilah was impressed her agent could write this upside down.

Article 7 is by Angela Simmons Sandstede. Her dad is one of those switched back and forth between Hawaii and US Mainland programs like the single female described in Article 1.

Roy is a retired letter carrier and Navy veteran, up-sold to $2.700 a month in loan payments. He had been charging loan payments to credit cards. The family had to retain a bankruptcy attorney. They are in their 70s. They had maintained a  high credit score before this.

Roy’s YouTube and March 6, 2018 article:

Article 8 This PhD trained the sales force for Perkin Elmer.

They are caregivers for two grandchildren, one autistic, one Down’s syndrome. They relinquished, losing everything.

Article 9 Filipino seniors with a previous high credit score foreclosed.

Article 10 – An executive VP posted one rental ad on RedWeek, despite hundreds of ads to rent on RedWeek.

Their account was suspended and it was demanded she pay $2,400 a month in loan payments and a $23,000 annual maintenance fee while her account was suspended.

Article 11- These seniors are foreclosed, the husband has Bell’s palsy

We were told “We are real estate agents. You can write off the interest paid and closing costs on these contracts because it is like real estate.” They said the proof was because they have real estate licenses. They are licensed real estate agents, but what they told us was not true. Our accountant said we were not allowed to take any deductions. We were told we had to buy that day so we could not talk to our accountant.

Article 12 This family did not know until they returned home they had purchased $142,000 in timeshare points, $17,000 charged to a Barclaycard.

Their attorney gave up. They submitted this article for comment and resolved their dispute that day. He is a Gulf War veteran, on 25 meds. She has had two knee replacements and a double mastectomy.

Article 13 A 21 year Army veteran, taught biological, chemical and nuclear defence at colleges.

Today we thank Samuel Melendez who spent 21 years in the army training soldiers, working with colleges, teaching chemical, biological and nuclear defence. When a military family is forced into foreclosure because they were lied to about being able to sell back points or finance at a lower rate, they don’t just lose their money. This can jeopardize their security clearance and their job.  

Article 14, A Coast Guard veteran, relinquished so lost all.

Rick Casper told us we should contact him when we needed to sell points because he had people that would buy them. This was the only reason we upgraded from 30,000 points to 50,000 points. When we contacted Rick earlier this year, we learned from Dan Percy (Rick Casper’s immediate boss) that we could not have been told that and we might be able to sell them through a resale third party. We never heard a response from Rick Casper.”

“In addition, we asked Rick about combining our seven previous contracts into one contract covering all 50,000 points. Rick Casper (allegedly) advised us not to do so as it would be easier to sell smaller quantities of points and inferred he could do so easier having contracts in increments, as when someone wants to upgrade from Gold to Platinum requiring only 20,000 additional points.”

“The thought of being able to sell was a relief.”

These are only a few of the Platinum complaints. We have heard from exactly 700 families as of today. We wish there were only a few bad apples, but Inside Timeshare says they have received multiple repeat offender complaints.

St. Louis BBB report warning consumers about timeshare

Don’t Fall for Deception Pressure and Traps Disguised as Vacations

https://www.bbb.org/en/us/article/news-releases/18149-dont-fall-for-deception-pressure-and-traps-disguised-as-vacations-a-better-business-bureau-study-of-the-missouri-timeshare-vacation-club-industry?bbbid=0734

We hope you can join us on May 17 – 20! We will publish exact locations soon.

Our Mission Statement

We seek to provide timeshare members with 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; to educate prospective buyers.

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

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

https://tug2.com/Home.aspx

https://everythingabouttimeshares.com/consider-exchange-options/

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

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

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

That is it for this week, we look forward to hearing your report on the protests next month and for those who cannot attend we will be there in spirit.

Inside Timeshare would also like to share this little gem from Mahatma Gandhi, it is for Irene Parker, who as we know is under attack from the industry big guns, you have our support Irene.

Have a great Easter weekend and join us again next week for more news and views on the murky world of the timeshare industry.

Friday’s Letter from America

Welcome to another Letter from America, over the past few weeks we have been publishing various articles on Bills which may have a detrimental effect on timeshare consumers. This week Irene Parker shares how she sees the legislation being proposed.

A Legislative Scorecard – Nevada Florida and Arizona

How to Connect Lobby Dots

By Irene Parker

April 12, 2019

VOTE “OPPOSED” TO NEVADA SB 348 UNLESS THE BILL IS AMENDED TO OFFER TIMESHARE BUYERS (NOT JUST THOSE RETAINING EXIT SERVICES), 24 HOURS TO REVIEW A TIMESHARE CONTRACT.

Review means an offer to be able to review a contract 24 hours before signing.

This offer should not be buried in fine print. Timeshare buyers who wished to waive the requirement could do so.

Rescission Period means the 3 to 10 days a member has to review after signing.

Nevada has an easy method to comment on the legislation. Select SB 348 and oppose the bill unless amended to allow a timeshare buyer 24 hours to review a contract:

https://www.leg.state.nv.us/App/Opinions/80th2019/

Why would the American Resort Development Association (ARDA), an industry-supported PAC, and ARDA ROC, (Resort Owners Coalition), be so opposed to offering timeshare buyers 24 hours to think about their decision to sign a perpetual contract with little to no secondary market?

A recent complaint received by Inside Timeshare:

The timeshare member is single, over 70 years old. From 2015 to 2018 the member was ping-ponged back and forth seven timeshare times told, “You should not have bought Hawaii points,” and then “You should not have bought US Mainland points,” until up-sold into insolvency. The member has lost their entire retirement savings that were worth almost $400,000. The member also suffered tax consequences due to liquidating a retirement asset.

The timeshare member identified six timeshare sales agents, of which five are repeat offenders, names well known to Inside Timeshare. The sixth is an up-and-comer who up-sold the senior in Hawaii at a prior update. On a subsequent visit to Hawaii, a family member accompanied the senior to a March 2019 “mandatory” meeting. The sales agent informed the senior that there is going to be a huge Special Assessment in the US program so the member needed to switch back to Hawaii from the US program for the eighth time in four years. If agreed to, this would have cost the senior over $60,000, pushing the loss to more than $400,000. The sales agent also told the family member and the timeshare member that he has a broker they could retain to rent and get money back and at some point in time, the points could be sold back. They added that purchasing these additional points would also allow the member to use points to pay maintenance fees.

I am 100% confident the timeshare company will tell the member that they signed a contract. They will file a complaint with the Nevada Real Estate Division (NRED). NRED will provide the senior with a “You have no proof” letter.

ARDA lobbyist Don Isaacson has been quoted, “The state should not be concerned with those who did not bother to understand the product.”

I wish the member’s story was unusual. At the Florida legislative workshop and at the Arizona hearing, lawmakers themselves reported how they had experienced unfair and deceptive timeshare sales practices.

An overlooked Nevada bill:  

Nevada Assembly Bill 438: Vacation and Timeshare Plans

https://www.leg.state.nv.us/App/NELIS/REL/80th2019/Bill/6835/Text

An OPC is a bird dog, if you will, hanging out at strategic locations, offering incentives to hear about something. NV AB 438 has no single sponsor. Many times I heard a member complain that they were not told it was a timeshare presentation. Nevada Assembly Bill 348 is an act relating to timeshare, providing the following:

Section 1 states:

1. The Administrator may impose a fine or suspend, revoke, reissue, subject to conditions, or deny the renewal of the registration of any representative if the representative has, by false or fraudulent application or representation, obtained a registration or is found guilty of (a) Making a material misrepresentation; (b) Making any false promises of a character likely to influence, persuade or induce another person to attend a timeshare presentation; (d) Must disclose that the promotion is for solicitation of timeshares.   

Florida HB 435: GENERAL BILL sponsored by freshman Representative Wyman Duggan profiled on LobbyTools.

Effective Date: 7/1/2019

At a Florida legislative workshop held March 12 in Tallahassee, the Florida Attorney General’s spokesperson admitted Florida received 1600 timeshare complaints annually in recent years, 700 so far this year, the bulk concerning the initial sales presentation, 50% seniors. “We engaged 42, mostly about resales,” they added.

This is good news for perpetrators as they can be assured oral representation will be dismissed, despite a volume and pattern of complaints.

Arizona ARDA lobbyist Don Isaacson assured those who attended the Arizona HB 2639 hearing that unfair and deceptive timeshare sales practices are minimal because Arizona only received 250 complaints in a year arguing that allowing a buyer 24 hours to review a perpetual contract is not necessary.

The Arizona House Bill 2639 was aimed at alleviating unfair and deceptive timeshare sales practices. The bill included allowing a timeshare buyer 24 hours to review a perpetual contract. ARDA was able to get this item in the bill thrown out.

I wrote “Timeshare Foreclosure Explained to Lenders” so members foreclosed can explain to their lender how when “pitched heat” by unscrupulous timeshare sales agents, they can lose $100,000 or more in a week, one second after the rescission period ends because the resort can fall back on the oral representation clause. By their own admission, Florida’s timeshare division DBPR will fall back on it too.  https://insidetimeshare.com/the-tuesday-slot-18/

From AZ HB 2639

Buyers often enter into timeshare contracts when on vacation, are encouraged to review documents after they return home from vacation, sometimes long after the rescission period has ended – leading to confusion, anxiety and costly fees that can last years.

The timeshare lobby ARDA and the timeshare industry have yet to acknowledge unfair and deceptive sales practices exist on the front end of the timeshare sale. The amount of money lost to timeshare exit companies pales in comparison to the amount of money timeshare members say they lost because they believed a timeshare sales agent, according to our 800 readers.  

When timeshare members receive their maintenance fee invoices, they are asked to make a $3 to $10 donation to ARDA ROC. Timeshare members collectively give ARDA ROC approximately $5 million a year. I have yet to meet the timeshare member who can tell me what ARDA ROC even stands for.

Timeshare members that have contacted Inside Timeshare are not trying to weasel out of their contracts because they can’t afford them. They allege unfair and deceptive timeshare sales practices. Our readers include doctors, lawyers, two private investigators, mortgage loan officers, professors, MBAs, war heroes, law enforcement professionals, criminologists (one a PhD), a detective who worked economic crimes under cover, and a contract specialist for ConEd, all alleging unfair and timeshare sales practices. What chance has the vulnerable?

All we ask is make it a level playing field, by providing disclosure, alerting the consumer – you cannot believe a word timeshare sale agents say because they could be “pitching heat.” Unscrupulous sales agents also harm honest sales agents trying to sell the product honestly. We’ve heard from a lot of them.       

The American Legislative Exchange Council

The reporter in this YouTube describes how lobbyists sit at the table with legislators filling in the blanks crafting desired bills tailored to their wishes. https://www.youtube.com/watch?v=6MHYOB5uptc

Our volunteers answer questions about regulatory filings when members complain of unfair and deceptive timeshare sales practices. Many members have resolved disputes by filing regulatory complaints. Too many families have been financially harmed by their decision to buy a timeshare, a product advertised to reduce stress.

Self-help groups we feel are not industry influenced:

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

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

https://tug2.com/Home.aspx

https://everythingabouttimeshares.com/consider-exchange-options/

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

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

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

Other related articles:

Arizona HB 2639

http://www.orlandosentinel.com/opinion/os-florida-timeshare-tactics-scott-maxwell-20150411-column.html

https://www.consumeraffairs.com/news/diamond-resorts-still-cant-explain-why-it-sold-250000-worth-of-timeshare-points-to-an-88-year-old-032919.html

https://amp.usatoday.com/amp/3310015002

Thank you Irene, all we can hope for is that these Bills do not get through, timeshare consumers need protection not just from unscrupulous resale and exit companies but also from the industry as a whole. We have often stated that timeshare could be a good product, but as we know it is the way it is sold and the unfair conditions consumers have to put up with that are the problem.

Have a great weekend and join us again next week for more news and views on the world of timeshare.

Start the Week

The RDO (Resorts Development Organisation) is supposedly the trade body for the timeshare industry in Europe, yet it is their very own members who are being taken through the courts for the mis-selling of timeshare. Yet it fails to act against them or even sanction them for their misdeeds. In fact, if you look at their own membership list, it probably only represents about 10% of the industry in Europe, with many of their own members on the receiving end of hundreds of court cases.

Instead, it funds several entities to discredit companies that do genuinely try to help beleaguered timeshare owners, Kwikchex, Timeshare Taskforce and Timeshare business Check, all run by Chris Emmins. This gentleman does not have a very successful track record when it comes to his directorships, with 17 appointments with all companies being dissolved under his directorship.

Kwikchex and Chris Emmins replaced the now discredited Alberto Garcia who with his blog site Mindtimeshare did the RDO’s bidding, using the “Enforcement” program, now renamed Timeshare Taskforce. Granted, timeshare owners do need to know the good from the bad, but as we have seen over the years the good have been lumped together with the bad, all because they do not wish to subscribe to RDO membership or are using legal means against the timeshare industry.

Chris Emmins

So who do the consumers have to turn to?

At one time many believe that it was TATOC, The Association of Timeshare Owners Committees, but as we know that organisation has fallen by the wayside. It was also funded by the industry and the then CEO Harry Taylor instead of protecting timeshare consumers was very much on the side of the industry.

Recently the RDO announced a new organisation for owners, EUROC, or European Resort Owners Coalition. Yes, you have guessed it, the European equivalent of ARDA ROC from the US.

We do know that the RDO and ARDA, (American Resorts Development Association) are very close, in fact, the RDO is very much modelling itself on their US cousin. Lobbying on behalf of the industry to the detriment of the consumer.

UEROC, is being funded by both of these organisations, according to the RDO for at least one year, then it should become self-sufficient. But does that mean it will be funded by timeshare owners, or like we had with TATOC funded by industry membership and associates?

Is this new organisation actually going to represent consumers’ interests against the industry or is it going to be just another sham to make consumers believe they have a voice?

Only time will tell if what we are seeing with the industry in the US, with ARDA supporting bills which destroy consumers rights in Florida and Nevada, it does not bode well for consumers in Europe.

At least in Spain, the law is on the side of the consumer, making perpetuity contracts illegal, banning the sale of floating weeks and points systems, enforcing the cooling off period and forbidding the taking of any payments within that period. These are the basics of many of the court cases consumers are winning, resulting in contracts being declared null and void and the return of all payments.

If you purchased a timeshare in Spain after January 1999 and want to know where you stand legally, then use our contact page and we will point you in the right direction.

Friday’s Letter from America

Welcome to our Friday’s Letter from America, this week Irene Parker replaces the original article scheduled for today with her take on Are Timeshares Worth the Money in the Long Run by Women Who Money.

Latest news on the Nevada SB 348, the bill has been pulled possibly for a couple of weeks, this is due to the efforts of consumers. From our efforts 35 timeshare members posted comments, lets keep this going and increase that number to 350!

Unless timeshare buyers are given 24 hours to review a contract as ARDA is demanding from timeshare exit providers, we will continue to see consumers being pressured into purchasing there and then. As they say, what is good for the goose, is good for the Gander.

In the lawsuit against Marriott Vacation Club, a Florida Judge has sustained central claims in the class action against Marriott and their points based system. According to the article (see link below), “Consumer Deeds are invalid because they lack any cognizable legal description of a real property interest being conveyed as required by Florida law.”

https://www.nyrealestatelawblog.com/manhattan-litigation-blog/2019/april/florida-judge-sustains-central-claims-in-suit-ag/?fbclid=IwAR2wlVr8NIPBZj9Mcg8vVQI7_yHJvTHkIWTU4NdT9XEC8QANg0rfR9wmZrs#.XKZAISFvVH0.facebook

This is very similar to the reasons that points and floating weeks systems have been deemed illegal under Spanish timeshare law, they lack any substance, allowing only for the right of use, subject to availability.

Could this be the start of points based systems becoming illegal in the US, well we shall have to wait and see. Now for this weeks Letter from America.

Women Who Money

Are Timeshares Worth the Money in the Long Run?

What Timeshare Regulations?

By Irene Parker

April 5, 2019

I enjoyed reading “Are Timeshares Worth the Money in the Long Run?” published by Women Who Money.  I agree with the article’s major points, with the exception of the author’s comment about “regulations being in place to protect timeshare consumers.” Having heard from timeshare members how easy it is for a timeshare sales agent to dodge a contract rescission period, I wonder if there is any foolproof way to prevent being scammed. Some things, like actual availability, cannot be discerned by reading the contract. Also, my contract said, “You can sell your points. We will not assist you.” The part about no buyers was left out.  

House, Senate and Assembly Bills are flying across the country. On Tuesday we published a summary of proposed legislation and asked timeshare members to oppose Nevada Senate Bill 348, unless it can be amended to say timeshare buyers will be allowed 24 hours to review a contract, not just contracts with exit service providers.

There is no need to propose a bill requiring those who seek to buy a car be allowed 24 hours before signing a contract. Typically when buying a car, you shop, and a tag team of three against two doesn’t gang up on you for hours. We ask timeshare members to voice their opinion on NV SB 348 following the link in Tuesday’s article. Timeshare buyers should be at least offered 24 hours before signing a contract.

Timeshares are regulated by states. Since timeshare buyers typically buy a timeshare in a state other than their state of residence, lawmakers have little incentive to react to non-constituents. Lawmakers need to listen to those who bought a timeshare in their state, not just those who reside in their state. While some state Attorneys General seem to be on the side of the consumer, other states follow the mantra, “Verbal representations are hard to prove.”

I found the Woman Who Money article, “Are Timeshares Worth the Money in the Long Run?” on Lisa Ann Schreier’s Timeshare Crusader blog. Having worked in the industry for years, Lisa’s knowledge brings a lot to the table.

From Women Who Money   

Regulations now exist to help protect consumers from high-pressure sales tactics. If you buy a timeshare and quickly regret it, you may have options for getting out of the signed contract.

The most important things you can do if you’re considering a timeshare purchase is to take time to read every word in the contract. You’re given a mandated legal rescission period ranging from 3-10 days.

https://womenwhomoney.com/timeshares-worth-money/?fbclid=IwAR0bYNP97–z3c_zLuiKII59MamwEsSaCA6exdi6GdNOspnL26F88c09eeg

Timeshare expert and author of Timeshare for Dummies Lisa Ann Schreier agrees:

“While it is true that each state has a legally mandated rescission period, the fact of the matter is that 99% of purchasers will not read the contract within that time frame. The days of relying on the sales person for good, solid information are over. Consumers must go into these timeshare sales pitches armed with a litany of questions and be prepared to walk out without purchasing anything if they don’t receive answers that can be pointed out within the contract.”

http://thetimesharecrusader.blogspot.com/

My husband and I used and enjoyed our timeshare for 25 years with no complaints, questions or Facebook posts. The points-based product does offer greater flexibility and the elimination of additional fees imposed by exchange companies. We’re not saying timeshare isn’t good for many, and there are not honest sales agents, but I am convinced, in speaking with timeshare members, current and former sales agents, managers and even an executive or two, “pitching heat” is on the upswing. Having sold everything from pianos to Charitable Remainder Trusts, I have never encountered a term as revolting as “pitching heat” as the industry itself describes the employment of unfair and deceptive sales practices.

Timeshare buyers should record their timeshare sales sessions in one-party states where legal. I would recommend not buying a timeshare in a two-party state. If you can’t record your presentation, proof will be hard to come by. One of our Supporters, Sheila Brust, has in her possession her “Pencil Pitch” that clearly denoted:

$8,631

-8,631

0

There was an arrow pointing to 0 and the word “saved,” indicating she would be able to cover all her maintenance fees using a program that unfortunately did not exist. A second buyer who bought from the same sales agent was also dismissed by the Florida timeshare reviewer. The Florida reviewer told Sheilah that she did not understand the program either until she spoke with the company attorney. What chance does the average consumer have if a Florida timeshare reviewer, who has reviewed hundreds, if not thousands of timeshare contracts, did not understand the program until she spoke with the company attorney?

“Hear no evil, see no evil” seems the norm in some states. As far as proof, 78 Platinum members, who don’t know each other, reported similar to identical complaints, often against repeat offender sales agents. I’m told that constitutes proof as it is a good faith investigation and a reasonable conclusion.  At the very least if Florida demands proof, make Florida a one party state.

Contact Inside Timeshare or a self-help group if you have questions or concerns about your timeshare.

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://everythingabouttimeshares.com/consider-exchange-options/

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

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

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

Thank you Irene for coming up with today’s article at such short notice.

Do you have any comments or views on any article published, if so use our contact page and let us know, we welcome your views.

Have you a problem with your timeshare, you don’t know where to turn or who to trust, again use our contact page and we will point you in the right direction. Remember there are many bogus companies out there, promising the earth and delivering nothing, do your homework before engaging with any company.

Have a great weekend and join us again next week.

The Tuesday Slot

Welcome to The Tuesday Slot, today we look again at the Nevada Senate Bill 348, with the introduction by Irene Parker and comments from Michael Kosor. Once again it looks like the industry is moving to protect itself rather than the consumer, yet the problem is one of their own making.

In Europe a new organisation has been created, EUROC, yes, it is the European version of ARDA ROC, it is being funded by ARDA and RDO, (Resorts Development Organisation) Europe’s timeshare trade body. EUROC is being set up to replace the discredited TATOC, which closed down in 2017. Once again it is a smokescreen to give consumers the illusion of having a voice. According to the press information, the two organisations behind it are only going to fund it for a year, after that it should be self sufficient, well, we shall wait and see.

URGENT AND TIME SENSITIVE

If You Bought a Timeshare in Nevada and Experienced Unfair and Deceptive Timeshare Sales Practices

Nevada Needs to Hear From You

The Next Timeshare Legislative Battle is April 5 in Nevada

Nevada Senate Bill 348 is an identical Bill that follows Florida HB 435

Nevada SB 348:  https://legiscan.com/NV/text/SB348/id/1965282

Introduction by Irene Parker

Comments by Nevada resident and Timeshare Advocate Michael Kosor

April 2, 2019

As part of Nevada SB 348, the timeshare lobby ARDA has proposed that timeshare members seeking exit services wait 24 hours before a timeshare member signs a timeshare exit service provider contract. Given the volume of complaints concerning fraudulent timeshare sales, if anyone needs 24 hours to “sleep on it,” it is the timeshare buyer. Buyers typically sign a perpetual timeshare contract with little to no secondary market. When deceived, contracts signed for even $100,000 or more are worth nothing seconds after the rescission period.  We previously reported how easily a sales agent can dodge the rescission period.

Some states, like Arizona, understand the plight of timeshare victims, especially if lawmakers themselves experienced deceit. The reverse is true in Nevada. Many of the 779 complaints Inside Timeshare received were directed against Nevada sales centers. The Nevada Real Estate Division (NRED) dismissed all with a “You have no proof” letter. It is likely Nevada SB 348 was proposed due to a less than warm reception for the identical Florida HB 435, given the comments made by Florida representatives who themselves experienced negative timeshare experiences. Nevada SB 348 was proposed on the last day a bill could be filed.    

In Florida, spokespersons for the Florida Attorney General’s Office and the Department of Business Practice and Regulation (DBPR) reported Florida received 1,600 complaints each year for the last few years with 700 complaints already received in 2019. Of the 1,600 complaints, it was reported that most complaints are about the initial sales presentation and approximately 50% were reported by seniors. Only 42 complaints were “engaged” and those they said were mostly about resale.

In effect, perpetrators in Florida and Nevada have been given the green light to make up anything to sell points, knowing complaints are likely to be dismissed by the timeshare company and by NRED and DBPR. Florida is a two party state so consumers cannot legally record the sales presentation.             

ARDA lobbyist Don Isaacson opposed the pro-consumer Arizona HB that would have required timeshare buyers be granted 24 hours to review a timeshare contract. His argument was that Arizona only receives 250 annual timeshare complaints.

If you experienced unfair and deceptive timeshare sales practices in Nevada, there is an easy method to comment on pending legislation. If you signed an NDA you can still make a general comment asking the bill to be amended to include the offer of a 24 hour period for the buyer to consider the purchase of a timeshare.

To voice your opinion click on Nevada SB 348 to comment:   

https://www.leg.state.nv.us/App/Opinions/80th2019/

Thousands upon thousands of people across America and in the European Union are reporting unfair and deceptive timeshare sales practices. Just this week Consumer Affairs reported on a couple over the age of 85 sold $250,000 in timeshare points. USA Today and the Arizona Republic reported on a couple nearly 90 years old sold $150,000 in timeshare points. In March I received a complaint directed against the same timeshare company from a couple turning 90, both diagnosed with age-related dementia. They were sold $145,000 additional timeshare points promised a maintenance fee relief program that does not exist. A third complaint against one agent, a sales agent we have on a recording defrauding a veteran a year ago, sold a couple ages 79 and 80, 90,000 timeshare points. The husband is diagnosed with Alzheimer’s; the wife’s first language is Cantonese. They were unsure of the purchase price but a conservative estimate is $240,000.    

There’s more!

If this bill passes, law firms providing timeshare exit assistance and legitimate exit providers would not be allowed to receive payment for services provided until all services have been provided. Timeshare companies have not been forthcoming in even notifying timeshare members that their loan has been cancelled. Many have reported not learning of a loan cancelled until a 1099C arrives in the mail.

We want timeshare buyers to be offered 24 hours to think about their decision to sign a timeshare contract. This could be waived if the buyer chooses, but would allow those unduly pressured to consider their decision, consult an attorney, mom, dad, son or daughter. As things stand, same day sales are demanded after exhausting sales sessions.

The proposed “cooling off period” as stated in the NV SB 348:

A time-share exit assistance or relief services provider shall give the owner who is not a developer not less than 1 business day to review a contract pursuant to this section.

Timeshare exit providers have heard from thousands of timeshare buyers desperate to find release. Voice your opinion – click on SB 348 and demand your 24 hours:

https://www.leg.state.nv.us/App/Opinions/80th2019/

Timeshare members collectively donate approximately $5 million a year to the timeshare PAC ARDA ROC through “voluntary” donations via their timeshare maintenance fee invoice, yet not one of the 779 timeshare members who have contacted us could tell me what ARDA or ARDA ROC stands for. These donations fund ARDA lobby efforts. ARDA purports to be lobbying for the consumer, but what’s wrong with a consumer being allowed 24 hours to think over a purchase that has financially devastated so many families?  

Michael Kosor, a Wyndham owner and Las Vegas resident, responds to Wyndham Sr. VP Jason Gamel who testified at the Florida HB 435 legislative workshop held in Tallahassee March 12

The Nevada Senate Bill 348 denies legitimate attorney representation to responsible consumers desperately seeking to escape the perpetual liabilities of a timeshare contract. Attorneys who provide timeshare exit assistance would not be allowed to charge a retainer or any money upfront until services have been provided. Challenging a timeshare contract can take up to two years or more.  

When I last visited the Nevada Real Estate Division (NRED) and sat down with an investigator on the issue of timeshare complaints I learned the following:

  • NRED continues to be one of the only states that I am aware of, with a large number of timeshare sales, with no dedicated timeshare division. I believe Nevada is #7 in timeshare sales.
  • NRED has no legal staff, thus NRED must forward all legal questions to the Attorney General.
  • The investigator confirmed that NRED produces no public report to anyone, including its own investigators, on the number, type, and/or outcome of timeshare complaints filed. Are there fifty or fifty thousand complaints?

Wyndham Sr. VP and attorney Jason Gamel, who provided testimony at the Florida HB 435 Workshop held in Tallahassee March 12, made some arguably false comments in response to Florida state Representative Newton’s question about Wyndham’s dissolution policies. Mr. Gamel explained that there was no need for owners to contract with an exit service provider because members seeking a loan cancellation due to hardship can apply for a hardship release through Wyndham. Those who were denied release and contracted with an exit service provider, or those with pending litigation, will find the testimony interesting.

When asked about the percentage of owners who would be eligible for release through Wyndham’s dissolution program, Gamel stated “…over 99% of the inventory qualifies and if the owner is current in their maintenance fees and their mortgage is paid off, it’s literally just about everybody. So anybody that has called us in the last few years while this program has been active, we have taken those timeshares back.” He further went on to state, “If they qualify for the program everyone gets out.”

I have talked to those who own Wyndham (as I do), who tried to get out but did not “qualify”. When I researched the program I discovered:

  • A policy to exit a Wyndham contract is only a few years old at best.
  • To my knowledge, Wyndham doesn’t publish any qualification criteria. I am an owner. I have asked. They will not provide the specific policy criteria in writing or in a telephone conversation as to what is sufficient to “qualify”. If anyone has the qualification criteria of any developer, exchange program, etc., I would like to see and share it. It is my assessment “qualification” is a purely subjective determination made by Wyndham.
  • Contrary to my experiences and those I have talked to, more often than not, simply being current on maintenance fees and having no mortgage does not automatically result in the ability to exit/dissolution.
  • In my opinion, the entire effort is primarily a smoke screen created in response to increased consumer issues seen as threatening a very profitable business model while deflecting attention away from fixing the flaws in the product and its lack of a resale market.
  • Florida Representative Newton requested and was promised information to support Gamel’s assertions. I hope it will be made public.

Mr. McKelvey, representing ARDA ROC, also made some questionable comments that need to be rebuked. First, he claimed “most of the developers I know and certainly most of the timeshare managers I know, and I managed timeshare properties for thirty years… every single resort had a dissolution policy, every single (one). There was a way to get out. You had to come to your management company, and based on what the board of directors instructed us (the management company) to do in the terms if they had to pay a fee or if they had to be current, whatever those situations were, we did not have a one that did not have a dissolution policy and a hardship policy….”

Mr. McKelvey’s Defenders Resorts may have had a dissolution policy, but in no way can the statement be supported that all resorts have a dissolution policy.

McKelvey went on to imply dissolution policies are “passed by your board of directors.” These are not developers, these are board members elected to a board that have passed a certain dissolution policy. We send that (dissolution policy) to the directors, but we never get an answer.

There is much to challenge in McKelvey’s testimony:

  • I seriously question the validity of his claims related to the vast proliferation of dissolution policies.  
  • There is a huge difference in “having a way to get out” and getting out.
  • Dissolution policies, contrary to what McKelvey implies, are the developer-controlled boards of the corporations and exchange trusts formed by the developers used in the developer’s affiliation (exchange) programs.
  • I find it incredible that legislators and consumer protection agencies fail to act on the realities encased by prior flawed and outdated legislation that permits the sale of perpetual contracts, on the twin legal fantasies that timeshares represent an interest in real estate, and the equally damaging “constructive notice”- a presumption purchasers are knowing of and accepting of all the contract provisions imposed. I know of no other consumer product that fits these twin categories and have produced so much wealth destruction. As I have said in the past, the properties of real estate have been stripped away from timeshares. Buyers own little more than a “membership” in a strange sort of country club that can cost $100,000 or more upfront with perpetual liabilities.

ARDA’s claim that it represents both the industry and the consumer needs to be debunked.  Who are the true consumer advocates?

Thank you Mike for your opinion. Please voice your opinion on the Nevada link provided. Venting on complaint sites is easy and might make you feel better, but venting affects no change.

Self-help groups we feel are not industry influenced:

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://everythingabouttimeshares.com/consider-exchange-options/

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

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

Friday’s Letter from America

Welcome to another edition of Letter from America, this week Irene Parker looks at the Nevada Timeshare Senate Bill 348, which along with Florida House Bill 435, allegedly protects timeshare consumers. But as you will see it may just prevent consumers from seeking the legal help they may need. We begin with an editorial by Timeshare Insider.

ARDA ROC responded to our Tuesday Talk article by providing their press releases strongly in support of FL HB 435. ARDA feels the bill does not prevent a timeshare member who feels they were a victim of unfair and deceptive sales practices from seeking legal counsel, but what law firm does not charge a retainer for services that are to be provided.

Inside Timeshare, especially from the EU side, spends considerable effort exposing fraudulent timeshare exit services. It is a never-ending battle which in all likelihood cannot be won without ARDA and the timeshare developers acknowledging the obvious unfair and deceptive practices that have existed on the front end of the sale. When complaints are routinely dismissed because the buyer signed a contract, and Florida and Nevada seconds the ruling by informing the buyer they have no proof, there is in effect nothing to stop unscrupulous sales agents from making up any outrageous claim to sell points.

ARDA has launched a responsible exit program.  For one timeshare company, licensed timeshare resale brokers will not accept a listing to sell the timeshare, or if the broker does accept the listing, the seller is lucky to break even. If the buyer finds they were deceived seconds after the rescission period, which Irene in her article explains can be easily dodged, there is no responsible exit. Amounts of $100,000 or more are not uncommon.https://responsibleexit.com/

We do thank ARDA ROC for responding to Tuesday’s article. It is our hope two opposing sides can come together to stop hard-working citizens in the EU and America from  being financially devastated by the words and actions of timeshare sales agents and timeshare exit service providers. In any profession there are bad apples, but in the case of timeshare sales, bad apples have a tendency to be rewarded.           

Nevada Pot Calls Kettle Black

Nevada Timeshare Senate Bill 348 Purports to Protect Nevada Timeshare Consumers – but in effect Prevents Timeshare Buyers from Retaining Legal Counsel

“What is good for the Goose…, we would love to see a 24 hour waiting period requirement on the initial timeshare sale. Members are never told of the lack of a secondary market if a timeshare member needs to dispose of the timeshare. If a wait is good for consumers on the couple thousand dollar exit contract, it certainly should be necessary for the initial $20,000 to not uncommonly over $100,000 or more a timeshare buyer spends on the initial sale.” An advocate

Proposed Nevada SB 348

https://www.leg.state.nv.us/App/NELIS/REL/80th2019/Bill/6627/Overview

By Irene Parker

March 22, 2019

In an apparent knee-jerk reaction to Florida lawmakers offering a less than lukewarm reception to Florida House Bill 435, ARDA lobbyists and timeshare developers introduced a nearly identical Nevada SB 348 on the last day a bill could be filed. Democratic Senator and Majority Whip Pat Spearman and Senator James Ohrenschall are the bill sponsors.

This bill if passed would not allow an attorney to charge a retainer if they are known to provide timeshare exit assistance as part of their law practice. Exiting a timeshare contract can take up to three years. In essence, the bill seeks to eliminate attorneys who provide timeshare exit legal advice when timeshare buyers experience unfair and deceptive sales practices or wish to dispute a contract.  

Honest attorneys and legitimate exit providers feel ARDA and timeshare developers seek to throw the proverbial baby out with the bathwater. Legitimate timeshare exit providers feel as strongly as ARDA and the developer that the myriad of scam exit companies are harming consumers, but not allowing a timeshare buyer disputing a contract to retain an attorney is overreaching, according to attorney arguments presented during the Florida HB 435 March 12 workshop held in Tallahassee, Florida.

Like the Florida bill, the Nevada bill if passed would require a 24 hour “cooling off period” that would allow a consumer signing an exit service contract time to think about their decision before signing a contract. A 24 hour cooling off period before signing the initial timeshare contract would be heralded as a huge win for consumers and would provide a level playing field for the timeshare industry and exit providers. Timeshare buyers are typically told that if they walk away from the timeshare sale of the century they will never have an opportunity to purchase at the price point offered again. The reason buyers are demanded to buy the same day is because most will not buy a timeshare if given a chance to think about it.

According to Highlands Resorts’ sales manager Steve Abrahamson, named in a Colorado Attorney General investigation in 2017, “In the eighteen months he worked for Highlands Resorts, not a single consumer returned after their sales presentation to make a purchase. In his fifteen years in the timeshare industry, Abrahamson never saw a consumer purchase a timeshare after leaving a sales presentation.”

https://www.businessden.com/wp-content/uploads/2016/12/5B3AF6808EF5C.pdf

Dr. Amy Gregory, an assistant professor at the University of Central Florida studied the impact of buyer regret-and-remorse on rescission decisions and determined:

A whopping 85 percent of all buyers regret their purchase (for money, fear, confusion, intimidation, distrust and other reasons). Forty-one percent of buyers never thought they would regret their purchase, but they did; another 30 percent were neutral prior to buying, but then regretted it.

https://www.redweek.com/resources/ask-redweek/arda-world-timeshare-owners

There has been a tsunami of complaints from consumers describing predatory, unfair and deceptive timeshare sales practices. Buyers often sign a perpetual contract after being held for hours in an aggressive high-pressure sales session. I have prepared a 126 page report of 75 Platinum members who report similar to identical complaints, up-sold into insolvency by being promised maintenance fee relief programs that do not exist, or the ability to be able to sell points, provided the buyer purchases additional points. The majority of these scams took place in Nevada. Of the 75 similar to identical complaints, 20 were filed against one Las Vegas sales agent allowed to up-sell for over two years, earning $2.4 million in 2016 and $2.4 million in 2017. In a lawsuit filed against the company, he alleges management instructed him to create reasons why existing members needed to purchase additional points.  

In another Nevada incident, an Iraqi veteran recorded a fraudulent sale. The recording was provided to Inside Timeshare January 2018. After the veteran asked for his ID and credit card back for over an hour, when the sales agent left the room, he recorded the second hour of a five hour ordeal that resulted in the disabled veteran, who suffers from TBI and PTSD, taking out a loan the family could not afford. Instead of being fired, ten months later Platinum member Patty Boyak and her husband Brandon, a Navy veteran, were up-sold into insolvency by the same Las Vegas agent. Just recently, an elderly couple, without access to a computer, was up-sold by the same Las Vegas agent that sold Patty. They signed off on a loan of over $100,000, promised the ability to pay maintenance fees. The husband is diagnosed Alzheimer’s and English is his wife’s second language.

If you are just now jumping into Timeshare Wars, these are the links to our articles published last week about Florida HB 435 and our members’ responses to ARDA’s assertion that the rescission period offers adequate time to cancel the contract.

Florida HB 435 Workshop held March 12

Timeshare member response:

According to one attorney I spoke with, the primary problem with the bill is that ARDA has exempted attorneys in Section 12(1) and then in Section 12(2)(b) states attorneys cannot get paid until “all” services are complete. One can only assume when ARDA states “all” services, they mean getting a full release, regardless this is not clear. As attorney Wayne Halper explained at the Florida HB 435 workshop, proof of release has not always been provided by developers.

This bill creates several problems.

  1. First, attorneys bill for their time.  If attorneys cannot bill for time and can only bill upon completion of services, it is going to create cash flow problems and prevent attorneys from taking these cases, which appears to be ARDA’s intent.  Further, given the lack of clarity about what “all” services means; it appears attorneys could potentially be held criminally liable if they billed a client for work performed. The sole effect of this would be to chill representation and is completely anti-consumer.
  2. Given the confusing nature of the drafting, as soon as this bill passes all the timeshare companies have to do is refuse to settle, forcing every attorney to go to binding arbitration and the attorneys would only get paid if they win. Very few if any attorneys are going to take that risk given the deck is already stacked against them at arbitration, which is anti-consumer.  Once again, trying to keep people who have been aggrieved by the timeshare companies, or are struggling financially, from being represented by counsel.
  3. The penalty for breach of this law is a felony. This will further deter representation by attorneys. There is no other area of law, where an attorney can be held liable for a felony based on representation of a Client and the manner in which we legitimately bill. That timeshare companies are already suing attorneys all over the country civilly, to be able to subject attorneys to potential criminal sanctions, is ludicrous and highlights the sole intent of this provision, which is to prevent aggrieved consumers from being represented by counsel.

If you would like to weigh in, contact Inside Timeshare.

We support the following self-help groups we feel are not industry influenced.

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://everythingabouttimeshares.com/consider-exchange-options/

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

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

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

Thank you Irene and all those who have contributed to this and the many other articles published on Inside Timeshare.

Please do use our contact page if you would like to comment on this or any article published.

It is Carnival Time here in Gran Canaria so this will be a very busy weekend, we hope you all have a great weekend and join us again next week.

Carnival Gran Canaria

The Tuesday Slot: More on Florida House Bill 435

Welcome to the Tuesday Slot, we continue this week with more on the Florida House Bill 435 Workshop held in 12 March, once again written by Irene Parker who attended.

As usual before publication we have sent the article to Wyndham and ARDA for comment, but as always these tend to be ignored. As a matter of course we always send the proposed article as we welcome comments from the industry, as it furthers debate and it can accomplish our goals of consumer protection.

Without this debate nothing will ever be achieved and the consumer will forever be at the mercy of the industry. In this respect the lack of response only says one thing, for that we let you the reader decide what it is!

More on the Florida House Bill 435 Workshop held March 12

In response to ARDA ROC and Wyndham’s testimony:

How Timeshare Sales Agents can Dodge a Rescission Period

Why Reading the Timeshare Contract does not Always Help

Why the Delay in Reporting Fraud

By Irene Parker

March 19, 2019

The Florida HB 435 Workshop held March 12 in Tallahassee:

At the Florida HB 435 workshop held in Tallahassee March 12, Victoria Butler, from the Florida Attorney General’s Department of Consumer Protection, reported a figure of 1,500 to 1,600 timeshare complaints in 2017 and 2018, with about 50% involving senior citizens. She said the majority of complaints were in regard to the initial sales presentation. There have been 700 complaints filed so far in 2019. Ms. Butler stated that the Florida timeshare division engaged only 42 complaints, the majority concerning resale.

This fits with our members reporting that all timeshare complaints submitted to Florida’s http://Department of Business & Professional Regulation (DBPR) were met with “Verbal representations are difficult to prove.” This lack of enforcement gives a green light to perpetrators, knowing their company will dismiss complaints with, “You signed a contract,” echoed by DBPR’s response, “Verbal representations are hard to prove.”

Platinum timeshare member Sheilah Brust, who designed our Timeshare Regret T-Shirt pictured above, and other Platinum members, are organizing a protest in May in Orlando, astonished at the figures reported by Florida’s timeshare division. The oral representation sentence in the timeshare contract stating, “I did not rely on oral representations to make my purchase,” buried in an 80+ page contract, gets a workout. Our goal is to alert the public that they should not believe a word a timeshare sales agent says, which is not fair to timeshare agents selling the product honestly.

Inside Timeshare has heard from 735 families. Of the 735, 100 are veterans and active duty service members. Over 200 of our readers have sent complaints to the timeshare lobby and PAC ARDA ROC. ARDA ROC does not mediate complaints, but they have a Code of Ethics. All complaints sent to ARDA ROC but one were ignored. ARDA ROC responded to one complaint, “This has been resolved,” even before the member, with a top security clearance, had heard from the company. The CEO of the company sits on ARDA’s board.  An active duty service member or a defense department worker can lose their security clearance, their job and their career over a timeshare foreclosure. ARDA ROC purports to be the voice of timeshare members.    

On Saturday, March 16, I heard from Platinum member #74, told that by purchasing additional points, they would be able to sell or rent points to offset rising maintenance fees, now over $10,000 per year. A 126 page summary report I prepared of reader complaints, shows a pattern and volume of complaints, often the sales agent a repeat offender. All the Platinum members report being told of maintenance fee relief programs that do not exist or a program allowing the member to sell points, if they purchased additional points.      

Platinum report submitted by Andrea K, Platinum member #74:

Our family has been emotionally and financially devastated because of the last timeshare points purchased. By 2016 or 2017 our maintenance fees had increased. The sales agents said we were the only deeded owners left and that is why they said our maintenance fees were so high. They said they were not sure if it was too late, but they could try to get us converted to points.

In 2017 we went to Hawaii. We purchased $55,000 worth of more points. They said if we purchased Hawaii points, we could easier sell because Hawaii is so popular. He showed me a magazine listing Hawaii timeshares for sale. I still have the magazine. He also said if I have this many points I can rent, especially in January to pay for the maintenance fees. We have learned our timeshare company does not allow us to rent using the internet, and that their points are worthless on resale.  

In 2018 we stayed at Tahoe in California but purchased in Nevada. In Tahoe they said because we had not purchased at our last stay, we lost our $3 price so that we would have to pay $9 per point if we did not buy additional points that day. He said our price lock was lost, but when he checked our records, he said for some reason the $3 was still there. He said I needed to sign a paper to remove the $3 price and in the future I would have to buy points at $9. He should have told us our timeshare points are worthless on resale. These presentations have taken 6 to 8 hours, despite being told they would only be for 90 minutes.

As years have gone by, we have learned that things we were told are either exaggerated or not true.  Many of the reimbursements promised did not yield what they had said they would yield.

Twenty of the 74 Platinum complaints were lodged against the same sales agent over a two year period. According to a lawsuit the agent has filed against the company, he said he was instructed to create reasons why existing members needed to buy additional points. He reported earning over $1 million in 2015 selling timeshare points, $2.4 million in 2016 and $2.4 million in 2017, before being terminated. His replacements are generating similar to identical complaints.

Mr. Ken McKelvey, ARDA ROC Chairperson, questioned why timeshare buyers wait so long to report deception. Mr Jason Gamel, Wyndham Sr. VP, Legal said exit companies are not needed because Wyndham has a hardship department to address members struggling with high interest rate timeshare loans. Both spokespersons said the rescission period provides enough time to review a contract and rescind. Our reader complaints address these objections:

How timeshare sales agents and timeshare companies can easily dodge the rescission period:

  • The buyer is told, “This is a new program, so don’t say anything to quality assurance because I could get fired.”
  • The buyer is told, “This program will be available after January 1.”
  • The buyer is not allowed onto the booking site until after the rescission period. Several buyers report being told airfare is included when booking. It’s not until they attempt to book they learn this is Blarney.
  • The buyer reports being told loans will be consolidated, but then the loan is not consolidated. The buyer does not learn this until the next loan payment, after the rescission period.
  • The buyer is told to wait a few months before refinancing.

Why reading the contract does not always help:

  • Buyers are shown a booklet of resorts, but the buyer is not allowed onto the booking site until after the rescission period. Actual availability cannot be determined by reading the contract.
  • My contract stated, “You can sell points, we will not assist you.” It left out the part about licensed timeshare brokers will not accept a listing for my timeshare points.

Why there is a delay in reporting fraud:

  • The reason that it may be several years before fraud is reported is because a negative life event triggers the need to sell. It is not until that trigger occurs that the buyer, who was sold on the promise that the timeshare is like real estate, easily sold, learns their timeshare is worthless.
  • It is not until a tax preparer, attorney, or grown child of elderly parents discovers predatory actions, such as the retired Navy veteran, living on a letter carrier’s pension, up-sold to $2,700 a month in timeshare loan payments. There have been numerous complaints involving Alzheimer diagnosed buyers.

We are hoping Marine veteran James Sherwood fell through the cracks at Wyndham, and that Wyndham will reach out to Mr. Sherwood. Mr. Sherwood’s wife broke both hips three years ago and has had a total hip replacement. He is disabled. Neither can travel. Wyndham would not accept that Mr. Sherwood was disabled. They demanded proof he could not travel. The VA provided a letter stating Mr. Sherwood could not travel. This was not sufficient. Mr. Sherwood felt it was an invasion of privacy to demand all medical and financial records, especially since he was told when he purchased the timeshare, that the transaction was a real estate transaction and could easily be sold. http://insidetimeshare.com/http-insidetimeshare-com-p5114/

Timeshare members are deeply grateful to Florida lawmakers, who echoed some of their negative timeshare experiences during the Florida HB 435 workshop. For the first time in memory, lawmakers’ voices talked back to the timeshare industry and to industry lobbyists. A timeshare consumer protection Arizona HB 2639 bill is currently being debated, strongly opposed by ARDA. The Arizona Attorney General’s office received 400 complaints against just one company. After a press release announcing an investigation a few years ago, they received an additional 500 complaints, according to members who spoke with the Arizona AG’s office.  

The question I am most frequently asked:  “How do they sleep at night?”

My answer, “Bernie Madoff had no trouble sleeping at night.”

The comment I hear most frequently, “I feel so stupid.”

I answer that the following have reached out to us describing unfair and deceptive sales practices, in addition to the vulnerable:

  • Three PhD economic and criminal justice professors
  • A Florida detective who worked economic crimes undercover
  • A Consolidated Edison contract specialist
  • Lawyers and mortgage brokers

Can it be, after all this time, the consumer’s voice is being heard?

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

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://everythingabouttimeshares.com/consider-exchange-options/

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

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

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

Thank you Irene and all our advocates for all the hard work you put in on behalf of the consumer, without you there would be nowhere for them to turn.

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