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Whistleblowers of America

Friday’s Letter from America

Welcome to this week’s Letter from America, we today publish yet another “Nightmare on Timeshare Street” from yet another Veteran, Ron Tzinski. Since we began highlighting these stories, Inside Timeshare has received around 111 complaints from Veterans and how they have been targeted and lied to by unscrupulous sales agents, yet the timeshare companies still allow the deceptions and lies to continue. These are men and women who have given their lives to the service and defence of the country and this is the thanks they receive! Despicable is the only word I can use without the use of profanities.

Part II Timeshare Reinvents Subprime Mortgages

What Wyndham Timeshare Hardship Department?

Veterans Speak Out

Part I Theresa Provides Insights into Wyndham’s Defaults

https://insidetimeshare.com/the-tuesday-slot-35/

http://www.centeronelderabuse.org/veterans.asp

Part III Why centeroneelderabuse.org Suggestions Offer no Help

On July 11, 2018, President Trump signed Executive Order 13844, establishing the Task Force on Market Integrity and Consumer Fraud and identifying the Deputy Attorney General as its chair. The Task Force is part of a government-wide initiative to combat fraud against consumers – particularly the elderly, service members, and veterans – and corporate fraud that victimizes the general public and the government. https://www.justice.gov/fraudtaskforce

By Ron Tzinski, an Army Veteran

June 21, 2019

I am an eleven year Army veteran, retired. I became inactive after Desert Storm when President Clinton decided to reduce the military. I have been inactive since 1993. I have an Honorable Discharge.

I would not be in a dispute with Wyndham had I been told about Wyndham’s Veterans Holidays program. I could have taken advantage of their “Always Low Fees” instead of being driven to foreclosure. I have not made a payment in eight months.  


Always Low Fees, Never Any Pressure

While accommodations are mostly at timeshare resorts, you will not be required to attend a timeshare presentation. Some resorts are already sold out and do not have active sales centers on-site. If the resort is still in sales, at some time during your stay, you will probably be given an opportunity to attend a presentation in exchange for a premium or gift (free dinner, theater/show tickets, amusement/theme park tickets, etc.). Everyone at these resorts is given this same opportunity. If you like the incentive gift and want to attend the presentation, you are welcome to do so. But you are under no obligation and can simply say, “No, thanks.”

Veterans Holidays is a part of Wyndham Worldwide, one of the world’s largest hospitality companies.  https://www.veteransholidays.com/about-us

I bought my Wyndham timeshare in Tennessee October 2016.  October 2017, I talked to someone at the Wyndham Grand Desert about getting out of my timeshare. Instead of getting out, I got talked into buying additional points. They promised that if this purchase was a problem, Wyndham would buy-back the timeshare. They explained the reason for this convenience was because Wyndham self-finances loans. And I was buying a trial product. This made perfect sense.

I am a small business owner on the verge of bankruptcy due to massively decreased income. I have the tax returns to prove it. My family needs dictate that I provide the basic day-to-day necessities for my families now, over a timeshare

I never should have been sold a timeshare in the first place. Even when I bought the timeshare, I made less than $12,000 a year. I’m self-employed. When I bought the timeshare, I wasn’t asked about my income. As Theresa mentioned in her article, she was told a minimum of $75,000 was required to make a timeshare purchase. Also, my wife passed away two years ago, after we had purchased the timeshare. I never even used the points.

I applied for a hardship release. Wyndham started three files on me, but ultimately denied a release. Inside Timeshare sent a draft of this article to Mr Jason Gamel, Sr. VP Legal at Wyndham, and to another Wyndham representative, asking why an annual income of $12,000 a year and death of a spouse would not qualify for hardship. Mr Gamel said at a Florida legislative workshop that Wyndham members need not seek timeshare exit provider services because of Wyndham’s hardship department. You must have to be on welfare to qualify.   

Wyndham does have a release program called Ovations for those without loans:

‘We understand that your situation may have changed since you purchased your timeshare with us and now you’re unable to use it the way you planned. Whether it’s a change in marital status, family needs or vacation preferences, these events impact how and when you choose to travel.’

I just don’t understand the high bar obstacles for release, given Wyndham can take back the timeshare today and sell it to someone else tomorrow for full price. A member can’t even sell the timeshare on eBay for a dollar. Wyndham already has the money I paid until I could no longer afford to make payments. I understand that money is gone. Wyndham is in a win-win proposition, and with no secondary market, the consumer loses.   

‘With Ovation by Wyndham, owners receive the peace of mind that their best interest is being protected, something fraudulent timeshare resale, transfer and cancellation companies cannot offer.’

At least a cancellation company can support you during the demoralizing foreclosure process. Therein lays the rub. You can exit as long as you are paid up. So, what if you are only 2 ½ years into a 10-year loan when your situation changes? And we were told Wyndham self-finances so can easily take back the timeshare. We have no option but foreclosure.

Based on the response we received, Wyndham does not care about me or my situation. I know I am not alone. This Facebook page was started because we need support. At least members deceived can support each other. How sad.

Link to our Facebook: https://www.facebook.com/groups/376743609795740/

I feel that all timeshare companies care about is the money they feel they are entitled to. They care about keeping as many people on the hook as possible. I am sure the units, weeks, and points that everyone is ‘timesharing’ exceed the available inventory. I’m sure that most of the money goes to pay sales presentation incentives and sales staff wages.

We pay a ‘voluntary’ donation to the timeshare PAC ARDA ROC to be our voice, yet ARDA ignores us when we call them out on a violation in their Code of Ethics. Wyndham describes its Ovations program as an award-winning” program. An award was presented to Wyndham by the timeshare lobby ARDA. The president of ARDA is a Wyndham executive.   

I have connected with other veterans. We are now veterans in a different kind of war. The lack of a timeshare secondary market is even more harmful to active duty service members who could lose their security clearances over a foreclosure. Something needs to change, beginning with the non-existent secondary market. It’s a recipe for financial disaster, much like the subprime mortgage crisis.

Afterthoughts by Irene

After reading about Ron’s disappointment with Wyndham’s hardship department, I thought of the legislative workshop I attended in Tallahassee on March 12, 2019. ARDA had proposed a Florida bill that included a provision whereby timeshare exit providers must allow potential customers a 24-hour cooling-off period before signing a contract with an exit company. ARDA and Wyndham were concerned about unfair and deceptive sales practices, yet Ron was told it would be easy to have Wyndham take back the timeshare.

Exit providers and timeshare members wholeheartedly agreed with the cooling-off period as long as timeshare buyers would be allowed 24 hours to consider their decision. This would eliminate the high-pressure “today only or the deal is off” hard sell. The bill ultimately died in committee surely to resurface in 2021.

We are one hundred per cent in agreement that there are many timeshare exit scams, but I’ve been in contact with a few exit service providers who are as sincerely concerned about unfair and deceptive sales practices as we are. “We” are our volunteer Supporters who answer questions for timeshare members filing regulatory and law enforcement complaints for members who feel they experienced unfair and deceptive timeshare sales practices.

Sign this Petition for Timeshare Reform. We are working towards 100,000 signatures by 2021. Over 1,200 have signed. You don’t have to be a timeshare member to sign.

https://www.change.org/p/state-legislators-in-arizona-florida-and-nevada-demand-reform-of-the-timeshare-industry-s-unfair-and-deceptive-practices

Marine veteran Jim Sherwood is a 100% disabled Marine Corp Master Sergeant. Wyndham did resolve Jim Sherwood’s request for hardship, so there is a legitimate hardship department. Mr Sherwood’s article was published on March 8 of this year. We appreciate Wyndham’s response to Jim Sherwood’s request for hardship, but Mr Sherwood was at his wit’s end when he contacted Inside Timeshare, after denials following the VA’s report that he and his wife were unable to travel.   

Thank you to Ron for sharing his experience. Our standard disclosure is that we know there are many happy with their timeshare purchase. That doesn’t make up for thousands of families reporting deceptive and unfair timeshare sales practices. We have organized an outreach committee to seek more disclosure for veterans buying timeshares.

Related article: A Legislative Scoreboard

https://insidetimeshare.com/fridays-letter-from-america-45/

Whistleblowers of America is a nonprofit organization assisting whistleblowers who have suffered retaliation after having identified harm to individuals or the public. Together, we can speak truth to power.

https://whistleblowersofamerica.org/

Self-advocacy groups 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://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/

Inside Timeshare Facebook Group

https://www.facebook.com/groups/2213231165610648/

Thank you, Ron, and also to Irene Parker for her contribution to this article, we would also like to thank all the volunteers who are helping with the advocacy efforts and giving others some hope.

It is such a shame that the timeshare companies act the way they do, they allow their own sales agents to destroy the lives of those who have served, all for what? There is only one word and that is GREED!

Inside Timeshare welcomes your comments and views on this article and any others published, just use our contact page and get in touch with us.

That is all for this week, join us on Monday for Part Six of our exclusive story on Silverpoint Exposed. Have a great weekend.

Friday’s Letter from America

Welcome to this weeks Letter from America, today Irene Parker sets out instructions on how to file complaints with the FBI and the FTC (Federal Trade Commission). Unfortunately, many of the requests for help Inside Timeshare receives fall into the category of fraud, yet the industry still does not recognise that they need to change.

Before we start a bit of news from the Spanish Courts.

The lawyers from Canarian Legal Alliance have been at it again this week with a resounding 25 sentences issued against timeshare companies.

These have been broken down as 3 issued from the High Court and 22 from the Court of First Instance. With Anfi receiving 24 judgements against them and Club La Costa receiving 1. The Club la Costa case was heard at the court of First Instance in Fuengirola, Malaga and is the very first case to involve one of CLA’s Spanish clients. (Click on the PDF below for the court sentence).

The other cases were clients from the UK and Scandinavia, with most receiving double the deposits paid and the return of legal fees, all contract were also declared null and void.

The total amount awarded in all these cases is a staggering 828,329€. So congratulations to the clients and also the entire legal team at Canarian Legal Alliance.

Now for our Letter from America.

Timeshare Accountability Group™

FBI and FTC Filing Instructions and Talking Points

April 26, 2019

By Irene Parker

When timeshare members feel they have experienced unfair and deceptive timeshare sales practices, the member should first reach out to their resort in an attempt to resolve the dispute. If informed, “You signed a contract” or “We are not responsible for what our sales agents say,” file a Better Business Bureau complaint and file a complaint with the Attorney General from the state where you signed a contract.

Unfortunately, some timeshare complaints meet the FBI definition of white-collar crime. If the complaint is of a nature that meets the following description, file with the FBI at IC3.gov or file orally by contacting an FBI field office.

# 1 IC3.gov

Timeshare fraud falls under White Collar Crime/Mortgage Fraud/Financial Institution Fraud/Fraud for Profit. click on the link below to read about mortgage fraud. The general definition of white-collar crime is “deceit, concealment, violation of trust, and bait and switch.”  

Fraud for profit: Those who commit this type of mortgage fraud are often industry insiders using their specialized knowledge or authority to commit or facilitate the fraud. Current investigations and widespread reporting indicate a high percentage of mortgage fraud involves collusion by industry insiders, such as bank officers, appraisers, mortgage brokers, attorneys, loan originators, and other professionals engaged in the industry.

Fraud for profit aims not to secure housing, but rather to misuse the mortgage lending process to steal cash and equity from lenders or homeowners.

The FBI prioritizes fraud for profit cases.

https://www.fbi.gov/investigate/white-collar-crime/mortgage-fraud

To file a complaint with the FBI, select IC3.gov from the three choices available. It’s confusing because IC stands for Internet Crime, but it doesn’t have to be about internet crime. That’s just the name of the portal. You can file a complaint on behalf of someone else. At the end of the form it will ask if you are filing on someone else’s behalf.

https://www.ic3.gov/default.aspx

Some of the information that the IC3.gov online form asks for is not necessary – fields like routing numbers, bank addresses. Don’t worry about having all that information. They are not required fields. Victim bank is the bank from where you made payments or the credit card company. Subject bank is where you send your payments.

If you receive additional information after filing an original complaint, there is a handy box to check that asks, “Is this an update to a prior report?” Start the complaint over, but check that box to add the new information.

Step #2 File an oral FBI report 24/7

You can also file orally by contacting an FBI field office. Contact the field office where you signed a contract. Members have reported some agents have spent one or two hours on the phone with them. One member met with her FBI agent!

When you call the field office, select “Submit a Tip” then wait for the white-collar crime prompt. One person ended up in the wrong pew of the right church told they had to have lost a million dollars or more to file a complaint. That’s not true.

Members report the FBI has been responsive, but the FBI agent needs to be convinced getting a lawyer will do nothing to stop the problem of timeshare fraud for profit. Timeshare companies have armies of lawyers and they can drag a proceeding on forever until the member is broke. It is an understatement to say timeshare attorneys don’t look favourably on the arbitration process.

In Florida call the Tampa Field Office

https://www.fbi.gov/contact-us/field-offices/

Whether filing at IC3.gov or orally, you can provide the name and phone number of other victims, especially if you are aware of similar complaints. That way the FBI can look up other reports directed against the same repeat offender sales agent.

Sheila Brust’s article, “Just the Facts, Ma’am” is about her experience reaching out to the FBI. Sheilah worked for New York Governor’s Office of Employee Relations. The FBI advised Sheila to file with the Secret Service because her allegation also involved credit card fraud.

www.secretservice.gov                                                       

Don’t expect to hear back from the FBI. They don’t work like that. That doesn’t mean they are not listening. It takes volumes of complaints and a pattern of complaints to launch any investigation, whether with the FBI or with an Attorney General.

Filing your own complaint requires dedication and perseverance. Resolutions can be accomplished, empowered with information the member needs to take matters into their own hands. Thinking beyond their own dilemma, members can become one of our volunteer Supporters to help others.

Our Complaint Instructions were revised by a millennial timeshare buyer who followed our complaint instructions to resolve her dispute.

How to File a Complaint revised January 25, 2019

Timeshare member complaints tend to start out convoluted and confusing. We suggest having a friend or neighbor, not familiar with timeshare, read your complaint to see if it makes sense. Provide examples. Expect to be denied. Read the reason for dismissal and respond with a rebuttal.

Saying things like “I can’t afford this” is useless. You can’t go to your home mortgage lender and say “I can’t afford my home mortgage” and expect them to take your house back. You signed a legally binding contract. If there was no deception, you are bound by the contract, although it’s possible to request a contract cancellation due to medical or financial hardship.

We refer to a lawyer about one in ten times when all else fails, or the member does not have the time or energy to follow our process, which is admittedly timeshare consuming. A list of reputable law firms is provided upon request.   

#3 File with the Federal Trade Commission

The FTC online form has a “Timeshare Sales” option. It’s not easy to find. Instructions are in this article. Don’t be discouraged by receiving only a “Here’s some timeshare tips!” response. https://insidetimeshare.com/the-tuesday-slot-13/

Extra Talking Points

You must inform the FBI agent why you experienced unfair and deceptive sales practices. The agent you speak with may know nothing about timeshare basics. Explain the contract is perpetual, there is no secondary market, and when members complain, the company often hides behind the oral representation clause.

Your mission is to convince the FBI that this is not about only a few complaints. This article “Timeshare Foreclosure Explained to Lenders” lists just a few of the Attorneys General investigations and lawsuits, and the St. Louis Better Business Bureau report tells consumers what to watch out for:

Timeshare Foreclosure Explained to Lenders

St. Louis BBB report

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

Why doesn’t the government do something about this?

  1. There is no federal enforcement,
  2. Timeshare Attorney General Investigations and settlements are usually mere financial speed bumps, comparable to fining an NFL player $10,000. One exception is The Manhattan Club settlement. https://nypost.com/2017/08/17/new-york-ag-reaches-6-5m-settlement-with-manhattan-club
  3. When a member complains, they are shown their initials on the fine print,
  4. Retaining an attorney will not stop unfair and deceptive business practices,
  5. Litigation is time-consuming and expensive,
  6. Arbitration is widely known to be pro-industry. If you lose you can end up paying the resort’s arbitration fees. The resort hires the arbitrators.
  7. The CFPB has been rendered ineffective. Even in the CFPB heyday members could not file a complaint because the borrower often doesn’t even know the name of their lender. You had to select a financial institution from the dropdown menu and timeshare companies are not a choice.
  8. Some lawmakers may be influenced by lobby dollars, as reported by The Daily Courier. https://www.dcourier.com/news/2019/apr/16/opt-out-provisions-timeshare-bill-no-longer-table/
  9. Some state AGs turn a blind eye. At a Florida legislative workshop in Tallahassee March 12 of this year, the spokesperson for the Florida AG reported their office received 1,600 annual timeshare complaints in 2017 and 2018, mostly about the initial sales presentation, 50% seniors, of which the AG engaged only 42 of the complaints, mostly about resales. This spells no enforcement. The Nevada Real Estate Division responded to all our readers with a “You have no proof letter.”
  10. Timeshare members give the ARDA ROC Political Action Committee approximately $5 million dollars annually, often “Opt-Out” donations. We have heard from over 800 timeshare members. Not one could tell us what ARDA ROC even stands for. ARDA ROC vigorously opposed recent proposed pro-consumer changes in Arizona.  

Let us know if you are active duty military, law enforcement, a government worker or a veteran, as we are supported by WhistleBlowers of America. They added timeshare fraud to their March 14, 2018 report before the Committees on Veterans’ Affairs (the Consumer Financial Protection Bureau has since been all but dismantled and we changed our name from TS Advocacy to Timeshare Accountability Group):

United in Speaking Truth to Power

www.whistleblowersofamerica.org @whistleP2P

601 Pennsylvania Ave, South Tower, Suite 900 Washington, DC 20004

Statement of

Ms. Jacqueline Garrick, LCSW-C

Executive Director

Whistleblowers of America

Before the

Committees on Veterans’ Affairs

U.S. Senate

U.S. House of Representatives

March 14, 2018

House and Senate Committee Members:

Whistleblowers of America (WoA) was incorporated in 2017, as a newly focused nonprofit service organization providing peer support to whistleblowers, so we are honored to be able to share our concerns with you today. The majority of our contacts are with Department of Veterans Affairs (VA) employees or veterans who have identified waste, fraud, and abuse, medical errors, denials of care or benefits, discrimination, harassment or bullying.  For doing so, they have suffered reprisal and retaliation. From the report:

Fraud and Scams Against Veterans:

Although WoA recognizes that it is not inherent within the VA mission to protect veterans from fraud and scams that could cost them their benefits, it suggests that it could be assistive in educating veterans against these unscrupulous tactics. For example, WoA has had multiple complaints from veterans related to timeshare deceit and bait and switch tactics, which are defined by the FBI as fraud for profit.  Often elderly veterans are mentioned as being targeted by the Timeshare Advocacy Group, TM which fights for active duty and retired military who fear losing their security clearance, career, homes or other assets.  Foreclosures and financial distress because of these misrepresented investments are happening every day to elderly disabled veterans and their families. In the past, VA has cooperated with the Consumer Financial Protection Bureau (CFPB) over mortgage and other loan scams that caused financial hardships for veterans.  Home loans and timeshare loans are identical as both are reported as foreclosures. WoA asks that Congress consider a role for the VBA Employment and Economic Initiative (EEI) could play in cooperation with CFPB to educate and protect veterans from unscrupulous financial predators and fraudulent practices.

Consider a donation to Whistleblowers of America if you have been helped by Timeshare Accountability Group™

It’s remarkable that a timeshare member must go through this many stressful hoops concerning a product that was sold to be stress reducing. If you have skills that could help others, consider becoming a Supporter. Contact TAG.

Related articles:

3Rs or F of Timeshare

The Timeshare Tax Trap, February 26, 2019

Arizona HB 2639, March 1, 2019

Arizona HB 2639, March 5, 2019

Florida HB 435, March 15, 2019

Florida HB 435, March 19, 2019

Nevada SB, March 22, 2019

Arbitration October 24 2017

Member self-help groups

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, this information should prove a great help to many of our readers, it is just a shame that we have to resort to this type of action. One day the industry may just realise that it is through their own greed that they are on the receiving end of so many complaints.

Once again the weekend is upon us, whatever you are doing and wherever you are, have a great weekend and join us next week for news and information on the murky world of timeshare.

Friday’s Letter from America

Welcome to this week’s Letter from America, today Inside Timeshares Irene Parker reports on a Lawsuit filed on behalf of 10 former Wyndham employees. This suit was filed under the Florida Private Whistleblowers Act in the Judicial District of Pinellas County, Florida Civil Division. This follows on from a previous article first published in 1 December 2016, where Whistleblowers exposed timeshare sales tactics, it was also where we reported on Trish Williams being awarded $20 million by a San Francisco jury for unfair dismissal after she exposed Wyndhams tactics. But first the latest news from the Spanish Courts.

For one British family they are nearing the end of a long road in their fight against Anfi Resorts, the Court of First Instance Number 4, in Maspalomas Gran Canaria has declared their contract null and void. The basis of this decision is the contract did not follow that stated under Spanish Timeshare Law 42/98.

The Hope family are now timeshare free and will soon be able to enjoy the money awarded, as the law firm Canarian Legal Alliance has already begun proceedings to enforce the sentence and have the money paid out as quickly as possible.

Mr & Mrs Hope

On the subject of enforcing sentence, one Norwegian family have now been awarded 49,226€ with their contract with Anfi Resorts being declared null and void, on the grounds that it did not include any tangibility and was detrimental to the consumer.

After enforcement of sentence proceeding by their lawyers at Canarian Legal Alliance, this money is now safely in the clients own bank account.

So contrary to many posts on various forums and claims by timeshare companies, clients are receiving payment, so congratulations to both families.

Now for today’s article.

A Lawsuit Filed on behalf of 10 Former Wyndham Employees

Filing #82214691 filed 12/17/18

Timeshare Exit Team Responds to Manifesto

Arizona Timeshare Bill to Safeguard Timeshare Buyers Opposed by Timeshare Lobbyists and Developers

By Irene Parker

February 22, 2019

A lawsuit was filed under the Florida Private Whistleblower Act (Florida Statute 448102(3)) on behalf of ten former Wyndham employees in the Judicial District of Pinellas County, Florida Civil Division against Wyndham Vacation Club. Plaintiffs include eight former sales agents. Plaintiffs allege that they objected to and refused to participate in illegal timeshare sales practices. This lawsuit parallels the former Wyndham California sales agent Trish William’s lawsuit in which a jury awarded Ms. Williams $20 million November 2016.

According to the Florida statute, “An employer may not take any retaliatory personnel action against an employee because the employee has….Objected to, or refused to participate in any activity, policy, or practice of the employer which is in violation of a law, rule, or regulation.”

Florida House Bill 435, introduced by Freshman Representative Wyman Duggan seeks to protect timeshare members from unfair and deceptive sales practices perpetrated by timeshare exit companies.

The timeshare industry lobbyists and developers lump legitimate law firms and lawyers in with lawyers employing questionable business practices, with a goal to prevent members from seeking any legal counsel if they feel they experienced unfair and deceptive timeshare sales practices.

Timeshare Accountability Group™ maintains a member need not retain a law firm or an exit company. Our Supporters answer questions about regulatory filings as the process can be daunting. However, some members do not have the time or temperament to withstand our process, which we admit is arduous.

In Manifesto Part I the author compared third party exit companies to Ponzi Schemes. This prompted a response from Timeshare Exit Team:  

“For the past seven years, as Timeshare Exit Team has grown from a local, Seattle-based company to a national brand, we have remained focused on honesty, integrity, and transparency. We exit burdened timeshare owners legitimately by facilitating transfers, voluntary deed-backs to resorts, or using attorneys to litigate against timeshare developers when necessary, and offer a 100% money-back guarantee. To date, we have successfully exited 16,000 timeshare owners. Our goal is not just to provide a valid exit for owners who find themselves with no realistic solution to get out of their timeshare, but also to transform the industry. For that reason, we are proud to be a founding member of The Coalition to Reform Timeshare. In solidarity with our Coalition partners, we are pushing for a Consumer’s Bill of Rights for timeshare owners–and would-be owners–that seeks to create a 24-hour cooling-off period prior to signing a timeshare contract, to  lengthen rescission periods to 14 days, to force full disclosure in timeshare presentations, and to give timeshare owners booking rights over the general public. Our passion is to be able to serve every single one of our clients AND to support those who wish to keep their timeshare, but just want a level playing field with the developers.”

Given Timeshare Accountability Group™ recommends not paying anyone to get out of a timeshare, we find ourselves an unlikely ally with Timeshare Exit Team as we are also a founding member of The Coalition to Reform Timeshare.

There are many timeshare exit scams, but there are also many scam timeshare sales agents. Inside Timeshare has heard from 705 families reporting allegations our ten Wyndham former employees say they were forced to employ or be “starved out” of their jobs.

In the Wyndham lawsuit, plaintiffs were employed by Wyndham’s Florida Clearwater Beach Resort which opened in 2017. Plaintiffs include eight former sales agents, a business operations coordinator and a community marketing agent. Plaintiffs say they were enticed by a supposed once-in-a-lifetime opportunity to be part of the opening sales team where they were promised yearly profits in excess of $500,000.

The allegations described in this December 2018 class action read like a broken record to Charles Thomas and me. We hear on a daily basis, identical complaints from timeshare buyers from a variety of timeshare companies. Many were existing members who trusted the company, buying more points in order to be eligible for programs that did not exist, like the ability to sell back points to the company. Timeshares have virtually no secondary market.

We also have received many complaints from timeshare buyers who said they did not realize a credit card had been opened or charged. They report being told to “fill this out so we can determine if you are eligible” when in actuality a credit card was opened and charged. Electronic signing doesn’t help as initials are stored and then, tap, tap, tapped to completion.

According to the Wyndham December 2018 complaint, allegations (edited for brevity) in violation of Florida statutes, include:  

18. Plaintiffs allege supervisors regularly instructed them to intentionally confuse and mislead buyers or “wear them down” so they would buy property.

19. Supervisors instructed Plaintiffs to misrepresent the price of the timeshare through the use of point charts, specifically Wyndham’s “Clearwater Beach Resort Points Chart” fraudulently showing buyers the “RCI Points Chart” which depicts substantially cheaper points – in many cases less than half the actual cost.

20. Supervisors instructed Plaintiffs to fraudulently advise buyers that the timeshare was an investment.

21. Supervisors instructed Plaintiffs to fraudulently advise buyers that the property was not a timeshare.

22. Supervisors instructed Plaintiffs to fraudulently misrepresent to buyers the effect of completing a credit application. Plaintiffs were instructed to advise buyers that the credit application would only be a “soft hit” or that it was not a credit application at all.

23. Supervisors instructed Plaintiffs to fraudulently alter the buyers’ income level on their credit application, if needed, for them to be approved for credit financing.

24. Supervisors instructed Plaintiffs to fraudulently advise buyers that Wyndham would buy back their property if they were not satisfied with it.

25. Supervisors intentionally preyed upon the elderly in the use of unethical and illegal sales tactics.

26. Out-of-state residents not eligible to purchase Clearwater Beach Resort properties directed plaintiffs to fraudulently advise such buyers to purchase “Club Wyndham Access” that would give them access to other Wyndham properties, and that they could transfer their interest to Clearwater Beach Resort, even providing a form letter explaining this, knowing it was not true.                                                   

27. Potential buyers were told the property was not a timeshare, but a “vacation ownership.”

28. Supervisors routinely overstated availability due to Wyndham renting out rooms, reducing availability.

29. Supervisors directed Plaintiffs to fraudulently advise timeshare owners on their refinancing options advising existing owners that they could keep making the same monthly payments and pay off their loan by the same time, when in actuality repayment terms were simply extended.

30. Supervisors instructed Plaintiffs to do “whatever they have to do” to close deals, even if it was unlawful or unethical.

The suit also alleges unlicensed real estate agents engaged in the unlicensed practice of real estate by selling properties to buyers.  

Plaintiffs say they complained numerous times to supervisors, Human Resources, and eventually to corporate attorneys and investigators. Plaintiffs stated at least one supervisor stated he would “starve out” Plaintiffs that objected and/or complained if they did not do what he told them to do, or would fire them. Plaintiffs were constructively terminated. According to the complaint, one supervisor advised Plaintiffs to “forget everything (they) just learned” as they would never make a sale that way.

According to attorney Tom Roebig of Florin Roebig trial attorneys, representing the Plaintiffs,

“All too often corporations think that an employee who reports wrongdoing is trying to start trouble, when they’re really just trying to protect the company and other innocent victims. Unfortunately, as we can see here, all too often the employee is punished for doing the right thing.”    

Allegations from the Trish Williams lawsuit:

In the Trish Williams lawsuit, the elderly were also targeted. Allegations in the Trish Williams lawsuit include:   

1.     The effect or even existence of a credit card application;

2.     That current owners could increase their points at no cost;

3.     That Wyndham would buy back points or property in certain circumstances;

4.     That monthly payments would be reduced when they were simply being extended;

5.     That current owners were making smaller payments than they were, in an effort to persuade them to purchase more points;

Michael Brown, President and CEO of Wyndham Destinations made this statement about unscrupulous timeshare exit companies’ sales practices:

“We are committed to protecting our owners to ensure they aren’t taken advantage of.”

Having heard from 705 timeshare families, 98 active duty service members or veterans, alleging unfair and deceptive timeshare sales practices, we contend both sides of the timeshare sales and exits are problematic.

Arizona has proposed a bill (linked above) to safeguard timeshare buyers against practices alleged in the Wyndham lawsuit, numerous Attorneys General investigations, Better Business Bureau complaints, and other lawsuits. We will be reporting on this bill in an upcoming article.  

Thank you to the bravery and courage it takes for employees and former employees to “Hold the Powerful Accountable” and as I can personally attest – it’s not easy!  I look to Whistleblowers of America (WoA) for support because you can’t do it alone. WoA is a nonprofit that seeks justice for veterans, active duty service personnel and government workers. A veteran introduced me to WoA.

https://whistleblowersofamerica.org/h

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/

Contact Inside Timeshare if you have a positive or negative timeshare experience to share. We know there are honest agents who refuse to buy into the “pitching of heat” which means telling consumers anything they can think of to get a potential buyer to sign on the electronic line. They too are harmed by the actions of sales agents with questionable business practices.

Thank you Irene and to all other contributors this week, with your help we are able to give others a glimpse of what is happening in the world of timeshare.

Please use our contact page if you have any comment or questions on any of the subjects covered on Inside Timeshare.

Have a great weekend.