I’d like to say that things greatly improved in timeshareland this year. But they didn’t. Again.
So, here’s my list of the Top 5 Timeshare Related Stories of 2021:
- Exit Companies
- Mergers and Acquisitions
- Same Old Sales Practices
- Still A Dearth of Exit Options
- A Giant First Step
Exit Companies
Exit companies are not going anywhere. Despite the AGs of several states filing lawsuits against any number of these scam outfits, consumers throw them millions each year. Timeshare Exit Team and Timeshare Termination Team were two of the biggest names. The former pulled their advertising from Dave Ramsey and incurred the wrath of the Washington’s AG. The latter abruptly shut their doors in July leaving thousands of owners up the creek. No doubt 2022 will bring more actions against these two outfits. Despite the media coverage that I and media outlets give these stories, serving as a strong warning against paying these firms a dime, they continue to proliferate.
Mergers and Acquisitions
The biggest acquisition news of the year was Hilton Grand Vacations’ of Diamond Resorts. Full details have not been worked out, much less released despite the unscrupulous timeshare sales staff pitching everything under the sun in an attempt to scare and up sell existing owners. Welk Resorts was acquired by Marriott, marking the end of a well known and fairly successful independent developer. I predict more M&A activity in 2022. This is not good news for consumers as it means fewer choices and less chance of a timeshare developer to really break out and do something wonderful.
Same Old Sales Practices
Day in and day out, I receive emails and read posts on social media sites about 4 hour sales pitches, credit checks being run without consent and timeshares being pitched as investments. Add to that the fact that owners can’t access their information online until significantly after their rescission period has ended, thereby creating tens, even hundreds of thousands of owners dealing with the harsh reality that the truth isn’t quite what the salesperson said. I’ve said it before and I’ll say it again…since there’s nothing overtly illegal about these disgusting tactics, educating consumers and stopping them from attending these pitches is the only way to stop them.
Still A Dearth Of Exit Options
The industry could, if it wanted to, put an end of the entire exit industry. Instead, only a handful of developers offer beleaguered owners a way out. The entire secondary market continues to be suppressed by the developers. It continues to baffle me why any self respecting developer would allow their product that was sold for $20,000 yesterday to be ‘worth’ less than $2,000 today. Or why every single developer doesn’t offer an exit strategy that isn’t an insult.
A Giant First Step
I conclude this year end post with an item that may be a little egotistical, but one that’s important nevertheless. ARDA, the trade association for the timeshare industry took a monumental positive step earlier this year by partnering with me to create this document https://www.arda-roc.org/important-information-for-buying-timeshare As far as I know, it’s the first time they’ve ever worked with someone outside their enclave and the first time they’ve ever addressed the oral representation clause that relegates all but the most egregious consumer claims directly to the garbage. There’s a melancholy coda to this story…since that important document was released, ARDA has not taken the opportunity to continue this relationship by working with me on any number of issues despite the fact I’ve suggested a number of consumer facing projects. I continue hold out hope.
Lastly, there will be some exciting news to announce within a few days. Stay tuned.
