Escaping the $10.5 billion U.S. timeshare trap: how to get out of a contract in perpetuity

As part of our expansion into the United States, American Consumer Claims is currently featured in the New York Post.

We’re hearing from timeshare owners across the US who describe high-pressure sales tactics and misrepresentations during the sale of their timeshare.

Drawing on experience built over the past seven years, we help owners who feel trapped in unwanted contracts across the United States, Canada, Mexico and Hawaii — and, where possible, pursue compensation.

American Consumer Claims in the New York Post

Escaping the $10.5 billion U.S. timeshare trap

Published Nov. 1, 2023, 10:26 a.m. ET

The timeshare paradox

You don’t need to dig far on Google to confirm what many people already suspect: timeshares have a reputation — among both experts and everyday Americans — for being expensive, difficult to use, poor value for money and closely linked to high-pressure sales.

Timeshare ownership was a genuinely innovative idea in its day. It addressed a real problem: disappointing holiday accommodation. The promise was simple — guaranteed access to luxury units in private resorts.

Then the internet changed how we travel. Today, holidaymakers can book high-quality resorts at reasonable prices, often at short notice, with no annual financial commitment, using mainstream booking websites.

So why did Americans still spend $10.5 billion on timeshares in 2022?

Aggressive sales and marketing

Have you ever wondered how timeshare companies can afford to be so generous? They’re often surprisingly willing to hand over expensive theme park tickets, car hire and even “free” stays in return for just an hour of your time — so they can walk you through their resort and holiday system.

The reason is straightforward: they have strong confidence in the effectiveness of their sales process.

In our experience at American Consumer Claims, we rarely hear of clients seeking out a timeshare company with the intention of buying. It may happen, but the vast majority of sales start with (sometimes very forceful) invitations to a “one-hour” presentation. Several gruelling hours later, and without fully understanding how their perspective shifted so dramatically, there’s a brand-new timeshare owner.

The closing percentage for a timeshare “track” is usually around 20%. A top-performing salesperson may achieve double that. The sales process typically involves highly sophisticated psychological techniques designed to move a prospect from sceptical to comfortable spending thousands — even tens of thousands — to sign up on the spot. Ten million Americans have done this to date.

Many of those people may still hold negative impressions of the industry overall.

They just believe their salesperson and resort are different…

The glow wears off

What many new owners don’t realise at the outset is that the selling doesn’t stop.

Each time they visit a timeshare property, they may be targeted by the “In House” sales team to spend more. No matter how many timeshares a client already owns, that team’s job is to find something else to sell. And the upfront purchase price is only part of the cost. Owners also pay annual maintenance or management fees, which are often similar to what it might cost to book comparable accommodation through regular travel sites.

These fees are due every year whether the owner travels or not. They can also be increased by the resort, leaving the client with no real option but to pay whatever is demanded. U.S. timeshare contracts are generally in perpetuity. That means the earlier comment about “while they are alive” becomes more troubling: the membership can form part of the owner’s estate after they die.

In practical terms, responsibility for expensive annual fees can be passed down through the family.

Timeshare companies know that many clients will eventually want to leave. Contracts may therefore be written in a way that makes leaving extremely difficult — or, for some owners, feel impossible.

Exit companies

Timeshare owners who are desperate to escape often search online for timeshare exit options. Many results lead to firms that promise to help cancel a timeshare contract for a fee. In principle, paying for a service is normal. The issue is that many companies advertising these services are dishonest, incompetent, or both. ACC stepped in when one such company hit the headlines in 2021 after announcing its impending bankruptcy, owing customers over $25 million.

So where can owners under pressure turn for timeshare contract cancellation help?

Enter: American Consumer Claims (ACC). This international firm has operated in Europe (as European Consumer Claims — ECC) since 2016, freeing owners from resort contracts and, in cases involving mis-selling, pursuing compensation. It has claimed almost $31 million on behalf of 1,364 clients and is currently managing a claims portfolio well in excess of $100 million.

Over seven years, ACC/ECC has freed more than 2,800 people from unwanted timeshares, including many in the U.S., the Caribbean and Mexico.

That success led to incorporation in the United States last year as ACC, which also markets through associated brands: My Timeshare Claim and Timeshare Advice Center.

Here to help

“We can generally help cancel timeshare contracts from any country in the world,” confirms ACC spokesperson Suzanne Stojanovic. “We welcome enquiries from any and all timeshare owners who feel stuck or trapped. People who feel disillusioned after having wasted money with fraudulent firms, or companies that have otherwise taken their money but failed to extricate them from unwanted timeshare membership should also definitely get in touch.”

Suzanne Stojanovic

“The difference in professionalism and understanding of the issues involved between the experts at ACC and the companies they may have dealt with before will immediately be apparent.”

ACC’s online reviews with the Better Business Bureau are only just getting started, but its 5-star reviews (as European Consumer Claims) on Trustpilot and other review sites tell prospective clients what they need to know.

Media coverage has been overwhelmingly positive too, with the most recent report appearing in the quality British broadsheet The Sunday Times:

“If your problem is timeshare ownership… ACC could well be your answer.”

Source: https://nypost.com/dispatch/escaping-the-10-5-billion-u-s-timeshare-trap/