Avoiding Timeshare Scams: 10 Essential Tips Before Choosing an Exit Company

Are you feeling stuck with soaring maintenance fees and confusing contract stipulations? Do you have a vacation ownership you no longer want? Hundreds of people are stuck in such a contract, and they feel there’s no way out. Sometimes they try getting out and fall into traps. They end up losing more money. 

For many timeshare owners, getting out of a contract seems to be the best option. But the world of timeshare exit companies can be treacherous, with lots of timeshare scams. There are some legitimate timeshare exit companies, such as Resort Victory. 

We’ve helped thousands of owners legally and responsibly free themselves from these obligations, so we know what to look out for if you’re on the hook and how to make sure you steer clear of the pitfalls.

In this article, we’ll guide you through all you ever need to know: how real share exit companies work, what you should be wary of, how our process diverges, and how you can choose a partner with whom it won’t just be business as usual. Our mission is to empower you to make a confident decision that puts you on the path toward relief, not regret.

Why You Need to Be Careful?

Timeshares frequently sound too good to be true in the beginning: a beautiful place, set vacation time, and all the amenities of ownership. But in reality:

• Annual maintenance fees skyrocket.
• Special assessments pop up.
• Meanwhile, resale value has dropped 
• The contract ties you in. 
• Timeshare exit becomes contractually difficult.

That is what leaves the door to for exit companies, and, very regrettably, scam artists.

Both the Federal Trade Commission (FTC) and American Resort Development Association (ARDA) say this: There are indeed legitimate timeshare-exit companies, but many more prey on desperate owners. 

For instance, they charge up-front fees for no good reason other than greed, offer guarantees which can never be guaranteed, high-pressure selling tactics, and so on, in timeshare. But here’s the good news: You can prevent them by understanding how they work.

What Reputable Timeshare Exit Companies Do?

To distinguish the good guys from the bad, in other words, here’s what a decent exit company should provide:

• Contract analysis: They scrutinize your timeshare documents, research your state’s laws (like rescission or cooling-off periods), and evaluate what you can do.
• Custom-crafted exit strategy: Rescission, deed-back, resort negotiation, or litigation. The plan is unique.
• Clear fees & terms: You are free from hidden costs and nasty surprises. With legitimate companies, they’re explaining the odds of success. 
• Escrow or hold-back: Payment retained in trust until specific deliverables are executed. 
• Ongoing communication: You receive comprehensive feedback as you are always in the loop.
• Legal infrastructure or vetted legal partners: Since timeshare law can be complex and even ambiguous at times. 

So, when an exit company ticks all three of these boxes, you can feel safe that they’re more aligned with your interests. We take these standards seriously at Resort Victory.

10 Reasons To Believe You’re Losing Money To A Timeshare Scam

When judging legitimate timeshare exit companies, here are red flags to look for, each one should bring up pause:

• Asking advance payment before anything is done. Many timeshare scams demand thousands outright.
• Promises that “with 100% success” or “we will get you out no matter what!” Legit companies shy away from absolutes because it depends on the timeshare developer and contract terms.
• For the so-called cold calls or unsolicited approaches that assert they have a buyer, or can cancel your contract immediately.
• Vague descriptions of what they’ll do: “We’ll take care of everything,” but without details.
• No third-party reviews and numerous complaints.
• Pressure you to sign immediately. Pushy sales, “limited window” offers to trap you.
• There are no written contracts or vague terms. Everything is merely verbal.
• They promise to sell your timeshare to a buyer willing to pay a high price and pay them a big fee upfront. You can’t sell a timeshare resale for a profit. 
• They won’t permit you to check their legal status, or hide behind offshore entities or glitzy marketing with no meat.
• You shell out money, then suddenly the sound cuts out, updates come to a halt, or you’re asked for more funds. It’s a classic trap. 

If you notice any of these warning signs, it would be wise to take a step back and do some homework. See our full collection of trusted timeshare exit resources.

How to Vet Your Timeshare Exit Company: 7 Questions to Ask

To get to the bottom of things and make a positive decision, make sure to ask yourself these highly regarded questions. A reputable company would be glad to have these questions and respond directly.

• How many years have you been in the timeshare-exit industry? Complex contracts require experience.
• Do you have independent reviews, references, and your BBB rating?
• Do you bill for fees in advance of work done? Or you do escrow/hold-back to results?
• What’s your out plan for my type of contract? (Resort, region, country)Will it work?
• Do you have an in-house legal team or established law firm relationships? 
• What’s your cancellation/refund policy if we don’t achieve results?
• How often will you update me? Will I work directly with someone on my case?

At Resort Victory, we offer full transparency: there are no up-front collectibles or so-called taxes. If a company refuses to answer these, run away.

Typical Exit Strategies (and How to Know if You Need One)

Knowing how exit companies work means you can ask smart questions and spot fluff. Below, here’s a closer look at some of the most popular ways to take the exit:

Right of rescission / cooling-off

Most states allow a brief window of time after you sign your contract to cancel with no penalty, usually a few days to a couple of weeks. If your timeshare is within that window, this is the easiest and lowest-cost path.

Deed-back / resort voluntary surrender

Some resorts have programs where you hand over the timeshare to them, usually for a fee, or under certain conditions. This may be a nice one if it is possible. First, the company will be checking for this option to see if it is available.

Settlement/negotiation with the resort

Typically, the exit company will negotiate on your behalf: lowering fees, transferring ownership, or voiding it. This process requires legal knowledge.

Default & credit-repair route

Some companies will intentionally drive you to default on your mortgage or maintenance dues, then negotiate out. This is riskier, affects credit, and you have to be careful with it.

Resale/transfer (less common)

It means looking for someone to buy your timeshare. This is frequently impractical, however, because many timeshares depreciate. Any legitimate exit company would tell you this. 

If a company shows only one route, particularly a “sell your timeshare for big money” promise, that’s a red flag. A reputable firm knows multiple avenues and tells you which one is appropriate for your contract. Learn more about timeshare selling and renting. 

Why It Matters to Work with a Trusted Company Like Resort Victory?

Here at Resort Victory, we have made a commitment to transparency, legal integrity, and client communication because the wrong hands are oh-so-easy to fall into.

• We start with a contract review: Your specific resort, your ownership term, maintenance fees, and state or country laws.
• We give you choices: There is no one-size-fits-all, but what your circumstances permit.
• We describe realistic outcomes: We don’t offer a “100% exit guarantee”, we show case-studies, success rates, and explain the risks up front.
• Escrow or Milestone Payment: Your money can be at peace until we show our performance.
• Full transparency and updates: You know exactly who is working your case, what’s been done, and what happens next.
• Post exit support: Our team works with you to ensure there are no residual obligations even after the exit is done.

That service matters especially if you think about the cost of remaining stuck in a timeshare that has no useful purpose except to extract money from you: ever-increasing fees, legal obligations, and annoyance.

Top 5 Tips to Protect Yourself Before Signing With An Exit Company

• Review each word of your initial timeshare contract. A lot of people never did, but the contract includes the cancellation rights (if any), deed-back options, strictures on resale and transfer.
• Research exit companies thoroughly. Google the name of their company + “complaint” or “timeshare scam”. Visit BBB, read reviews. 
• Do not under any circumstances pay a hefty upfront sum. If they require payment in full before any work is done, walk away.
• Demand a contract on paper from the exit firm. It should state categorically the services to be rendered, terms of payment, policy of refund, and expected time frame.
• Document every single shred of contact, especially promises, receipts, and milestones. You’ll need it if something goes wrong.

Bottom Line

If you’re just such a property owner saddled with a timeshare you no longer use, you have certain rights and options. A legit timeshare exit company can mean the difference between continued years of payments and true relief. But the exit business is filled with unsavory operators, so you need to be vigilant.

At Resort Victory, we believe in 3 simple values: honesty, transparency, and results. We don’t guarantee magic, we guarantee a clear path to follow, professional oversight, and support till the very last signature is signed and the final fee is stopped.

If you’re ready, get a no-obligation review of your contract so we can help. You owe it to yourself to act before another fee cycle.