So, you thought owning a timeshare is a straight-forward process that involves paying fixed, predictable timeshare fees? Timeshare developers will want you to believe that you can save money over time, but in reality recurring and sometimes unforeseen fees may not be worth the price you pay for an annual week-long vacation.
High Interest Rates
Hidden timeshare fees usually start from the time the resort’s sales executive makes a pitch. Seduced by freebies, you’re unlikely to realize that purchasing a timeshare is a lifelong commitment. So what if you can’t pay for the unit upfront? Most likely, the developer can offer you a loan. But mind you, the interest rates can be exorbitant, up to 14% a year for a 10 year mortgage term. The interest rate is actually an indirect fees you pay to the timeshare developer.
Annual Maintenance Fees
Timeshare fees also includes an annual maintenance fees, which most people think is fixed and can be budgeted for. The rude shock is that annual maintenance fees doesn’t stay constant. It escalates, with some estimates projecting an increase of 5% every year. Over time, the amount you spend on uncapped maintenance fees could be more than what your timeshare vacation is actually worth. And seeing the cost-effectiveness and convenience of modern, short-term resort rental solutions, why would you want to pay this fees?
Special Assessment Fees
There are dreaded special assessment fees as well that can land on your doorstep at any time. These fees typically include upgrade fees when the resort upgrades its services or amenities and expects timeshare owners to foot the bill. Another type is the natural disaster fees when a resort has been hit by a natural disaster and timeshare owners have to pay for damages. You could also end up being subject to a special assessment fee when fellow timeshare owners do not pay their dues.
Consult a Lawyer for Exit Solution
If unpleasant fees are taking the sweetness out of timeshare membership, consider timeshare exit options such as transferring your timeshare or canceling the contract. The timeshare developer is not going to make it easy for you, so reach out to a legal team with experience and expertise in dealing with timeshare developers. But don’t renegade on your commitments right away – pay the fees as and when required till final settlement is reached.
For more information on how you can free yourself from a timeshare contract, get in touch with an experienced law firm involved in protecting consumer rights!
