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Have You Fallen For A Timeshare Resale Scam?

Chances are that if you are reading this article you have or are weighing the consequences of signing up for one of these scam programs.  In this article I will be taking you through the ins and outs of these resale programs.

I will be showing why this timeshare scam will cost you thousands like it did for me and the best way for you to sell your timeshare.  So if you are looking to resell your timeshare read on.

What is a Timeshare Resale?

A timeshare resale company is basically a listing site that advertises you timeshare on their network, for a fee of course.  For example one of the biggest companies that work in this market is Timeshares Only.

Back over a few years ago,  I was desperate to sell my timeshare.  Then one day I heard an ad on the radio talking about Timeshares Only.  So I called and talked to them about selling my timeshare.  They informed me that the fee would be $600.  A bit high but after long consideration I decided to do it anyways.

My Results With Signing Up To Timeshare Only

After signing up I figured within 3 to 6 months I would easily have my timeshare sold or at least a few offers on the table.  After 6 months I didn’t even have so much as a phone call.  I hadn’t heard a word out of Timeshares Only.

So I decided to call and get some answers.  This was a task in itself.  Timeshares Only explained to me that they just advertised my timeshare in their database and were not actually real estate agents.   They did nothing to help sell my timeshare property.

So after a year of waiting I got no bids on my property.

Why Timeshare Resale Companies Are A Scam

The reason why timeshare resale companies are a scam is because once they get you to pay their big upfront fee they don’t have any kind of reason to deliver a result you.  Think about it.  If a real estate agent was selling your home and he couldn’t sell it would he get paid?

Not a chance.  But with timeshare resale companies they collect the fee upfront because even they know that they can’t even sell your property.  This is a lesson I learned only after I fell for this scam a second time.

The Timeshare Market Pro Scam

Once you sign up for one of these timeshare resale scam sites they all want in on a piece of the action.  To this day I still receive calls from these scammers asking me if I would like them to sell my timeshare, and I don’t even own it anymore.

However, I got a call from a guy named Doug almost a year after I signed up with Timeshares Only.  He worked with another timeshare resale scam company called Timeshare Market Pro.  He proceeded to explain to me that Timeshares Only would never sell my timeshare and that their company could.

He explained that they will bring in potential buyers to show off my timeshare to.  So I gave it a shot and signed up, again spending nearly $500 to get on this list.  Timeshare Market Pro also informed me that my timeshare market value was worth three to four times what I was trying to get out of it.

Over the next 6 months I waited and again got nothing.  So again I called the company back was connected to their operator who informed me that one of their representatives would call me back and update me on the status of my timeshare.

They never called back.  At this point I realized I had been ripped off again by another timeshare resale scam.

What I Learn About Timeshare Resale Companies

• Never pay upfront fees. Altogether I paid around $1100 to fees to these companies and have seen nothing in return.  You could say that Timeshare Resale Companies are the biggest legal scam that I know of.
• Don’t believe what they tell you. These companies will tell you anything just to get you to sign up.  As with the Timeshare Market Pro Scam I was told I would see several bids within a month.   They also promised a bunch of extra free stuff just for signing up.  I never saw either of these.
• They use hard sell tactics to get you to buy. Most of these companies will also use hard selling tactics to get you to buy.  They will keep you on the phone as long as it takes to get you to buy.  Don’t fall for it, tell them you sold the timeshare and hang up the phone.  This way they won’t call you back.
• They don’t REALLY sell your timeshare. Timeshare resale companies don’t really sell your timeshare for you; they just list it like an ad. Here’s the good news though you can sell it for a lot cheaper on other ad networks for next to nothing. I will explain in the next section.

How To Sell Your Timeshare Yourself

Follow these steps and you should be able to sell your timeshare.  You may not make what you got out of it originally but at least you won’t have to deal with those maintenance fees, interval fees and any other charges.

In order to sell your timeshare you need to understand that your timeshare resale value will never be what you bought it for.  In most cases you will only get about 10 cents on the dollar of your original purchase price.  I know this is hard to accept but the quicker you can do that the quicker you will be able to sell your timeshare off.

Last but not least before I start if you have a mortgage on your timeshare you will have a more difficult time in selling your timeshare.  If you can at least get out of your timeshare what you still owe on it I would take it.  You’ll be lucky to get more than that.

So if you’re ready and accept what I’ve told you read on.

1. Call your timeshare resort. Tell them you want to sell your timeshare and would like the necessary paper work to do so.  At this point you can also ask them any questions about what you should do if you find a potential buyer.  This way you can make the transaction smooth and quick.
2. Advertise your timeshare. I would start with Craig’s List and eBay.  Craig’s List is free so I would start there first.  Keep your price low so you can attract a lot of bidders.  If that doesn’t work try eBay.  You will have to pay to advertise your timeshare but it will be a lot cheaper than those timeshare resale scams I mentioned earlier.
3. What if you can’t sell your timeshare. When you’re trying to sell your timeshare some locations will sell better than others.  For example Florida has a tough market to sell your timeshare in.  On the other hand Hawaii is much easier to sell in.  With limited supply and beautiful view it’s no wonder these resorts sell a lot easier.
4. Ask for a buyback option. If you’ve made it to this point you may be desperate to sell your timeshare.  With no bids and the maintenance fee due soon, call your timeshare resort back and ask if they have a buyback option.  This is where the actual resort buys your timeshare back for a fraction of the price.  In my example I bought my timeshare for $4500 and did a buyback option 5 years later and got only $400 back for it.  It was a rip off but it was better than paying another year of maintenance fees.

Have You Ever Had Luck With Timeshare Resale Companies

I have never heard of anyone having any luck with any of these Timeshare Resale Companies like Timeshares Only and Timeshare Market Pro.  So I will challenge this, if you have ever had any luck with any of these companies leave a comment and tell me about it.  I would love to know if one of these timeshare resale scams have ever worked.

Chris

Challenging

Let me start by saying that I loved working with WFG ( World Financial Group) for the last four and a half years.  In this article I am going to give all of the hard working knowledge I gained from being a part of this company as well as the not so good things.

What Is World Financial Group

World Financial Group is a financial services company that provides a broad array of financial products such as Insurance, Annuities, mutual funds and investment advisory services.

WFG is located in all 50 states, Canada and China.  They are owned by one of the largest financial firms in the business, Aegon.    WFG is also one of the biggest financial recruiting firms in the world, with nearly 10,000 recruits every month.

World Financial Group has been around since the early 1990’s and has grown considerably since its inception.  They started out as a group of four founders and multiplied into thousands of representatives.

What World Financial Group Taught Me

When I first got started with WFG I heard a lot of stories about the company.  Some were proclaiming it as a total scam and advised me not to get involved.  However I decided that even if I could just learn how to manage my money better it would be worth it.  In fact, that is the first thing they taught me.

The truth is you shouldn’t be giving financial advice unless you have your house in order first and that is what I did.  I got some much needed life insurance and set up a couple of retirement accounts.

Secondly, after getting started with WFG I learned to build great communication skills.  This skill taught me how to engage in conversations with people and win them over to my way to thinking.

Third, I learned how to run a business.  This was the major reason I got involved with WFG.  They taught me how start and run a successful business and the best part about it was they were there with me every step of the way.  With weekly and quarterly meetings I was always ahead of the curve with my business.

The Down Side To World Financial Group

During this review of World Financial Group my goal was to give you all of the great things I got out of this company but also give you the negatives as well.  It doesn’t matter what opportunity you look at whether it be WFG or some other financial company like Primerica they all have some down sides to them.

With every business comes expenses and WFG has a few of them.  There will be others but at this point I am just talking about the expenses for the beginners.  The first of them being the $100 sign up fee, $125 in Canada.  This fee is paid directly to the home office and will get you your code number that you need in order to get paid.

Second, WFG is entirely commissioned based.  There are no salaries, or hourly pay scales.  You get what you earn. However this is not entirely bad, my first commission with WFG was a check for $500 for a mortgage I wrote.  At the same end don’t expect to make money right away.  It took me around 5 months to get my first check.

Third, in order to get a commission you must get licensed.  This means you will have to dedicate some time and money to get all of this done.  Expect to pay around $1000 just to get the basic licensing and around 20 to 40 hours of state required time to get approved for your life insurance license.

Fourth, once you do get licensed you’ll have to start paying what is called E&O insurance.  Think kind of like malpractice insurance but just for financial professionals.  This will be something around $90 a month before you are able to reap the rewards of your commission check.  Needless to say you have to pay to play with WFG.

Finally, everything I have mentioned above is nothing compared to the amount of work you have to put in to see the result you want.  Expect to be putting in some long hours at the office and at appointments until you get on your feet.

Who Is The Right Person For World Financial Group

WFG has brought in many people from all different kinds of backgrounds.  However if you are thinking you need at least a 4 year financial degree and prior experience think again.  In fact, WFG would prefer people that have no experience and degree.

Second, you should be willing to accept the financial cost I mentioned earlier.  However, don’t get too worried if this is a concern for you.  I once knew a guy who took up a paper route to pay for all of his expenses.

Third, you will have to pass a background check.  This means if you have any kind of felony conviction you will probably not be able get involved with World Financial Group.

Finally, if you are able to follow some simple directions this may be an excellent opportunity for you.  However, just because something is simple does not mean it’s easy.  If you’re someone who is more of a rule breaker and like to do things your way this may not be for you.

How To Get Started

The easiest way to get started is if you know a friend in the business.  They would be able to get an interview set up for you and get you started.  However, if you don’t have that as an option you can find an office nearby and give them a call.

The easiest way to do that is go to the World Financial Group Website here. Next, in the upper right hand corner you will see the words, ‘Office Locator.’  Next to that click on the state you live in. If you live in Canada or another country you may have to call the home office.

At this point a list of offices around that state will come up.  Select an office that is close to you and give them a call.   Ask them if you could attend their BPM ( Business Presentation Meeting)  This is a meeting usually held a couple times a week that explains more about the company and the opportunity available .  If you live in the city, offices will tend be close; however, if you live in the middle of nowhere you may have to do a little traveling to get there.  In fact, I had to drive an hour and a half to get to my office.

Now, there is a down side to doing it this way and that is that not all offices are created.  So when you do go to an office find out how successful they are.  Tell them you heard that World Financial Group has been a very successful company and you would like to know what kind of success they have had.

If they can’t give a straight answer move on.  Also look for plaques and trophies and other awards that office has won.  The evidence should be clear.  If they don’t have these things keep looking until you do find a good office.  If an office has a lot of success then there is a good chance you will too.

Chris

Reviewing

This post was recently featured in The Money Hacks Carnival by The Canadian Finance Blog.

Over the last several months I’ve been getting a lot of comments and emails.  In these comments and emails people have been asking for advice about some of the financial mistakes and scams they have fallen for or may fall for.

Over time this has prompted me to consider some changes for Stumble Forward.  Currently, Stumble Forward mostly talks about helping others get out of debt, saving up money, and beyond.  This has been the main focal point since the beginning but will be evolving.

What Stumble Forward Will Be Focusing On

However, over the next few weeks Stumble Forward will be adjusting to a slightly different niche.  Instead of focusing on how to get people out of debt and save up money I will be focusing a lot more of my attention towards helping people get out of and avoid financial mistakes and scams. 

Why?  Their are several reasons for this. 

• The majority of comments and emails I receive are about financial mistakes and scams that people either want to avoid or have faced.
• I want to help my readers with their problems not just mine. 
• Their is not enough help in this area.  Not many people are helping others in this area and I would like to give that to my readers here.

What Kind Of Changes Will You Expect To See

Over the next few weeks we will be make a few cosmetic changes.  In this I mean the articles are going to be geared more towards financial mistakes and scams.  I won’t be making any major cosmetic changes but I will putting my attention towards what my readers want and have been asking for.

If you have any questions about the changes and would like to give your input on the direction of  this site please leave a comment below and I would love to hear your thoughts.

Chris

Changing