Helping You Avoid Life's Financial Mistakes

Why Timeshare Resale Scams Don’t Deliver

June 29, 2009 By 125 Comments

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 kind 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 Company?

A timeshare resale company is basically a listing site that advertises you timeshare on their network, for a fee of course.

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 Resale Company.  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 Resale Company

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 them.

So I decided to call and get some answers.  This was a task in itself.  The company 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.

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 timeshare resale company.  He worked with another timeshare resale scam company called Timeshare Market Pro.  He proceeded to explain to me that my current timeshare resale company 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 selling 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 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


Filed Under: Timeshares Tagged With: , , , , , ,

World Financial Group Review

June 25, 2009 By 111 Comments

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, previously known as World Marketing Alliance,  is a financial services company that provides a broad array of financial products such as Insurance, Annuities, mutual funds and investment advisory services.

wfg_logo

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  World Financial Group review 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.

wfg_21At 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.


Filed Under: Reviews Tagged With: , , , , , , , , , ,

Stumble Forward Is Making Some Changes

June 22, 2009 By 3 Comments

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

Filed Under: Uncategorized Tagged With: ,

Hotmail Scam Going Viral And Could Cost You Thousands

June 17, 2009 By 5 Comments

In an attempt to help the followers here at Stumble Forward not fall for anymore financial scams I have an important post for you to read today.  Recently their has been an email scam going around scamming people on hundreds if not thousands of dollars.

Hotmail Scam Hits Home

In fact this scam recently hit home a few weeks ago by one of my brothers clients for his website building business.  His client who ran everything for her business through her hotmail account was sent an email something like this.

hotmail_scam

The email was a set up.  It ask for her username, password, date of birth, and country.  This email is meant to look legit.  However it is not.  The thing you should remember is that if this company already has your info they should never ask for it again.

I also want to point out this may not just be a hotmail scam either.  Yahoo and Gmail users may be getting hit by this scam as well.  If you have your own email at your own hosting account you may be less likely to see this email.  I believe it is only hitting the  free email services.

Who Is At Risk

First off anyone who has a hotmail, yahoo mail, or gmail account has the best chance of seeing this email.

If you are someone who doesn’t have much of a technology background dealing with computers or any other form a technology.   Why these people?  Because people with a background in computers and technology will probably understand that this is a scam quicker than someone who doesn’t.  This may not always be the case but it tends to go this way.

Finally, these scammers are looking for those that have a large list of friends to email as well.  This is of course how this scam spreads.

How Does The Hotmail Scam Work

Below is the version of this scam I have encountered.  Their may be other versions of this scam going around but here is what I have seen.

  • First, the scammer sends an email to you telling you to confirm your email details.  Look at the email example above.
  • Second, the individual sends their important email details to what they think is their email provider such as hotmail.
  • Third, the scammers now have access to your account and proceed to lock you out of your email account.
  • Fourth, the scammers send out fake email from your email address.
  • Fifth, the people on the list of person that got scammed receive an email along the lines that they are stranded in Europe and need $2000 to get back home.  In fact this is the type email brother receive from his client.
  • Sixth, normally when someone would receive an email like this they would instantly know it was some kind of scam, BUT now that the email is being sent in their real email address this makes the scam email look more legit.

What You Should Do If You Have Been Hit By The Hotmail Scam

  • Cancel any and all accounts you have set up in that email address.  Do that or change the email address to something else.    Do this especially with any accounts that you have linked to any of your financial information like amazon, paypal, ebay or any other account you send money to.
  • Call or get in touch with anybody that was on your email list and let them know about what just happened.  Tell them to stop using the email address immediately.

The bad thing about this scam it doesn’t affect just you it effects everyone.  It works like a virus taking everyone with it.  If you should happen to get the email like I’ve show above discard it and report it as spam.

If you have more questions about this scam leave a comment and let me know.

Chris

Scam Free

Filed Under: Scams Tagged With: , , ,

Video: How To Master Your Emotions To Get Out Of Debt

June 15, 2009 By 2 Comments

In last weeks video I talked about the mentality you need to get out of debt, this week I will dive into how emotions play a role in your debt situation.   Also if you like the message this video is sending feel free to forward it on to a friend.

Chris

Emotional

Filed Under: Debt Managment Tagged With:

How To Cancel Your Credit Cards

June 12, 2009 By 4 Comments

istock_000006875534xsmall

Every now and then, while we are in the process of getting out of debt, we do things that we think are right but end up costing us in the long run.  One such incident is canceling your credit cards.

For some reason or another we believe that canceling the cards will stop us from spending more money and get us out of debt faster because we won’t have that option to use them.

While that may hold true, there are a couple of things you must consider before you cancel those credit cards.

Consider This…

First, if you cancel your card with a balance on it, the credit bureaus will see this as more debt and less credit hence cutting down your credit score.  What happens is you are in essence increasing your debt-to-credit ratio.  If you don’t know what this is, just know it is just one of the factors considered in your credit report.  

Second, if you close out of too many accounts at once this can also have a huge effect on your score as well.  When closing your credit card accounts there is a specific way to handle this, and if you get it wrong you may end up paying for it down the road.  Follow the steps below and you shouldn’t have any problems.

How To Cancel Your Credit Cards

  1. Pay Off The Balance First.  Before you close any card make sure your balance on the card has been paid in full.  This will ensure that you won’t affect your credit score.  If you’re not sure, give your credit card company a call and they will assist you in finding what your balance is.
  2. Cancel Your Newest Card First.  Once the balance has been paid in full you want to start with your newest card first.  Why that card?  Because cards with a shorter history have less effect on your credit score.  A credit card you may have had for several years will have a more significant effect on your score. 
  3. Cancel Your Next Card 6 Months To A Year Later.  Once you’ve canceled your first card I want you to wait at least 6 months to cancel your next card.  Again, the next card you should cancel is the newest one.  So why wait 6 months to a year?  Because cancelling too much credit at one time will have a negative affect your score. 
  4. Keep Some Credit.  I also recommend not canceling all of your cards as well.  It’s always good to have some active credit which will help you boost up your credit score.  Keep at least one card open and use it every now and then.  A good card to use would be a gas card.  For example I have a Marathon Master Card which I use to get gas with.  This way I get great rebates on my gas and also build up my credit score at the same time.

Share Your Tips

Do you have any tips you would like to share on canceling credit cards?  If so leave a comment here and let us know.

Chris

Canceling

Filed Under: Credit Cards Tagged With: ,

10 Free Ebooks To Help You Achieve Your Dreams

June 10, 2009 By Leave a Comment

2009-06-06_1415Do you want to do more with your life than just getting debt free?  I know what your thinking being totally debt free would allow you to do a lot of other things, right?  But what kind of dreams do you have after that?

Without dreams we really have nothing to look forward to in life.  Dreams add excitement to our lives.  Without dreams we would have nothing, but the real question is how do we achieve those dreams? 

Recently I was exposed to a great lady who does nothing but coach people how to achieve their dreams, Marica Wieder.  In fact she recently released 10 ebooks on the subject of achieving your dreams.  Now here’s the best part they’re all free.  You heard me.  FREE!

So what does here books teach?

The 10 Ebooks

  1. Becoming A Dreamer
  2. Going Back To Basics
  3. Overcoming Failure
  4. Accessing Your Power
  5. Believing In Your Dreams
  6. Finding Your Dream
  7. Taking Time
  8. Living A Rich Life
  9. 100 Ways To Make Life Easier
  10. 100 More Ways To Make Life Easier

After going through all 10 ebooks above I can definitely say I feel more empowered now. 

Why Read These Ebooks

Getting out of debt is more than just setting a goal and hoping to one day be debt free, it’s about going beyond that and living your dreams.  The truth is if all I ever did was focus on staying debt free I wouldn’t stay very motivated, at least for long.

This is why you need dreams.  They give you something to shot for in life.   So if you would like to get your hands on these free ebooks you can get them by clicking here.

Chris

Dreaming

Filed Under: Financial Independence Tagged With:

Video: How To Master Your Mindset To Get Out Of Debt

June 8, 2009 By Leave a Comment

This week I have a very special surprise for you.  Lately I’ve been working on developing my first video of me here at stumble forward.  I plan to do this on a more weekly basis.  The videos will only be about 10 minutes in length and will be packed full of great tips and advice.

This weeks video is all about you and your mentality and how it applies to you getting out of debt. Check it out and let me know what you think.

Chris

Developing

Filed Under: Debt Managment

Why Steve Martin Can’t Get Out Of Debt

June 5, 2009 By Leave a Comment

Here is a great video on getting out of debt by Steve Martin.  I know what your thinking this is got to be good.  If your in the mood for a laugh for once and want to get your mind off the bills check this out.

Chris

Laughing

Filed Under: Debt Managment

Follow Me On Twitter And Get Out Of Debt Fast

June 3, 2009 By Leave a Comment

twitter-birdHey everyone Chris here again.  Recently I’ve been spending some time on twitter just listening to what people are saying.  This to me is almost better than blabbing about some crazy article I’ve been writing.

The thing about twitter is that a lot of people are talking and not many are listening.  It’s almost like being in a convestation were everyone is stepping all over you and don’t really give a damn about what you’re saying.

I’ve been in conversations like this before and after being in them for several minutes decided to find better things to do with my time.  I know that’s a bit harsh to say but that’s the way twitter feels to me.

I’m Here To Listen To You

So instead of rambling on about how great of a post I wrote on twitter I am here to listen to you.  That’s right you heard me.  I am here to listen to you. 

So are you having some issues trying to get out of debt?  I’m not expecting to talk about your specific details of your situation but more or less just some general questions about getting out of debt as a way of guidance. 

So I am extending to you a way get some answers about getting out of debt.  If you would like to ask me a question send me a reply or if you prefer a more confidencal method you send a direct message.

Here are my twitter details again:  www.twitter.com/Chris_Holdheide

Chris

Tweeting

Filed Under: Uncategorized Tagged With: ,

How To Get Out Of Debt When You Owe More Than You Make

June 1, 2009 By 2 Comments

Not Everyone Can Get Out Of Debt By Themselves

About three years ago when I was still in financial services I was asked by a new recruit of mine to see if I could help someone who has a lot of debt issues.  I agreed but didn’t make any guarantees that I could do anything.

When I arrived at the appointment and began rummaging through all of the statements, I realized that they had over 20 different credit cards with almost all of them maxed out to the limit.  This totaled almost $200,000 in debt, not counting their $250,000 mortgage debt.

These people were obviously in some serious trouble, but that’s not even the worst part.  If they would pay even just the minimum payments to all the cards they still would even break even at the end of the month.

These people defiantly needed some professional help.  What made the situation worse is that she was not willing to try anything I said.  She made plans to file for bankruptcy and was convinced that it was the only way to solve her problem.

debt-crunch

In this post I hope to give a little more direction on what you should do when you fall into a situation like this.

What You Should Do If You Can’t Pay Off Your Debt

Minimize Your Payments. By cutting down your payments to the minimum amount owed you will be able to at least keep afloat.  However, there are other things you can do besides just paying the minimum amount on your credit cards.

Look into cutting down your interest rates as well.  You can do this by calling the credit card company and negotiating a deal with them. You can also try non-profit credit counseling if you would like to learn more about this option.

However,  this doesn’t mean you should just pay the minimum amount on your debt at all times. The point of cutting down to the minimum is being able to focus more money towards one debt then just paying a little towards all of them.  If you want to learn more about how to set up this kind of debt plan click here.

Increase Your Cash flow. Next you need to look for ways to increase your cash flow.  There are all kinds of ways to do this.  First off, you could find a part time job, in order to bring home a little extra money until you get a few more debts paid off.

Second, you could start a part time business.  This isn’t the quickest way to generate extra cash but over time it is the most effective.  In fact you may need a little extra cash to get started with a part time business so this may not be a viable option right now.

Third, you could sell things from around your house. This is an easy way to generate extra cash quickly.  Check out this article to learn more.

Bring In Professional Help. If you still can’t get a grip on the situation you have several options to think about.  I will run all them briefly here but I will also give you a link to some more info that will help you better understand each option.

First, you can look into a debt counselor.  This is a way to work out your debt issues with someone one on one.  In most cases you will have to pay back most of your debt here but with this method you have someone who will guide you through the process.

If you are interested in this option click here.

Second, look into debt negotiation.  Debt negotiation is kind of like going through a mini bankruptcy.  This kind of company will negotiate a deal with your creditors and lump all of your payments into one single payment.  This payment is usually all you need to pay because it will also include your fee for the debt negotiation company.

If you would like to learn more about this option click here. I also recommend this option over bankruptcy because the effects are not as bad a bankruptcy.  So here is a company I recommend you check out.

Third, make bankruptcy your last option.  I don’t recommend this option unless all other options have been exhausted.  That being said to even qualify for this option you have to pass a means test.

This means you will have to sit down with a debt counselor and they will decide if it is right for you.  If you  pass that you can begin filing for a chapter 13 bankruptcy.  Which means you will have to pay back a certain amount of your debt.

What happens is you will be required to pay back maybe 30 cents on the dollar for one debt, 50 cents on another, 100 cents to another, and even 10 cents to others.  The point is you will not get away without paying at least paying some of the debt back.

If you would like to learn more about this option click here. Also check out this link as well if you would like learn about other debt relief options.

Chris

The post was recently featured on the Carnival Of Personal Finance by Money Under 30.

Filed Under: Debt Managment Tagged With: , , ,