Consumers Guide To Timeshare Exit

Consumer’s Guide To Timeshare Exit Every Year Timeshare Owners Lose Millions Hiring The Wrong Exit Company How To Get Out & Avoid The Scams

Written By The Nation’s Leading Timeshare Exit Expert Gordon Newton

What You Will Learn:

Better Business Bureau Ask’s Newton Group... Top 10 Timeshare Exit Scams Why Can’t I Sell My Timeshare? Should I Just Stop Paying On My Timeshare? Timeshare Exit Study - Shocking Statistics Uncovering The “License to Lie Clause” And MORE...

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(877) 323-9923

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MEET GORDON NEWTON

The Author of The Consumer’s Guide To Timeshare Exit

Gordon Newton is widely recognized as the Nation's Leading Timeshare Exit Expert. He has been quoted in esteemed publications such as USNews, Forbes, AARP, Better Business Bureau Beacon Magazine, Phoenix Magazine, Quicken and more. As a sought- after authority in the field of timeshare exit, he has also been interviewed by various TV news programs, seen on ABC, NBC, CBS, Fox, The Dave Ramsey Show and more. As the Founder and President of Newton Group and Co-founding Partner of DC Capital Law – The Nation's Leading Timeshare Consumer Rights Law Firm – Mr. Newton has significantly influenced the timeshare exit industry. He authored the Consumer’s Guide to Timeshare Exit, a pivotal resource featured in Forbes, USNews and The Better Business Bureau’s Beacon Magazine, garnering over 50,000 downloads. Mr. Newton's insights have not only shaped the narrative of the timeshare exit industry but have also been a guiding force for individuals seeking liberation from unwanted timeshare obligations. His wealth of knowledge and dedication to consumer rights have transformed the timeshare exit landscape, providing clarity and solutions for thousands.

HOW TO READ THIS GUIDE

Presentation of the information via this Guide is not intended to create, and receipt does not constitute, an attorney, tax planner client or financial-planner-client relationship. Users and readers of this Guide are advised not to act upon this information without seeking the service of a professional. The publisher of this Guide assumes no responsibility for the business practices of any company in the timeshare industry, nor assumes responsibility for any contractual agreements between a consumer and any company in the timeshare industry. substitute for obtaining legal, accounting, tax, or financial advice from a professional tax planner, financial planner, and/or attorney. The information contained within this Guide is provided for informational purposes only and is not intended to NO RENDERING OF ADVICE. The content of this guide is an expression of Gordon Newton’s experience, beliefs, and opinions. DISCLAIMERS: ACCURACY OF INFORMATION. While we make reasonable efforts to furnish accurate and up-to-date information, we do not warrant that any information contained in or made available through this Guide is accurate, complete, reliable, current or error-free. We assume no responsibility for any errors or omissions in the content of this Guide or such other materials or communications.

This Consumer’s Guide is for timeshare owners who would like to end their timeshare ownership. Depending on where you are in this process, there are a couple of ways you can read this document: If you are in a hurry, you can skim through the Table of Contents and review the various sections below. But don’t ignore “Why I Wrote This Guide”, as it also has helpful information If you are nearing the end of your search for help, you can flip to the last section and print out the checklist, which shows you what to look for in a timeshare exit company or attorney, and several red flags to watch out for

Regardless of how you read the document, we recommend that you sit down and revisit this guide word-for-word before committing to any timeshare exit strategy.

Need To End Your Timeshare Ownership? Call The Timeshare Exit Hotline At: (877) 323-9923

WHY I WROTE THIS GUIDE

“Timeshare exit” is the process of having timeshare ownership transferred out of an owner’s name and relieving the owner and their family of any current and/or future financial or ownership obligations. The exit process can take place in various ways: such as by sale, transfer, settlement, or cancellation under certain circumstances. Regardless of how one exits their timeshare, there are many aspects to be aware of and red flags to look out for. I created this guide to help timeshare owners make conscientious and informed decisions when they decide to end their timeshare ownership. Having been an executive in the timeshare exit industry since 2005, it has become abundantly clear to me that consumers, journalists, and even well-meaning consumer advocates struggle with the process of vetting timeshare exit companies and/or timeshare exit attorneys.

“Timeshare owners are never more vulnerable than when they’ve made the decision to end their timeshare ownership.”

Timeshare owners are never more vulnerable than when they’ve made the decision to end their timeshare ownership. The resale market is flooded, the resorts have stacked the deck, and con artists are waiting to take advantage of their situation. This is why reading this guide is so important to all timeshare owners—whether looking to exit your timeshare now or not. At some point, the life cycle of timeshare ownership will come full circle, and consumers need to know how to safely and responsibly exit their timeshare. This comprehensive Guide helps timeshare owners understand what to look for in hiring an ethical timeshare exit company and/or attorney. My experience has led me to believe that most exit companies prefer to keep their customers in the dark, but I want to shed light on the industry. In doing so, I would like to share with you insider knowledge of the timeshare exit industry in hopes that you will succeed in eliminating your timeshare ownership while avoiding some of the more common pitfalls.

GORDON NEWTON President of Newton Group Co-Founding Partner of DC Capital Law Author of The Consumer’s Guide to Timeshare Exit

Need To End Your Timeshare Ownership? Call The Timeshare Exit Hotline At: (877) 323-9923

INTRODUCTION - WHY I WROTE THIS GUIDE - BETTER BUSINESS BUREAU SITS DOWN WITH NEWTON GROUP

TIMESHARE EXIT - AN INDUSTRY NEEDED/IN NEED OF REFORM

Your Timeshare Is Not a Financial Asset Let's Explore Why In Their Own Words WHY CAN'T I SELL MY TIMESHARE Dual Service Model - The Gold Standard Hiring an Attorney Directly Solid Written Agreement The Upfront Fee Successful Track Record Solid Reputation Importance of The BBB Footprint FINDING A RELIABLE EXIT COMPANY

RED FLAGS IN THE TIMESHARE EXIT PROCESS

The Money Back Guarantee Mirage Unauthorized Practice of Law "Proprietary" Services "Viking Ship" Schemes Timeshare Sale Scams "Donate Your Timeshare Programs

THE TIMESHARE EXIT STUDY

Rampant UnFair and Deceptive Sales Practices in the Timeshare Industry Newton Group and Our Partner Law Firm are Fighting Back!

HIGH RISK TIMESHARE EXIT STRATEGIES

Contacting The Resort - A Clear Conflict of Interest Advocacy Groups or Companies With "Attorneys on Staff" Timeshare Listing Companies

YOUR ROLE IN YOUR TIMESHARE EXIT PROCESS

Now You have the Facts

TIMESHARE EXIT CHECKLIST

Sources

Getting out of your TIMESHARE A conversation with Gordon Newton, founder of Newton Group

BBB: The Timeshare Exit Industry seems to have a bad reputation. What makes Newton Group different or unique? Newton: Part of what makes us unique is our experience, knowledge and industry relationships. In addition to that - the owners of Newton Group along with experienced attorneys founded what has become the nation’s leading timeshare consumer rights law firm. Which allows us to provide unmatched services combining timeshare exit expertise with personal legal representation. And because the owners of Newton Group also are owners of the law firm, we are able to keep these services affordable.

BBB: Why is the Timeshare Exit industry needed?

Newton: People often try to get out on their own and they fail… and they turn to us to help them. Consumers need access to reliable third party help. Newton Group and our partner law firm offer timeshare exit experience, knowledge and personal legal representation that can help level the playing field for consumers seeking an exit. We provide real help for timeshare owners and present options to exit that consumers may not even know exist.

Gordon Newton

Need help with your timeshare? Call 888-301-4453 Author of The Consumer's Guide to Timeshare Exit, President of Newton Group and non-attorney partner at DC Capital Law.

BBB: Who are the people buying timeshares?

BBB: We hear it all the time, a lot of people feel stuck once they get into a timeshare. How hard is it to get out? Newton: Over half of our clients have already tried and failed to end their ownership at least once before hiring us. They told us they tried going back to their resort, they tried selling it, they tried giving it away, they tried donating it… and what’s concerning is that 1 in 4 of them told us they hired an exit company that failed them. BBB: There have been some bad actors in the timeshare exit industry. Many offer “Money Back Guarantees.” You say consumers shouldn’t trust that guarantee though. Newton: Unfortunately, many of these money back guarantees are not worth the paper they are printed on. For example over the past few years there have been over 40 exit companies that have closed down and/or filed for bankruptcy - and almost all of them had money back guarantees that did nothing for the consumer.

Newton: The demographics might surprise you. The average age of a timeshare owner is 39 years old. 38% earn 100k or more and over 65% are married or in a domestic partnership. So young couples with higher income seem to be who are buying. BBB: And why do people want out? Newton: The most common reasons people come to us looking for help are:

• Not what they thought it would be • Their lifestyle has changed due to health • Limited or no availability • Rising costs of maintenance fees and/or financial issues

Newton: Newton: The best protection and service is a dual service model that combines timeshare exit experience with individual legal representation for one flat fee. And to be clear, individual legal representation means the exit company retains a personal attorney to work directly with the timeshare owner to advise them regarding their legal rights as they navigate through the timeshare exit process. And that is what we offer our clients. BBB: Tell us about The Consumer’s Guide to Timeshare Exit. Newton: Seeing first-hand how many consumers were being harmed when trying to end their ownership. I wanted to help. I wanted to give consumers access to education and insider information that we possessed that might help protect them from the bad actors and scams that affect so many timeshare owners and plague the timeshare exit industry.

BBB: So, what should customers look for to make sure they don’t get ripped off? Newton: The first thing everyone should know. Nobody can guarantee WHEN or even IF the resort will let you out of your contract or even let you transfer your ownership. So knowing that, marketing promises that seem too good to be true - usually are:

• A guaranteed exit • A 100% success rate

• A 100% money back guarantee • A guaranteed timeframe of exit • Secret “proprietary services”

Marketing messages like this can give the consumer a false sense of security as well as take their attention off of the actual services they are paying for - which in some cases may not be much. The consumer needs to focus on the actual service the exit company is going to provide, not the marketing fluff. BBB: This can be a complicated process at times. I know every case is different, but typically what should it look like?

Scan Here to Get the Consumer’s Guide to Timeshare Exit Newton Group has been a BBB Accredited Business for more than a decade. You can find them at newtongrouptransfers.com

Section: Timeshare Exit - An Industy Both Need And In Need Of Reform

TIMESHARE EXIT - AN INDUSTRY BOTH NEEDED AND IN NEED OF REFORM How Timeshare Owners tried ending their timeshare ownership before hiring Newton Group. Data in graph compiled from 9,000 recent Newton Group questionnaires

HIRED A BAD EXIT COMPANY

LISTED FOR SALE

26.9%

38%

TRIED DONATING TO CHARITY

5.4%

13.9%

TRIED GIVING IT AWAY

65.5%

TRIED GOING BACK TO THEIR RESORT

I first published the Consumer’s Guide to Timeshare Exit in 2018 because, as the Co-Founder of one of the nation’s longest-standing timeshare exit companies, I had spent over 15 years working with timeshare owners and hearing first- hand from countless consumers who have been taken advantage of when trying to end their timeshare ownership. While the Consumer’s Guide received national attention and provided much needed consumer education—more needs to be done. The fact is an astounding 25% of our clients, that’s 1 in 4 timeshare owners, who tried ending their ownership before hiring Newton Group, had previously hired a bad exit company who failed—costing them more time, money and aggravation. A whopping 60% initially asked their resort (see graph) to terminate their ownership but were denied or even upsold. These numbers paint a bleak picture of desperate consumers and strikes at the heart of why the exit industry is both needed and in need of reform.

The lack of effective regulation has led to the proliferation of timeshare exit companies— many of which are not able to fulfill their promises to their customers, regardless of whether their intentions are good or bad (see section 3). In fact, I published a Consumer Alert informing consumers that six well- known timeshare exit firms had either gone out of business or filed for bankruptcy within a year. Since my alert was issued, the number of failed exit companies has grown— financially damaging even more consumers who are still stuck with their timeshares. But the threat to timeshare owners doesn’t stop at a lack of effective regulation—one large resort developer is calling for the end of the entire exit industry as means of preventing consumers from having access to a third party exit professional.

Need To End Your Timeshare Ownership? Call The Timeshare Exit Hotline At: (877) 323-9923

TIMESHARE EXIT - AN INDUSTRY BOTH NEEDED AND IN NEED OF REFORM In the last 2 years since we originally published the guide, countless Exit Companies have faced Issues.

Companies that had BBB alerts

40+

Companies that have gone bankrupt or closed

Companies with "a pattern of complaints" at BBB

Companies whose BBB rating was revoked or no longer accredited

10 20 30 40

But it's clear there wouldn’t be an exit industry in our free market economy if there was no consumer demand. A trustworthy, legitimate,third party exit company is a valuable part of a healthy life cycle of timeshare ownership. Without a reliable third party exit company, consumers would have no choice but to rely on the resorts— who, as our data shows, have a clear interest in selling timeshares, not exiting them.

This is why at Newton Group we believe in education for timeshare owners and regulation of the timeshare exit industry. I have updated the Consumer’s Guide to share new information with you to be safe and knowledgeable in your timeshare exit. Whether or not you choose to use Newton Group, we remain at your service with a free no obligation consultation. You can reach us at 877-323-9923.

“over 55% of our clients tried ending their ownership before hiring us, they tried selling it, giving it away or going back to the resort. What’s most concerning is that 1 in 4 of those people told us they hired a bad exit company that failed them costing more time and money.” - Gordon Newton

Need To End Your Timeshare Ownership? Call The Timeshare Exit Hotline At: (877) 323-9923

When You Signed Your Timeshare Contract It Became A Legally Binding Document - So Why Would You Hire “Just An Exit Company”?!

Newton Group Is Unique

Newton Group is the ONLY exit company to have common ownership in a law firm. Because the owners of Newton Group ALSO own the Nation’s Leading Timeshare Consumer Rights Law Firm - We can provide benefits and savings that no other exit company or law firm can compete with. Unparalleled advantage: Leveraging resources and knowledge from both entities - experts & attorneys working for you Competitive edge: Ability to offer tailored solutions, personal legal representation and exceptional support to timeshare owners

Section: Why Can’t I Sell My Timeshare?

WHY CAN'T I SELL MY TIMESHARE?

Introduction

“The purchase of a Unit Week should be based on its value as a vacation experience or for spending leisure time, and not considered for purposes of acquiring an appreciating investment or with an expectation that the Unit Week may be resold.” “Units (other than Commercial Units) and Unit Weeks are offered for sale for personal use and enjoyment only and should not be purchased by any prospective purchaser for resale or as an investment opportunity or with any expectation of achieving rental income, capital appreciation, or any other financial return or valuable benefit, including but not limited to any tax benefit. Owners attempting to resell or rent their Unit or Unit Week would have to compete, at a substantial disadvantage, with the Developer in the sale or rental of its unsold Units or Unit Weeks. Generally, there is no established market for the resale of Units and Unit Weeks or for the rental of Units and Unit Weeks in the Condominium.” Your Timeshare Is Not a Financial Asset. Sadly, it is when consumers try ending their timeshare ownership that many first discover their timeshare is a liability and not an asset. This is because timeshare buyers are often misled at the time of purchase to believe that their timeshare is an investment that may appreciate in value or has financial value for sale on a secondary or “resale” timeshare market. Below is an example of language taken directly from one U.S. timeshare resort’s public offering statement. Many resorts use similar language in their owner manuals, master agreements, or public offering statements. This language was taken from a public offering statement that is 249 pages in length. I would be curious to know the percentage of people who have read this far into their documents. How many of you would have purchased a timeshare from this resort after having read the information above? With almost every type of property we purchase—home, boat, car, living room lamp, you name it—the owner can place an advertisement online and sell the item for a fair price or simply give it away and not have to think of it again. That is not the case with timeshares. Regardless of what you may have been told or led to believe, the resale market for timeshares is virtually nonexistent.

WHY CAN'T I SELL MY TIMESHARE?

Let’s Explore Why

The first, and perhaps most obvious, reason timeshare owners struggle to sell their timeshare is that the resale market is flooded with “devalued” inventory—which means the resale market consists almost entirely of sellers, without any buyers. According to a recent press release by the American Resort Development Association (ARDA),

there are 9.2 million households that own timeshare intervals in the United States.1

Further, it is estimated that, at any given time, there are roughly 1 million owners looking to end their timeshare ownership. A quick and simple online search reveals thousands of timeshares listed for less than $1 or even free—with no interested buyers.

That leads us to the second, lesser-known, obstacle to a viable resale market. Some resort developers view it as a threat to their revenue stream and have taken direct and intentional action to suppress it — including restricting rights and benefits for owners who purchase their timeshares on the resale market. This is a tactic used by some resorts to help ensure any potential timeshare purchaser views a timeshare interest sold by the resort as more valuable than one sold by a timeshare owner. Some of the largest resorts admit this in their public filings with the United States Securities and Exchange Commission (SEC), wherein resorts have disclosed that timeshare resales have a negative impact on their business model.

Need To End Your Timeshare Ownership? Call The Timeshare Exit Hotline At: (877) 323-9923

Here are just a few examples taken directly from some of the largest United States resort developers in their SEC filings: In Their Own Words WHY CAN'T I SELL MY TIMESHARE? (Note: VOI is the acronym for Vacation Ownership Interest, which is simply another way of referring to timeshare ownership)

“The sale of vacation ownership interests in the secondary market by existing owners could cause our sales revenues and profits to decline.“ “If a viable VOI resale market were to develop in the future, our members may choose to resell their interest to their parties." “If the secondary market for VOIs were to become more organized and liquid, the resulting availability of resale VOIs (particularly where the VOIs are available for sale at lower prices than ours) could adversely affect our sales and our sales prices.”

“The resale market for VOIs could adversely affect our business.”

“There is not currently an active, organized or liquid resale market for VOIs, and resales of VOIs generally are made at sales prices substantially below their original customer purchase prices.” Clearly, resort developers have a substantial financial incentive to prevent a viable secondary resale market from taking hold. The reasons are plain: Resales negatively impact a resort’s revenue and profit because secondary market sales reduce a resort’s ability to sell new inventory at higher prices. Resorts admit this in their SEC filings, but did the resort sales staff disclose this to you when they were selling you your timeshare interest?

“Buy because you plan to use your timeshare in the future. Consider your purchase as an investment in future vacations. It is not a real estate or other type of financial investment” American Resort Development Association (ARDA)

WHY CAN'T I SELL MY TIMESHARE? Now that we know some resorts consider a viable resale market a legitimate threat to their business model and bottom line, the next question is, what are they doing about it?

Here is what one major U.S. resort developer had to say about the approach they are taking to ensure little to no competition from timeshare owners themselves. Again, this is in their own words — taken directly from their SEC filings: “Owners generally can offer their vacation ownership interests for resale on the secondary market, which can create pricing pressure on the sale of developer inventory. However, owners who purchase vacation ownership interests on the secondary market typically do not receive all of the benefits that owners who purchase products directly from us receive.”

“When an owner purchases a vacation ownership interest directly from us, the owner receives certain entitlements that are tied to the underlying vacation ownership interest, such as the right to reserve a resort unit that underlies their vacation ownership interest in order to occupy that unit or exchange its use for use of a unit at another resort through an outside exchange service provider, as well as benefits that are incidental to the purchase of the vacation ownership interest. While a purchaser on the secondary market will receive all of the entitlements that are tied to the underlying vacation ownership interest, the purchaser is not entitled to receive certain incidental benefits. For example, owners who purchase our products on the secondary market have restricted access to our internal exchange programs and are not entitled to trade their usage rights for Rewards points. Therefore, those owners are only entitled to use the inventory that underlies the vacation ownership interests they purchased.”

Yes, the resort is telling us that any buyer of a timeshare interest in the secondary market is penalized in terms of restrictions. Essentially, the resort is stating that they generously allow timeshare owners to advertise their timeshares for sale—much to their perceived peril—but they draw the line at providing new owners who bought their timeshares on the resale market with the same benefits as owners who purchased their contract according to the resort’s terms.

Need To End Your Timeshare Ownership? Call The Timeshare Exit Hotline At: (877) 323-9923

WHY CAN'T I SELL MY TIMESHARE? Yes, when you want to sell your timeshare interest, you are competing with the resorts for new buyers, and they rig the game in their favor. The resort explains that owners who buy directly from them have the right to reserve a unit to use or exchange, whereas resale purchasers have limited exchange rights—locking them into the same timeshare year after year. As a result, the resorts are manipulating the secondary market and intentionally devaluing your timeshare. “Additionally, most of our vacation ownership interests provide us with a right of first refusal on secondary market sales. We monitor sales that occur in the secondary market and exercise our right of first refusal when it is advantageous for us to do so, whether due to pricing, desire for the particular inventory, or other factors. All owners, whether they purchase directly from us or on the secondary market, are responsible for the annual maintenance fees, property taxes and any assessments that are levied by the relevant property

owners’ association, as well as any exchange service membership dues or service fees.”

In summary, anyone who purchases a timeshare on the resale market, with restricted benefits and privileges, has to pay the same ongoing fees to own that timeshare as a person who buys directly from the resort. Furthermore, this developer reserves the right to override any purchases made on the resale market when it suits their needs.

“The sales staff may tell you that a timeshare is a solid financial asset, but the value of a timeshare is in its use as a vacation destination, not as an investment. Plus, your timeshare may include hefty ongoing and recurring fees for maintenance and other items.”

Federal Trade Commission

Need To End Your Timeshare Ownership? Call The Timeshare Exit Hotline At: (877) 323-9923

15 Minutes With Newton Group Can Help Get You That Timeshare FREE Feeling TOO!

Helping Timeshare Owners Successfully End Their Ownership since 2005

Two-time finalist for the prestigious BBB Torch Award For Ethics (2019 and 2022)

Over 1,000 five-star reviews at Google, Trustpilot, Sotellus, The Better Business Bureau, and Consumer Affairs - Ask Us To Talk Directly With Former Clients

Unique Advantage: The Owners of Newton Group ALSO own the nation’s leading timeshare consumer rights law firm - we can provide benefits and savings directly to timeshare owners that no other exit company or law firm can compete with

Section: Finding A Reliable and Reputable Timeshare Exit Company

FINDING A RELIABLE AND REPUTABLE TIMESHARE EXIT COMPANY

Your timeshare agreement became a legally binding contact, the moment you signed it

“There are experts AND there are attorneys—both are essential components of a successful timeshare exit. However, it's crucial to understand the distinctions.” - Gordon Newton

THE GOLD STANDARD DUAL SERVICE MODEL

The best protection and service is provided by an exit company that offers a dual service model combining significant timeshare exit experience with individual legal representation for one flat fee. To be clear, individual legal representation means the exit company retains a personal attorney to work directly with you to advise you regarding your legal rights as you navigate through the timeshare exit process. Although the exit company is paying for the legal representation, the attorney works on behalf of the client, independent from any outside interference. Don’t be fooled by the statements “we have an attorney” or “attorneys on staff”, as those attorneys would represent that company and not you. Whereas a personal attorney will send you a letter of representation outlining the terms of your legal agreement. Few exit companies and/or law firms have the experience, knowledge, and service model to see your timeshare exit through to the end, which is why who you choose to help end your timeshare is so important. Foremost, look for a professional who specializes in timeshare exit—not an inexperienced real estate agent, lawyer, or mortgage broker.

This dual service model is the gold standard of the timeshare exit industry. It provides unprecedented access to justice due to the affordable flat fee structure. You benefit from the expertise of a timeshare exit company with the means to offer multiple exit pathways backed by affordable individual legal representation. This sort of consumer protection safeguards the timeshare owner and provides unparalleled service and peace of mind.

Need To End Your Timeshare Ownership? Call The Timeshare Exit Hotline At: (877) 323-9923

FINDING A RELIABLE AND REPUTABLE EXIT COMPANY

If considering hiring an attorney directly, make sure to retain a licensed attorney who understands and has experience in timeshare exit and is in good standing with the State Bar of each state in which the attorney is licensed. Be wary of startup firms, or firms new to the timeshare exit industry. HIRING AN ATTORNEY DIRECTLY

A SINGLE FEE PROTECTS YOU Attorneys typically bill by the hour and timeshare exit can be time consuming

This could leave you exposed to outrageous legal fees such that it is more expensive to hire an attorney than to continue suffering the financial burdens of timeshare ownership. Having one allencompassing fee assures that your attorney is aligned with your goals of ending your timeshare ownership as soon as possible. Keep in mind, you could still be subject to additional settlement fees from the resort. process to take any longer than necessary. You should ask how long they have been practicing in timeshare exit. We recommend that you find an attorney who will represent you for one all-encompassing fee. The difficulty being many attorneys prefer to bill by the hour and most require a significant retainer. However, with a timeshare exit, the number of hours involved is unknown. Timeshare exit is a niche speciality and newly established law firms may lack knowledge and experience required to end your timeshare. You don’t want an attorney trying to learn timeshare law while billing you by the hour, and you don’t want the

Need To End Your Timeshare Ownership? Call The Timeshare Exit Hotline At: (877) 323-9923

FINDING A RELIABLE AND REPUTABLE EXIT COMPANY

SOLID WRITTEN AGREEMENT No matter who you choose to help end your timeshare ownership, you should be sure to have everything promised to you in writing, including everything you can expect the company to do on your behalf. Make sure you are paying for a service that is intended to free you from your timeshare obligation—and not just a listing fee or negotiation fee. Timeshare exits can vary greatly in length, so it’s absolutely vital you work with a company that is invested in you. Any contract you sign with an exit company should explicitly state the exact service and terms of agreement for a single all- encompassing fee. This means that if the exit is successful, and your ownership is terminated, you’ll never have to pay another dime to the exit company.

THE UPFRONT FEE ARDA (the American Resort Development Association) and resort developers have been warning against paying upfront fees to end your timeshare ownership for years. However, you should know that timeshare exit is not an immediate transaction. The duration of the process varies in time because there are multiple parties involved with unique requirements at each stage in the process. Despite what timeshare sales representatives may tell you, a timeshare typically has little-to-no resale value. Therefore, the exit process can be expected to take more time to complete than the sale of other types of property, such as residential and commercial real estate. Because timeshare exit companies cannot earn commissions on a transaction involving an asset with no value, that justifies the exit companies charging an upfront fee. This protects the exit company from performing a successful exit for a client who decides not to pay when the work is done. But you should know the value of the services you are paying for—when an exit company offers dual services backed by a solid written agreement the value is real rather than perceived. You know your fee is paying for legal representation, in addition to specialized services offered by a timeshare exit company.

Need To End Your Timeshare Ownership? Call The Timeshare Exit Hotline At: (877) 323-9923

FINDING A RELIABLE AND REPUTABLE EXIT COMPANY

There are too many inexperienced and untrustworthy exit companies and/or law firms competing for your business. You should be wary of trusting anyone who cannot show you a documented history of success helping people end their timeshare contracts. You should verify that an exit company and/or law firm has a proven track record of success for at least five years. In my experience, it is difficult for a company to be in business for at least five years and not leave some sort of footprint on the Internet that you can easily locate and review. This means you should be able to research the exit company through the Better Business Bureau, your state’s Attorney General, consumer protection agencies, and your preferred Internet search engine. SUCCESSFUL TRACK RECORD

LOOK FOR A SOLID REPUTATION

Any exit company you hire should make it easy for you to research them. A reputable organization will have nothing to hide and be proud to operate in a transparent manner. The exit company’s website should prominently display links to its licensing, reviews, testimonials, and the Better Business Bureau so that you can easily verify the company’s integrity. As with any business, you might find negative reviews for trusted companies that have been around for years. Make sure there are more positive reviews than negative reviews, and take note how each company responds to negative reviews

ARE THEY POLITE? ARE THEY COURTEOUS? ARE THEY HUMBLE? DO THEY ADMIT THEIR MISTAKES? ARE THEY WILLING TO MAKE THINGS RIGHT?

The company should also be willing (and eager) to let you speak with former customers. What better way to find out about a company than to ask their former customers?

Need To End Your Timeshare Ownership? Call The Timeshare Exit Hotline At: (877) 323-9923

Free Consulation

15 Minutes With Newton Group Can Help Get You That Timeshare FREE Feeling TOO!

THE IMPORTANCE OF THE BBB FOOTPRINT THE IMPORTANCE OF THE BBB FOOTPRINT

It’s not enough to simply read several reviews on a timeshare exit company’s Better Business Bureau (BBB) webpage. Like a sleuth, you must fit together pieces of evidence to build a more complete picture of an exit company’s reputation, experience and practices.

The BBB is more than a customer review platform. If a company is accredited with the BBB it means the company filed an application which was reviewed and accepted. Additionally, the BBB continually monitors the company to verify compliance with their eight “Standards for Trust” principles. These Standards include: a positive track record, honesty in advertising, an honest representation of products and services and adherence to all written agreements and verbal representations. A company that has been accredited agrees to uphold these principles and more. However, some timeshare exit companies claim BBB accreditation is meaningless and make excuses for not maintaining BBB membership. The truth is, BBB accreditation is an important element in building consumers’ trust. It’s an agreement to adhere to certain ethical business practices—an agreement that should be easy for all companies to make and to work to uphold. It essentially means a timeshare exit company believes in its services enough to be transparent. Because if the BBB revokes a company’s accreditation, consumers know the reason why and see evidence of it in the BBB reviews. In timeshare exit—an industry with little regulation—it’s essential that exit companies be willing to make the commitment to BBB accreditation. BBB ACCREDITATION DOES MATTER

BEYOND THE BBB RATING

The BBB rating system uses an A+ through F grade scale. The letter grades correspond to BBB’s level of confidence in the company’s adherence to the “Standards of Trust” principles. The rating takes into account 16 objective factors, such as number of unanswered, unresolved and/or serious complaints, as well as “actual incidences of a business’ behavior”. But a BBB rating alone does not offer a complete picture of a company’s integrity. Here’s what to look for:

The BBB displays the following timestamps:

BBB open file date (note: a company does not have to be an accredited member for the BBB to open a file and rate a business)

BBB accreditation date

Incorporation date (i.e. filled out the paperwork to be an official business)

Years in business

This is all good information to have, but unfortunately an exit company’s “Years in Business” as listed on the BBB webpage doesn’t necessarily reflect how long that company has been providing timeshare exit services. For example, a business could have filed for incorporation several years before starting active operations.

Need To End Your Timeshare Ownership? Call The Timeshare Exit Hotline At: (877) 323-9923

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THE IMPORTANCE OF THE BBB FOOTPRINT THE IMPORTANCE OF THE BBB FOOTPRINT

Be ware that a company could be in a business for years doing something else other than timeshare exit. Timeshare exit takes specific knowledge and experience.

The BBB often reports what other names the business has operated under. Look here to see where the company has been.

Need To End Your Timeshare Ownership? Call The Timeshare Exit Hotline At: (877) 323-9923

THE IMPORTANCE OF THE BBB FOOTPRINT

A DEEP FOOTPRINT OF SUCCESS The Better Business Bureau is not the Police. The BBB acts as quickly as it can on the information they are provided, but it’s important consumers do their own sleuthing using the BBB site and other avenues of research. Follow the steps above and avoid being in the same situation as other timeshare owners who hired an exit company based on an A+ BBB rating and later found it had been dropped to an F. As stated earlier in the Guide: an astounding 25% of Newton Group clients, that’s 1 in 4 timeshare owners, who tried ending their ownership before hiring us, had previously hired a bad exit company who failed. You must assure a timeshare exit company has left a deep, well-documented footprint.

Need To End Your Timeshare Ownership? Call The Timeshare Exit Hotline At: (877) 323-9923

THE IMPORTANCE OF THE BBB FOOTPRINT

BEYOND THE BBB RATING Or, a business could have been operating under a different name, providing different services, but then file a “Doing Business As (DBA) and update their name and profile on the BBB. You should look for “Alternate Business Name” on the BBB profile page to see if anything shows there, but if the BBB is unaware of a name change, it won’t show on the page. One quick way to verify they were operating in timeshare exit—for at least three years—is to check the date on the oldest complaint and/or review. A company’s timeshare exit-related BBB reviews should go back at least three years. You won't’ find any older than that, as the BBB only keeps complaints and/or reviews for three years. Another piece of the puzzle is to look at the number of reviews in relation to how long a company has been in business. For instance, if a company claims to have been providing timeshare exit for 15 years— helping thousands of timeshare owners— there should be a couple hundred reviews, not 18-20.

sd You want to look for a footprint. It a company has helped thousands of clients for years, they should have more than 23 reviews and 5 complaints. Make sure their advertising claims match up to their record.

THE IMPORTANCE OF THE BBB FOOTPRINT

Need To End Your Timeshare Ownership? Call The Timeshare Exit Hotline At: (877) 323-9923

Section: Red Flags In The Timeshare Exit Process

RED FLAGS IN THE TIMESHARE EXIT PROCESS

THE MONEY BACK GUARANTEE MIRAGE

The money back guarantee is one of the most used marketing tools in the timeshare exit industry.

Unfortunately, it has also become one of its most concerning. Unproven timeshare exit companies are exploiting the promise of a money back guarantee in order to gain consumers’ trust even when they may have little or no timeshare exit expertise and possibly an unstable business model. The exit industry has changed in recent years. In most cases, timeshare exit is neither quick nor easy, and regrettably, a money back guarantee does not equate to quality of service. Timeshare owners are not paying for the opportunity to get their money back—they are paying for a guarantee of service outlined by a solid contract. Making matters worse, the money back guarantee transitions from concerning to dangerous when timeshare exit companies tie it to a guaranteed time frame and use it to grow their business too quickly. This is best explained through a story, so come aboard with me as I illustrate how the money back guarantee iceberg sinks the S.S. Timeshare Exit Titanic. Let’s say a timeshare exit company offers a three-year money back guarantee. They start boarding timeshare owners on the S.S. Timeshare Exit Titanic and the ship sets sail. A couple years pass as some timeshare owners disembark via a timeshare exit. But for many, the voyage continues. Meanwhile, the promise of a threeyear maximum voyage has attracted even more timeshare owners who continuously board the ship. The timeshare owners who have been aboard since the start are getting restless, and some complaints are filed. It’s nothing the customer service department can’t handle, so the ship sails on. But now the first three years have passed, and upset passengers begin to ask for their money back. Some are lured into sailing a little longer, but as the months go by, more and more contracts become due with more and more passengers wanting full refunds.

This is it. The ship hits the money back iceberg and begins to sink. The captain boards the lifeboats along with a few key crew members and the passengers are left sinking holding a bankruptcy notice and their timeshare obligation. This is not a fairytale analogy. The hard truth is, at the time of this writing, six major exit companies filed for bankruptcy and closed their doors in the last 18 months. Each bankruptcy created turmoil for hundreds—even thousands—of unwitting timeshare owners who saw their money-back guarantee rendered useless. Even worse, these unstable exit companies left consumers—many elderly and on fixed income—without the financial means to hire a reputable exit company to help them. To help you look beyond the money back guarantee to find a reputable, experienced timeshare exit company, read Section 2: Finding a Reliable and Reputable Timeshare Exit Company

Need To End Your Timeshare Ownership? Call The Timeshare Exit Hotline At: (877) 323-9923

RED FLAGS IN THE TIMESHARE EXIT PROCESS

UNAUTHORIZED PRACTICE OF LAW

The contract that binds your timeshare ownership is a legal document and therefore any consideration of transfer, payment cessation, etc. should only be done under the advice of a personal attorney specializing in timeshare exit. Beware of timeshare exit companies who advise you to stop paying your timeshare mortgage or timeshare fees and be sure any legal advice you obtain is from a licensed attorney who represents you. A consideration to stop making your payments should be discussed with your individual legal counsel with whom you have a letter of representation. Make sure your attorney clearly explains the potential risks and/or benefits of such a decision. Generally, failing to pay your timeshare- related fees could result in collection efforts by your resort, which could damage your credit for years to come. You could receive interest and penalties on what you owe, and then the collection calls can start. If you still refuse to pay your bills, the resort may do anything to collect, including, in worse case scenarios, putting a lien on your personal property. Ultimately, the resort could foreclose on the timeshare—severely damaging your credit and impacting your financial future.

FALLING VICTIM TO SCAMMERS COULD:

Hurt your wallet if a fraudulent caller asks for a deposit

Damage your credit if someone falsely advises you to stop paying timeshare mortgage or fees

Cause problems with the IRS if you donate your timeshare and claim an invalid deduction

Fool you to believe you’ll be rid of your timeshare within a certain timeframe

Need To End Your Timeshare Ownership? Call The Timeshare Exit Hotline At: (877) 323-9923

RED FLAGS IN THE TIMESHARE EXIT PROCESS

PROPRIETARY PROCESS Any company claiming their entire timeshare exit process is “proprietary” and can’t be shared probably has something to hide. Exiting a timeshare does not require the use of black magic or secret incantations. It requires an extensive knowledge of the timeshare industry and its law applications backed by a solid company and a written agreement. Without this, the exit company could be engaging in risky and/or unlawful processes to end your timeshare ownership. Perhaps the most common mistake consumers make when looking for an exit company is they shop based on price alone. This puts consumers at the highest risk of getting scammed. Don’t fall for the line: “No need to worry about how we get you out—we have a 100% money back guarantee.” As discussed in the “The Money Back Guarantee Mirage” section of the Guide— that guarantee may be from an exit company that can’t honor it. Timeshare ownership is bound by a legal contract, yet most exit companies rely on non-attorney employees to contact the resort on your behalf with phone and letter writing campaigns. It seems logical that a settlement negotiation or discussion to end a legal contract is best carried out by an attorney hired to represent you and to act in your best interest. But timeshare exit companies and their “proprietary” services often defy this logic. Some exit companies will even lead their clients through the foreclosure

Even if your timeshare qualifies for a transfer of ownership, it’s best to have an attorney review the transaction or you could be at risk of entering into a “Viking Ship” scheme—another red flag in the Consumer’s Guide. Essentially, you can discover— even one to three years later—that your Quit Claim Deed was not valid and your timeshare is being transferred back into your name, along with all the unpaid maintenance fees. These are all reasons why working with an experienced and reputable timeshare exit company that outlines their services and offers individual legal representation is so important—you know exactly what is happening with your timeshare exit, every step of the way. This protects you from illegal exit practices and offers the best in timeshare exit service. process without the client being aware of what the exit company is doing or of the consequences. As opposed to a personal attorney who will represent you and protect your legal rights and choices. Any consideration to stop making timeshare payments should be discussed with legal counsel. I cannot stress this point enough. Make sure you are working with an experienced timeshare attorney—with whom you have a letter of representation—and who will clearly explain the potential risks and/or benefits of any timeshare exit strategy.

Need To End Your Timeshare Ownership? Call The Timeshare Exit Hotline At: (877) 323-9923

RED FLAGS IN THE TIMESHARE EXIT PROCESS

“VIKING SHIP” SCHEMES A “Viking Ship” scheme refers to a process by which a timeshare exit company will transfer a timeshare property into a “shell” company, which is a corporation or limited liability company (LLC) that is created without any assets or real operations. This shell company is set up exclusively for the exit company to transfer your timeshare into in order to make it appear to the timeshare resort that the “shell” company is the new owner of your timeshare. The exit company then transfers as many timeshare interests into it as possible for the sole purpose of having the timeshare resort charge the “shell” company all maintenance fees, special assessments, and taxes, but the exit company intends that the “shell” company will never make payment for those fees, assessments, and taxes. Eventually, the resort is forced to initiate foreclosure against these unpaid timeshare interests. Ultimately, you (the timeshare owner) may be responsible for all these unpaid payments and the risk of foreclosure against you.

The “Viking Ship” scheme became so common that laws were enacted to protect the timeshare resorts against it. The laws state that where this scheme is put into effect, the timeshare would actually revert back to you, the timeshare owner— meaning that you would resume your timeshare ownership and all related financial responsibilities.

There is no way for you as the timeshare owner to know if this scheme is happening behind the scenes. Therefore this is another important reason why you should choose an exit company that offers exit services combined with individual legal representation—you get double the service and double the protection.

Need To End Your Timeshare Ownership? Call The Timeshare Exit Hotline At: (877) 323-9923

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