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Timeshare Nightmares - Many For Sale At 99P

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http://www.dailymail.co.uk/money/holidays/article-2381525/Timeshares-nightmare-Britons-stuck-dream-homes-timeshares-wont-sell-99p.html

..

The salesmen refuse to release her from her contract even though husband Peter is in poor health and can no longer take a long-haul flight across the Atlantic. So far she has spent £25,900 for just four weeks of holiday.

In one final bid to get out, she flew to Florida to beg with the owners — but ended up being harangued into taking out a new deal.

..

For example, there is a two-week timeshare in June in a two-bedroom apartment in the Costa del Sol. It’s at a four-star building, with excellent facilities and a beautiful pool — and costs 1p.

The seller says her husband isn’t well so they can longer holiday there. But the catch is the annual fees of £900 — and the £115 transfer fee.

Also on eBay for 99p is a stunning two-bed luxury two-week timeshare in Portugal. It has three swimming pools, a gym, squash courts and a bar and restaurant But the maintenance fees are £1,250 a year.

I wonder how many of those who bought did so with MEW and are now in NE?

Clearly the maintenance fee is what you'd be paying for the hotel anyway and you never get a choice about where to stay, clearly these deals aren't bargains and the salespeople found lots of suckers to sign up.

Paying thousands of pounds up front for the privilege of paying out £1000 a year. The banks clearly missed a trick with this scam.

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I wonder how many of those who bought did so with MEW and are now in NE?

Clearly the maintenance fee is what you'd be paying for the hotel anyway and you never get a choice about where to stay, clearly these deals aren't bargains and the salespeople found lots of suckers to sign up.

Paying thousands of pounds up front for the privilege of paying out £1000 a year. The banks clearly missed a trick with this scam.

IIRC, some of the timeshare deals are passed on as part of the estate:

http://www.saga.co.uk/legal/legal-experts/emma-myers/timeshares.aspx

So your descendants can be locked into paying fees on a timeshare they never signed for..

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I read somewhere a few years ago about someone employed on commission only to sell timeshares. When he asked how much was the commission he was told it was as much as he could get, the whole sale price . The value for the vendor was the ongoing charges.

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I read somewhere a few years ago about someone employed on commission only to sell timeshares. When he asked how much was the commission he was told it was as much as he could get, the whole sale price . The value for the vendor was the ongoing charges.

Hi

Thats FOAF story I heard as well. And I believe it. Wrt the article, in Florida I suppose you could just write it off and not answer letters. Many in UK timeshares are liable for the maintenance (like a leasehold flat) and can be sued for it. Indeed, though u cant pass on debts the timeshare co could make your executors pay a sum as debt out of any existing legacy.

Or you could tell the timeshare boys to $%^ off, or sell it to Dr Alphonse Dupont, 123 Rue de la Revolution Dar es Salaam - but many are sold to scared elderly who shrink from that

Mind you, people bought em becuase property only goes up...

TS is a rough business tho... http://www.theguardian.com/uk/2006/jan/26/spain.ukcrime

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http://www.dailymail.co.uk/money/holidays/article-2381525/Timeshares-nightmare-Britons-stuck-dream-homes-timeshares-wont-sell-99p.html

I wonder how many of those who bought did so with MEW and are now in NE?

Clearly the maintenance fee is what you'd be paying for the hotel anyway and you never get a choice about where to stay, clearly these deals aren't bargains and the salespeople found lots of suckers to sign up.

Paying thousands of pounds up front for the privilege of paying out £1000 a year. The banks clearly missed a trick with this scam.

That's great. £1000 fraudulent fees for 2 weeks - equivalent to £25,000 a year - and the admin work or cleaning of public areas associated with one flat in a complex of many will be minimal. Possibly they clean the windows once a month and sweep the pavement.

Why don't we just pass a law making these Portuguese/Spanish contracts unenforceable in the UK?

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IIRC, some of the timeshare deals are passed on as part of the estate:

http://www.saga.co.uk/legal/legal-experts/emma-myers/timeshares.aspx

So your descendants can be locked into paying fees on a timeshare they never signed for..

I struggle to see how such a contract could be enforceable in perpetuity. Surely a court would deem that to be an unreasonable situation?

Timeshares have for many years been subject to scandals, it's amazing some people still sign up, especially when, in all likeihood, they cost quite a bit more than just renting a gaffe for a couple of weeks.

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Timeshare hawkers are an extreme problem, particularly in Florida, my advice is to avoid them at all costs, especially the ones that discount theme park tickets from hotels if you go along for the tours...just avoid like the plague.

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I struggle to see how such a contract could be enforceable in perpetuity. Surely a court would deem that to be an unreasonable situation?

Timeshares have for many years been subject to scandals, it's amazing some people still sign up, especially when, in all likeihood, they cost quite a bit more than just renting a gaffe for a couple of weeks.

Timeshares can be deemed to be part of the estate, apparently, unless there is a clause where the share expires on death.

A look around the intertubes suggests that they don't generally go down the court action route if unpaid (probably because they really don't want a precedent to be set..), but that would probably just do the continual harassment thing. After all, a 40-apartment complex could be generating £1m a year in 'maintenance fees', these guys will have the resources to stalk non-payers..

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Why not sell them for a penny to someone with no assets, preferably already bankrupt, give them the airfare and some spending money to enjoy one week.

They get a free holiday and will never have to pay.

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I read somewhere a few years ago about someone employed on commission only to sell timeshares. When he asked how much was the commission he was told it was as much as he could get, the whole sale price . The value for the vendor was the ongoing charges.

Many buy on credit though, so they 'only' get part of the monthly repayment. I know a timeshare salesman and he always moans when they buy on credit as he gets like a tenner a month, and so needs a lot of sales to pay his monthly rent.

Whatever you do, don't 'upgrade' apparently which apparently the woman in the OP article did.

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Timeshare hawkers are an extreme problem, particularly in Florida, my advice is to avoid them at all costs, especially the ones that discount theme park tickets from hotels if you go along for the tours...just avoid like the plague.

Anyone with an ounce of common sense knows this already. However, stories about how 1,000 sensible people avoided buying a dodgy timeshare aren't very interesting.

Fractional ownership amongst friends and family could work out but once you add in long distances and 3rd party fees then you are in a world of buttache.

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Timeshares can be deemed to be part of the estate, apparently, unless there is a clause where the share expires on death.

A look around the intertubes suggests that they don't generally go down the court action route if unpaid (probably because they really don't want a precedent to be set..), but that would probably just do the continual harassment thing. After all, a 40-apartment complex could be generating £1m a year in 'maintenance fees', these guys will have the resources to stalk non-payers..

Are timeshares bought for an unlimited period or are they bought with say a 25 year fixed term, which might explain the fun relatives have when their elderly parents buy them?

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From the saga site.

Inheriting a timeshare

In most instances timeshare agreements are 'in perpetuity' so unless they are sold in the lifetime of the holder, they will form part of their estate and will be inherited by the beneficiaries of the estate.

Even if the beneficiaries do not want the timeshare, they will still be liable for paying the yearly maintenance costs.

To avoid this scenario you need to look in the agreement again.

There may be a clause which requires the company to buy back the timeshare in the event that the original owner dies.

So if a person dies intestate does the Timeshare firm hound the Revenue and Customs?

Seriously though what can they do if an inheriting relative tells them to foxtrot oscar? Contracts made by a person apply to that person how can they be transferred through inheritance? Sounds extremely fishy to me and very convenient it has never been tested in law.

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From the saga site.

So if a person dies intestate does the Timeshare firm hound the Revenue and Customs?

Seriously though what can they do if an inheriting relative tells them to foxtrot oscar? Contracts made by a person apply to that person how can they be transferred through inheritance? Sounds extremely fishy to me and very convenient it has never been tested in law.

tell em your sister inherited it...she'll tell em you inherited it..

bin it.

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From the saga site.

So if a person dies intestate does the Timeshare firm hound the Revenue and Customs?

Seriously though what can they do if an inheriting relative tells them to foxtrot oscar? Contracts made by a person apply to that person how can they be transferred through inheritance? Sounds extremely fishy to me and very convenient it has never been tested in law.

A "beneficiary" can refuse a bequest. And you cannot pass on debts. HOWEVER an executor has responsibility to settle all debts before any inheritance is paid (of course). The TS boys can argue that the ongoing maintenance is a debt on the estate and even if the TS is rejected the estate executors may have to pay some of the estate tp the TS holder.

Hetherington in the Wail has had much on this. He advised those with UK TS's might divest their estates prior to death such that when they die there is nothing to claim against - if that makes sense.

EDIT: add interesting if this has been tested in law tho

Edited by dryrot

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:lol::lol:

Although couldn't we organise to leave them to Tony Blair and Gordon Brown?

Just had another thought this could be a form of political protest, imagine thousands of people gifting free holiday homes to Ed Balls etc.... I'm sure there would be a quick law change about these contracts.

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A "beneficiary" can refuse a bequest. And you cannot pass on debts. HOWEVER an executor has responsibility to settle all debts before any inheritance is paid (of course). The TS boys can argue that the ongoing maintenance is a debt on the estate and even if the TS is rejected the estate executors may have to pay some of the estate tp the TS holder.

Hetherington in the Wail has had much on this. He advised those with UK TS's might divest their estates prior to death such that when they die there is nothing to claim against - if that makes sense.

EDIT: add interesting if this has been tested in law tho

interesting, as contracts end at death by default.

I am wondering if this is an asset at all?...or just a prepaid option to rent for 2 weeks...the outrageous fees are a rent arent they?..1/50th of those sums I would expect to be a reasonable maintenance.

Being a man of straw, id look forward to the suit.

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Is there any clause in the contract saying only a natural person may own the timeshare? If not someone should set up a company to 'buy' timeshares (for a fee) with the ostensible aim of renting them out to holiday-makers. If the business flies it flies, if not it folds and all the liabilities fold with it. :lol:

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Why not sell them for a penny to someone with no assets, preferably already bankrupt, give them the airfare and some spending money to enjoy one week.

They get a free holiday and will never have to pay.

pay with broken legs?

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