Another timeshare resale scam company ousted June 8, 2012Posted by JamesJewhurst in : ARDA, General, Information, News & Events, Timeshare Resale, Timeshare Resource, Timeshare Scams , trackback
Another resale scam company has been reported by the BBB serving the mid-west. Great West Funding(GWF) is alleged to convince timeshare owners they had a buyer waiting, and for a small fee – over $2000 – they can move forward with the sale. Only to never hear from them again, and if they do make contact, it’s to get another fee for finalizing the sale.
Since the start of the year the BBB has received over 2200 inquiries and has closed 39 complaints against GWF, which has an “F” rating. They even tried to verify the address and it’s nothing but a vacant space. Not even their own mail reaches them, it gets sent back to the sender. The BBB has also confirmed that neither GWF, or its principal, have attained a broker’s license from the Arizona Department of Real Estate. Even though it’s a requirement of the state when offering to assist or do the direct negotiations of any real estate related transaction.
Once again the BBB offers tips to thwart the advances of companies such as this:
Now these tips are good tips, but there is more to it. If someone does call you out of the blue saying they have a buyer, when you didn’t even look for one, don’t sign up. If you are looking and you do submit information online, write the name of the company down and when you filled out the information. When they call you back, verify the company name and their licenses.
There are many valuable tools in today’s internet. You can do a little research and learn a lot about a company. Use sites like Alexa.com, Ranking.com, and even the Online Business Bureau and make sure their business is credible and verifiable. Let the company show you how they work. Let them bring you online and show you their services. If they don’t show you, ask them too. This is your money, make them earn it.
Nowadays the big issue is always the upfront fees. Most people tell you to run away if they have upfront fees, but that’s not always the case. For companies that advertise, their services are similar to placing an ad in the newspaper, you have to pay in advance to run the ad. Even if you try and use a free avenue such as Craigslist or EBay, you will run into problems when the closing comes. Where is your buyer located? What services would you use? Can you get there? You can try sites like Redweek or tug2.net (Timeshare Users Group) where you still pay upfront for a subscription so that you can post your ad.
Upfront fees come in different ways, and they aren’t necessarily a bad thing. Would you rather pay a discounted fee first, or a hefty commission at the end? Will you sign up and pay a monthly fee in hopes of finding a buyer who wants your timeshare. Or will you pay for a company who will give you more exposure, and aim your ad towards the right consumer? Something to think about when it is that time to sell that timeshare.
Moving on from the fees, you also want to caution those ‘too good to be true’ offers with the high pressure tactics. Always keep a pen and paper handy, write down all the information they tell you, then ask for it in writing and ask for sample contracts or agreements. Read them and compare your notes. If you’re not ready that day, don’t succumb to the pressure tactics. If you’re uncomfortable, then it’s their job to make you comfortable. Know what services they are providing, don’t just assume. Know what you’re money is going towards for the advertising, and how they do it. Remember, it’s your money.
For more information about the resale guidelines, you can visit the American Resort Development Association.