Up front fees to rent out my TS

catcher24 · Apr 1, 2011

Anyone familiar with VPM and Associates? I got a call from them yesterday, wanted up front $899 to rent my TS out for me. Promised minimum of $2200. Of course, there was a money back refund if they didn't rent it. I've been a TUG member for a few years and I knew better, but I fell for the bait (greed!

). They were going to send out the contract to me via email right away. Of course, I knew as soon as I hung up what I had done. Luckily, I had used a virtual account number and not my real credit card number. I immediately logged into my credit card account and canceled that VAN. Needless to say, I didn't receive any contract via email within a half hour, as promised. I did receive a phone call several hours later (and still no contract) advising me that the credit card was expired. I informed them that was OK since I had changed my mind about their offer anyway. When asked why, I told them that this whole arrangement screamed SCAM. Of course he started explaining to me why it wasn't a scam, at which point I disconnected. I only wish I had thought to ask him why I had never received the contract as promised to see what excuse he made up for that.

A very close call, and I thank God that I realized right away I had been scammed and I thank Citibank for their virtual account numbers!

Talent312 · Apr 1, 2011

Its way too tempting for those of us who prefer to believe in the inherent goodness of our fellow human beings to believe and say, "Well, that sounds good..."

New rule: Never give anyone a CC number unless I am the one who initiates the sale.
Now, if I can only remember that!

DeniseM · Apr 1, 2011

It's a total scam - NEVER pay a large upfront fee to rent or sell your timeshare!

timeos2 · Apr 1, 2011

They can make it sound SO TEMPTING that even informed owners want to believe & bite. If it involves an up front fee don't fall for it as it will be a scam in the long run. You were wise to cancel.

Ridewithme38 · Apr 1, 2011

Don't both Redweek and Tug involve Upfront fees?? Or is it just because of the size of the upfront fee's and not that they have them? If so what number represents Scam? I.e. $150 is ok, must be a great company...But if they're asking for $151 they're a HUGE SCAM and you can't trust them?

DeniseM · Apr 1, 2011

Ridewithme38 said:
Don't both Redweek and Tug involve Upfront fees?? Or is it just because of the size of the upfront fee's and not that they have them? If so what number represents Scam? I.e. $150 is ok, must be a great company...But if they're asking for $151 they're a HUGE SCAM and you can't trust them?

Ads on TUG are completely free to members.

Redweek charges about $25 per Ad - and of course both websites are established and reputable.

I would never pay an upfront fee of any size to someone who cold calls you - that is one of the hallmarks of a scam.

timeos2 · Apr 1, 2011

Ridewithme38 said:
Don't both Redweek and Tug involve Upfront fees?? Or is it just because of the size of the upfront fee's and not that they have them? If so what number represents Scam? I.e. $150 is ok, must be a great company...But if they're asking for $151 they're a HUGE SCAM and you can't trust them?

A small fee for an actual service (such as posting on an active web site) is not an upfront type fee. Under $75 (or even over if it is stated as part of the disclosures that it will apply and not sprung on the seller/renter after the fact) it is reasonable. There are some places that charge nothing but may not get as much traffic. A key is that the whole thing is voluntary, instigated by the seller/renter NOT from a cold call from some unknown voice somewhere in the world looking for business. Redweek, TUG and others don't call people trying to get them to post (and collect the ever present up front fee). The scam operations do it so frequently that it is a primary sign that the operation isn't meant to generate sales but income from up front fees alone. Don't fall for it.

Ridewithme38 · Apr 1, 2011

timeos2 said:
A small fee for an actual service (such as posting on an active web site) is not an upfront type fee. Under $75 (or even over if it is stated as part of the disclosures that it will apply and not sprung on the seller/renter after the fact) it is reasonable. There are some places that charge nothing but may not get as much traffic. A key is that the whole thing is voluntary, instigated by the seller/renter NOT from a cold call from some unknown voice somewhere in the world looking for business. Redweek, TUG and others don't call people trying to get them to post (and collect the ever present up front fee). The scam operations do it so frequently that it is a primary sign that the operation isn't meant to generate sales but income from up front fees alone. Don't fall for it.

So its not about the fee...What makes these guys less then creditable is the Cold Calling...Then why don't you guys say "If they called you ITS A SCAM" instead of "If there is a large upfront fee, ITS A SCAM" ?

timeos2 · Apr 1, 2011

Ridewithme38 said:
So its not about the fee...What makes these guys less then creditable is the Cold Calling...Then why don't you guys say "If they called you ITS A SCAM" instead of "If there is a large upfront fee, ITS A SCAM" ?

I know of no scam company that offers the "service" for under $100. It isn't worth their time/effort. So saying a "large up front fee" is usually a scam fits very well. Even if they didn't call but wanted say $500+ for the "listing fee" chances are very very good it's a scam. That is too much for a simple listing anywhere.

Talent312 · Apr 1, 2011

Ridewithme38 said:
So its not about the fee...What makes these guys less then creditable is the Cold Calling...Then why don't you guys say "If they called you ITS A SCAM" instead of "If there is a large upfront fee, ITS A SCAM" ?

If AAA cold calls you and says that for $65, you'll get... is that a Scam?

Hopefully, a person is smart enuff to know that a fairly nominal fee charged by a historically trustworthy service that stands behind their product, is not the same thing as a hefty fee from some outfit that you've never heard of and have no reason to believe won't take your money and run... and to apply that knowledge to cold calls.

DeniseM · Apr 1, 2011

Ridewithme38 said:
So its not about the fee...What makes these guys less then creditable is the Cold Calling...Then why don't you guys say "If they called you ITS A SCAM" instead of "If there is a large upfront fee, ITS A SCAM" ?

The scammers have several characteristics that send up a red flag - cold calls and high upfront fee are just two of them. They are probably obvious to experienced Tuggers - but the newbies who come to TUG usually need a little more convincing - that's why I post a whole list:

Here are some warnings signs with these kinds of companies:

1) Did you get an unsolicited sales call from them?

2) Do they say that they already have a renter/buyer for your timeshare? (or an established market like people attending conventions.)

3) Do they want you to pay hundreds/thousands of dollars for a title search and transfer fees, or taxes, or a closing fee, UPFRONT?

4) Are they offering to rent/sell it for far more than the market value?

5) Do they want you to pay a large up front fee that supposedly you will get back?

6) Do they want your credit card number over the phone?

If you answer yes to any of these questions, then this is the usual scenario:

Once you pay the fee and receive the contract, you discover that the company has only promised to advertise your resort, not to rent/sell it, and they don't mention having a renter/buyer in the contract.

Then, you won't hear anything from them for a long time, and when you contact them, they will tell you that the renter/buyer backed out, but they will advertise your timeshare on their over-priced website.

Finally, when you try to get your money back, they will point out that you signed a contract, and it's only for advertising.

When you try to challenge it with your credit card company, they will tell you that you only had 60 days to dispute the charge, and that it's too late to do anything.

Up front fees to rent out my TS

catcher24

Talent312

TUG Review Crew: Veteran

DeniseM

timeos2

Tug Review Crew: Rookie

Ridewithme38

DeniseM

timeos2

Tug Review Crew: Rookie

Ridewithme38

timeos2

Tug Review Crew: Rookie

Talent312

TUG Review Crew: Veteran

DeniseM