DeniseM
Moderator
- Joined
- Jun 6, 2005
- Messages
- 58,479
- Reaction score
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- Location
- Northern, CA
- Resorts Owned
- WKORV, WKV, SDO, 4-Kauai Beach Villas, Island Park Village (Yellowstone), Hyatt High Sierra, Dolphin's Cove (Anaheim) NEW: 2 Lawa'i Beach Resort!
How to confirm that a rental is legit:
First step - ALWAYS ask if they are renting an exchange. RCI* and II do not allow exchanges to be rented, and if you get caught, you can lose the rental and your $$$. You can tell if it is an exchange, when they send you a copy of their confirmation, because it will be a confirmation from the exchange company, not directly from the resort.
(See this sticky to see the rules for all the major exchange companies - Which Exchange Companies Allow Exchanges to be Rented? - some exchange companies DO allow exchanges to be rented.)
VERIFYING THE RESERVATION:
*Here are several different steps you can take to protect yourself - I'm not suggesting that you do ALL of them - just offering various alternatives.
*I think #3 & 4 are the most critical.
COMMON RED FLAGS TO LOOK OUT FOR!
This section lists the common red flags that come up most often with rental scams! Even if you ignore the advice above, if you encounter any of these scenarios during the course of booking a timeshare rental, you should begin to worry!
Author note: This is by no means a list of every possible red flag, but these are certainly the most common, and great indications that you should avoid sending ANY money to the party in question.
ESCROW: My suggestion - don't ask for escrow - it protects the renter, but not the owner, and using escrow means that the owner doesn't get their money until after the trip, and after they have had to pay their MF. The fact that the owner won't accept escrow doesn't mean they aren't completely legit - an owner with a popular week for rent will not accept escrow, because they can just move on to someone else, who doesn't ask for escrow, and get their money sooner. I do several rentals every year, and I would never agree to use escrow.
VERIFY RESORT FEES: When you call the resort to confirm your reservation, be sure you ask about any resort fees or taxes that you may be responsible for at check-out.
First step - ALWAYS ask if they are renting an exchange. RCI* and II do not allow exchanges to be rented, and if you get caught, you can lose the rental and your $$$. You can tell if it is an exchange, when they send you a copy of their confirmation, because it will be a confirmation from the exchange company, not directly from the resort.
(See this sticky to see the rules for all the major exchange companies - Which Exchange Companies Allow Exchanges to be Rented? - some exchange companies DO allow exchanges to be rented.)
VERIFYING THE RESERVATION:
*Here are several different steps you can take to protect yourself - I'm not suggesting that you do ALL of them - just offering various alternatives.
1. Talk to the owner on the phone - get a feel for who they are.
2. Request a rental contract.
3. Ask the owner to email or Fax you a copy of their original reservation confirmation.
4. Call the resort/resort reservations directly to confirm your reservation.
5. Ask if you can pay a $100 deposit, get the confirmation in your name, and then pay the balance.
6. Ask the owner to send you a copy of their deed, with their personal info. blacked out.
7. Ask for references.
8. Rent from a TUG member. (please note this does NOT mean you can ignore all of these other safeguards! I dont care where you find a rental, if the transaction smells fishy you should NOT send money!)
*I think #3 & 4 are the most critical.
COMMON RED FLAGS TO LOOK OUT FOR!
This section lists the common red flags that come up most often with rental scams! Even if you ignore the advice above, if you encounter any of these scenarios during the course of booking a timeshare rental, you should begin to worry!
- Emails sent containing broken english or otherwise oddly worded comments and sentences
- Owner wants you to contact, pay, or otherwise deal with a "3rd party" instead of them directly
- Owner demands payment only with personal check or money order or wire transfer (especially if made out to a 3rd party)
- Owners name/contact info is different from what is on the reservation or owner confirmation
- Owner asks you to pay using "gift" option on paypal. Also be wary of sending payments via VENMO or ZELLE which provide NO options for fraud protection.
- Owner asks for a significant amount of the rental payment before providing any confirmation or details
Author note: This is by no means a list of every possible red flag, but these are certainly the most common, and great indications that you should avoid sending ANY money to the party in question.
ESCROW: My suggestion - don't ask for escrow - it protects the renter, but not the owner, and using escrow means that the owner doesn't get their money until after the trip, and after they have had to pay their MF. The fact that the owner won't accept escrow doesn't mean they aren't completely legit - an owner with a popular week for rent will not accept escrow, because they can just move on to someone else, who doesn't ask for escrow, and get their money sooner. I do several rentals every year, and I would never agree to use escrow.
VERIFY RESORT FEES: When you call the resort to confirm your reservation, be sure you ask about any resort fees or taxes that you may be responsible for at check-out.
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