Fredflintstone
TUG Member
- Joined
- Jul 15, 2018
- Messages
- 1,928
- Reaction score
- 2,525
- Points
- 324
- Resorts Owned
- Rent only
To answer your original question, there are no laws prohibiting TS companies from charging the 13-15% they normally charge. I don’t think rates like this are considered usurious. But they are very high, it’s hard to understand why people borrow money at these interest rates...
I can see why people get stuck on high timeshare interest rates. First, there is impulse buy at play. Second, timeshare sales pressure who are more than happy to have folks apply for credit on the spot. After all, there’s a 50 percent commission on the line. Their commission is just as good coming from a credit instrument as it is from a bank wire. Most of these folks are stuck because they are now indebted over their heads and can’t get a regular bank loan at a reasonable rate.
What’s particularly sad is now that these folks are indebted with MF and loan payments, they can’t afford to pay for flights and other travel expenses to even enjoy the place. Plus, they can’t unload the timeshare because they are in debt and it’s worth 90 percent plus less.
That’s why resale is the only way to go.
Sent from my iPad using Tapatalk