RedWeek.com's Verified & Protected

[chapjim]

A guy responded to a listing on RW.com with this question: "Is this a guaranteed booking ,and protected by Redweek if I have to cancel due to Covid-19 ?"

I responded that if the resort was closed, I would refund all of his payment. If the resort was open and he decided not to go, no refund was due. He said, "I'll pass."

Does anyone know what RedWeek.com would do with the payment they are holding if a resort is open and the renter decides not to occupy? I can't really tell from the explanation on RW.com.

 

[DeniseM]

It's up to Redweek - this summer they refunded Hawaii renters enmasse without even notifying owners. No way would I let them hold my money!

 

[chapjim]

That's the way I read the policy. For Protected, it says "we do a second verification that the reservation is in your name, and funds are held until after you check-in, so you can ensure you get what you paid for." Pretty clearly, it is the renter who is protected, not the owner.

I feel pretty comfortable refunding payment if the resort is closed but if the renter wants to be able to cancel because he or a member has COVID-19 or because he changes his mind, he needs to go elsewhere.

Last spring, we pretty well covered questions of who is liable and under what circumstances is a refund due, and what will trip insurance cover. I don't mean to re-start that discussion.

 

[seagila]

Does anyone know what RedWeek.com would do with the payment they are holding if a resort is open and the renter decides not to occupy? I can't really tell from the explanation on RW.com.

Here's what's on the RW rental agreement:

The coronavirus (COVID-19) pandemic is now considered a foreseeable risk. By digitally signing this agreement, the Renter hereby acknowledges and accepts the risk that the pandemic may prevent or restrict their ability to travel or occupy the rental unit. Renter accepts pandemic-related cancellations will not serve as a basis for requesting an exception to the cancellation policy or penalties. However, if the Resort itself is closed or refuses to honor the reservation, unit shall be considered uninhabitable...

Any challenges or withdrawal of the Rent Payment are strictly prohibited ... and will result in a cancellation of the reservation and cancellation penalties and fees will apply. RedWeek will pursue collection of these funds through all available means, including collection agency and/or legal proceedings, and maintains the right to report the unpaid debt to credit agencies.

If there is any dispute between the parties to this Agreement about the Rent Payment that cannot be resolved, and if RedWeek is in doubt as to whether to pay or refund the Rent Payment, RedWeek may interplead all parties and deposit the Rent Payment with a court for the court's determination as to who is entitled to the Rent Payment. Notwithstanding anything to the contrary provided herein, no dispute shall limit or restrict RedWeek's rights to the interest earned in connection with the escrow account as provided in this Agreement.

However, in their 12/16 Coronavirus Notice they say:

For renters:

If you have an online booking coming up, all owner cancellation policies are in effect. If you would like to discuss the booking with the owner – to ask about rescheduling or refunds outside of the terms the contract allows for - you can contact the owner through the My Trips page within your Account.

If you cannot travel, and cannot come to an agreement with the owner, we will have to wait until your check-in date to arbitrate – as the situation develops at the resort.

The contract is clear to me in how it addresses the question of a renter not occupying the unit if the resort were open. RW does open the possibility for renter and owner to work something out outside of the contract if both parties agree to do so.

 

[echino]

If Hawaii reinstates quarantine, Redweek will consider the unit uninhabitable and will refund the money to the renter, regardless of owner's cancellation policy, even if the resort is open. Doesn't matter what the contract says. Redweek broke the contract in the past and will not hesitate to break it again.

 

[CPNY]

People are now going to be booking refundable trips going forward. I’ll offer refunds but the rental price will be slightly below what they would be able to book with the resort. If they want a much lower price it will be the non refundable rate.

I will never use redweek full service ever again.

 

[chapjim]

"If you cannot travel, and cannot come to an agreement with the owner, we will have to wait until your check-in date to arbitrate – as the situation develops at the resort."

I knew I'd seen this someplace but couldn't find it when I started this thread. "If you cannot travel" is subjective, too vague to be useful.

I'm with Denise -- I don't want RedWeek.com holding my money, especially knowing most of RW.com's policies favor of the renter, not the owner.

 

[neuroDad]

Had a very bad experience with RedWeek Verified and Protected a few weeks ago. I don't think I will ever use that again. They don't care about owners, and when they hold the money they seem to feel that they can do whatever they want. I suppose it's great if you're a renter since you can easily get your money back.

 

[jtp1947]

I used Verified and Protected for a Hawaii rental, the resort was open and the renter decided not to go. There was a 14 day quarantine in effect. I was still paid by Redweek.

 

[tschwa2]

I used Verified and Protected for a Hawaii rental, the resort was open and the renter decided not to go. There was a 14 day quarantine in effect. I was still paid by Redweek.

probably because the renter decided not to dispute.

 

[rickandcindy23]

I like the wording Redweek put into place. A closed resort is one thing, a positive Covid test and the inability to travel is the risk of the renter. I think Redweek is wise to let people know they won't be refunding due to a known risk.

I had someone ask me about my Maui rental and if I would give a refund. Nope. I already lost from last year, and I am not going to lose out again for another year.

 

[grupp]

I had week list for rent on Redweek for next March for $2,450 and had not yet received any inquiries on it yet. Which isn't that unexpected since that is still long ways out. I have several units at the same resort for that week and decided last night that I would make a second listing using the Verified and Protected option and list it for $2,650. (moderate cancelation of 50% refund if canceled more than 60 days in advance). The verification was confirmed this morning and within 2 hours I had a booking request.

These ads were exactly the same other than the higher price and the Verified and Protected with Redweek holding the money. This does show that people are willing to pay more, at least in this example, for the verified and protected. I still prefer to get paid upfront and am not a fan of Redweek or anyone else holding the money. But with what has happened over 14 months getting paid 100% upfront will most likely be more difficult except for those who I have dealt with in the past and will need to adjust some to that reality.

I also have these listed on Koala at even a higher price to cover their commission, but not inquiries from there yet.

 

[vol_90]

I had week list for rent on Redweek for next March for $2,450 and had not yet received any inquiries on it yet. Which isn't that unexpected since that is still long ways out. I have several units at the same resort for that week and decided last night that I would make a second listing using the Verified and Protected option and list it for $2,650. (moderate cancelation of 50% refund if canceled more than 60 days in advance). The verification was confirmed this morning and within 2 hours I had a booking request.

These ads were exactly the same other than the higher price and the Verified and Protected with Redweek holding the money. This does show that people are willing to pay more, at least in this example, for the verified and protected. I still prefer to get paid upfront and am not a fan of Redweek or anyone else holding the money. But with what has happened over 14 months getting paid 100% upfront will most likely be more difficult except for those who I have dealt with in the past and will need to adjust some to that reality.

I also have these listed on Koala at even a higher price to cover their commission, but not inquiries from there yet.

Agreed a Redweek verified and protected posting will almost always rent ahead of other postings when priced competitively. That's one of the reasons I always use Redweek verified and protected. It's worth the extra $'s as long as I'm netting what I'm looking for after fees ($158.99). I also don't like dealing with contracts or directly with renters and can accept that I'm not going to receive the payment until after the renter checks in. Most of my rentals are using borrowed points so I'm getting paid before I pay maintenance fees.

 

[chapjim]

I have a fair number of listings on RedWeek.com. I'll try it out.

 

[rickandcindy23]

That's interesting because the buyer also pays a fee to book with Redweek. I like Redweek, I truly do, but I am so hoping go-koala.com works out as a new option. It would be nice to see another timeshare rental platform achieve success. I am really hoping for Koala to succeed. That is why I list everything there, and I will continue to list everything there, but I also placed some ads on Redweek in the meantime. I will support both.

You would be surprised how many timeshare owners are using VRBO and AirBnB. And those don't fit timeshare as well as Koala and Redweek. There is room for Koala, and I wish them well. It would be great for all timeshare owners.