• The TUGBBS forums are completely free and open to the public and exist as the absolute best place for owners to get help and advice about their timeshares for more than 30 years!

    Join Tens of Thousands of other Owners just like you here to get any and all Timeshare questions answered 24 hours a day!
  • TUG started 30 years ago in October 1993 as a group of regular Timeshare owners just like you!

    Read about our 30th anniversary: Happy 30th Birthday TUG!
  • TUG has a YouTube Channel to produce weekly short informative videos on popular Timeshare topics!

    Free memberships for every 50 subscribers!

    Visit TUG on Youtube!
  • TUG has now saved timeshare owners more than $21,000,000 dollars just by finding us in time to rescind a new Timeshare purchase! A truly incredible milestone!

    Read more here: TUG saves owners more than $21 Million dollars
  • Sign up to get the TUG Newsletter for free!

    60,000+ subscribing owners! A weekly recap of the best Timeshare resort reviews and the most popular topics discussed by owners!
  • Our official "end my sales presentation early" T-shirts are available again! Also come with the option for a free membership extension with purchase to offset the cost!

    All T-shirt options here!
  • A few of the most common links here on the forums for newbies and guests!

Security deposit

AnnaO

TUG Review Crew
TUG Member
Joined
Sep 10, 2006
Messages
122
Reaction score
6
Points
378
Location
St Petersburg, FL
Resorts Owned
Powder Ridge Village
When you rent out your units, do you always ask for security deposit? Has anyone even been in a situation when you had to use those funds? The resort asks the renter for a credit card for incidentals, right? Wouldn't that be used to cover any damages?
 

gorevs9

TUG Member
Joined
Mar 18, 2008
Messages
760
Reaction score
0
Points
16
Location
Rhode Island
When you rent out your units, do you always ask for security deposit? Has anyone even been in a situation when you had to use those funds? The resort asks the renter for a credit card for incidentals, right? Wouldn't that be used to cover any damages?
It would, but if for some reason the resort cannot collect from the renter (i.e renter disputes the charge), the resort can and will go after the owner for damages.
 

vkhome

TUG Member
Joined
Jun 10, 2005
Messages
311
Reaction score
0
Points
16
Location
Hilton Head Island, SC
I recently increased my required security deposit from $100 to $250 (some folks charge as much as $400). And yes, unfortunately, I have had to use those funds (which is why I increased). Most guests are fine, but every now and then you can get
the renter from h_ _ _ .
I have had no opposition from renters to paying security. The credit card security is actually tough to collect because a card holder can deny the chargers and the company typically backs the card holder.
.
 

Kola

TUG Member
Joined
Jul 4, 2005
Messages
1,335
Reaction score
1
Points
36
I have had no opposition from renters to paying security. The credit card security is actually tough to collect because a card holder can deny the chargers and the company typically backs the card holder.
.

That's the point I am wondering about. If credit card "security" provides no real security why don't you require some other form of payment ? My second question is what steps do you (and others) take to verify if its OK to refund a security deposit ?

K.
 

vkhome

TUG Member
Joined
Jun 10, 2005
Messages
311
Reaction score
0
Points
16
Location
Hilton Head Island, SC
I have a property manager who inspects before and after a renter's stay. I obviously pay for that service, but it is well worth it. If there are problems, they are itemized and I either keep all the deposit or what is needed to cover the damage. I also have a clause in my contract requiring the renter to pay for any damage above and beyond what security deposit would cover. But to recover this, you would have to go to small claims court which may or may not be worth the hassle depending upon the damage. Only once did I encounter that bad a problem and I actually posted about it on TUG last summer. I never did recover all the funds needed to rectify the situation, but it was from that incident that I learned to increase my security from $100 to $250. Hopefully, that will be sufficient.

If you a renting out a timeshare week, it would be a very different situation. When I rent out my TS, I do not collect security - the TS management takes care of all that at the time of their check-in and I have nothing to do with that.
Hope this helps to answer some of your questions.
 

Robert D

TUG Review Crew
TUG Member
Joined
Jul 31, 2006
Messages
1,912
Reaction score
100
Points
424
Location
Austin, TX
All of the TS's I rent are set up like a hotel where the renter has to check in at a front desk and have their credit card swiped at check in time to cover any incidental charges or damages. So, I've never gotten a security deposit and never had any problem. I do collect half of the rent upfront when they confirm they want the unit and the balance within 10 days after I transfer the reservation into the renter's name which occurs very quickly.
 

DeniseM

Moderator
Joined
Jun 6, 2005
Messages
57,603
Reaction score
8,992
Points
1,849
Resorts Owned
WKORV, WKV, 2-SDO, 4-Kauai Beach Villas, Island Park Village (Yellowstone), Hyatt High Sierra, Dolphin's Cove (Anaheim)
I think it is very rare for a renter to damage a timeshare. I've never seen it posted on TUG, so I just rely on their credit card to cover damages. In this economy, renting is getting harder, and I think adding an extra fee just makes it more likely that your TS won't rent.
 
Top