If you’re reading this, chances are you sat through one of those “free weekend getaway” presentations, only to walk out thousands of dollars in debt with a timeshare contract you never really wanted.
And now, reality has set in: You’re stuck. The fees keep rising, you can’t use it when you want to, and selling it? Forget about it.
But here’s the thing: The timeshare industry doesn’t want you to know that you CAN get out. Yes, it’s tough. Yes, they’ll fight you on it. But there are ways to escape the financial trap—if you act fast and know what you’re doing.
Let’s talk about the loopholes that can help you break free from your timeshare nightmare.
Why Timeshare Companies Want You to Think You’re Stuck
The timeshare industry is a $10 billion business, and they don’t make that kind of money by making it easy for people to leave.
When you signed up, they used high-pressure sales tactics, painting a picture of luxury vacations with “low” payments. But what they don’t tell you?
- Your maintenance fees will rise every year, no matter what.
- That “dream vacation” is almost impossible to book.
- Trying to resell it is like trying to sell a pet rock at a yard sale—nobody wants it.
The good news? There are ways out. And some of them are a lot easier than you think.
The Loophole: The Rescission Period (Your Get-Out-Free Card!)
The absolute easiest way to cancel a timeshare is during the rescission period—a short window (usually 3-10 days, depending on the state) where you can legally back out.
How to Cancel During the Rescission Period
- Find the deadline – Look in your contract or check state laws. If you’re still within the window, move fast!
- Write a formal cancellation letter – Be direct. No fluff. Clearly state that you are canceling and expect confirmation.
- Send it the right way – Certified mail with return receipt requested. No emails, no phone calls. Get it in writing.
- Follow up – Don’t assume they’ll process it quickly. Stay on top of it.
If you’re still within this period, you’re golden—but most people don’t realize they’ve passed the deadline until it’s too late.
Beyond Rescission: How to Get Out Even After the Deadline
What if you’re way past the rescission period? That’s where things get trickier—but it’s still possible.
1. Contract Violations & Misrepresentation
Many timeshare companies bend the truth (or flat-out lie) to close a sale. If you were:
- Told you were making an “investment” (timeshares are NOT investments).
- Misled about fees, availability, or resale value.
- Pressured into signing without enough time to read the contract.
You may have a legal way out. Some people have successfully canceled their timeshare and/or recovered large down payments on branded credit cards they were signed up for during the purchase after filing complaints with the Consumer Financial Protection Bureau (CFPB), the Federal Trade Commission (FTC), or their state attorney general.
2. The “Deed-Back” or Surrender Option
Some timeshare companies offer a deed-back program, but they don’t advertise it because they’d rather keep collecting your fees.
- Call the company and ask if they have a formal exit program.
- If they do, get everything in writing—no verbal promises!
Be aware that you could be added to a list of other owners with no specific date for when your timeshare will be taken back. There may also be additional fees outside of standard annual dues ranging from a few hundred to a few thousand dollars.
3. Using a Law Firm or Attorney-Based Solution to Assist with Your Timeshare Contract Cancellation
If the timeshare company refuses to budge, you might need legal muscle. A lawyer who specializes in timeshares may be able to:
- Prove misrepresentation and get the developer to cancel your timeshare contract.
- Negotiate settlement terms for release.
- File legal action if they violated consumer protection laws.
If you go this route, choose a lawyer with timeshare experience—not just a general attorney. An attorney-based timeshare exit firm can oftentimes provide a lower negotiated fee at a flat rate due to handling timeshare owner files in volume. You can expect to pay $350 – $500 per hour if you hire an experienced attorney directly and will likely have an open ended bill.
The Drawn-Out Strategy: Default & Foreclosure
If all else fails, some owners simply stop paying and let the timeshare go into default.
What Happens If You Default?
- Collections Start – The timeshare company will call, send letters, and try to scare you into paying. They may also involve a third-party collection agency to collect.
- Credit Damage – Your credit score will take a hit, but how much depends on the multiple factors.
- Possible Lawsuit – Some companies take legal action, but others don’t want the hassle.
- Foreclosure – Eventually, the timeshare company may foreclose, which removes you from the obligation but can hurt your credit for 7 years. Some timeshare developers have obtained judgements against the defaulted timeshare owners through a judicial foreclosure process.
Is It Worth It?
For some, defaulting is the only option. Yes, it can hurt your credit, but for many, it’s better than being financially trapped forever, stuck paying annual maintenance fees and other costs with no way out.
But defaulting isn’t a decision to take lightly—it can have long-lasting effects. However, if you decide to go this route, it’s important to hire an experienced firm to help guide you through the process. They can help you navigate the complexities, reduce the potential fallout, and may even be able to obtain a better outcome for you and your family.
Experienced timeshare exit firms often have vetted resource referral solutions for owners to challenge derogatory credit marks that may come from your default. They may also be able to assist with connecting you to vetted resources for lending needs down the road, ensuring that you can still rebuild your financial life after making a tough decision.
If you have to default, make sure you have a professional team that has your interest in mind. It could make all the difference in your financial future.
How to Navigate the Industry for a Viable Solution
Now, before you jump at the first company that promises to “cancel your timeshare,” watch out for companies that overpromise and underdeliver or may be a flat out scam.
Avoid Timeshare Resale & Inexperienced Exit Companies
- Poor online reputation – numerous bad reviews or complaints. Don’t be fooled by fake seeded reviews on one review platform, oftentimes done on Trust Pilot. Check across all major review platforms unrelated to the industry. Timeshare Exit Company Review sites are only there to sell your personal information to anyone willing to pay – steer clear of these sites.
- Not accredited with the BBB – If they’re legit, they’ll have BBB accreditation and a strong rating.
- Lack of operational experience – Newer companies with little track record are risky and oftentimes go out of business due to the lack of knowledge or experience. This causes a further loss to those timeshare owners that paid them.
- Too good to be true promises – No company can guarantee a specific outcome, like guaranteeing a refund from your timeshare or offering “credit protection”. If they say they can make these guarantees, they’re lying.
- Resale companies charging an upfront fee to advertise your timeshare – Timeshare resale is not a viable option for most owners, and these companies often take your money without delivering on expected results.
How to Find a Legitimate Exit Company
- Look for firms with a long, successful history in timeshare exits.
- Check their BBB rating and customer reviews.
- Understand the agreement you are signing for timeshare exit services.
Final Thoughts: Take Action NOW
Timeshare companies want you to feel stuck. But the truth is, there’s almost always a way out—you just have to be smart, act fast, and avoid underperforming companies.
Your Action Plan:
✅ If you’re still in the rescission period, CANCEL NOW.
✅ If not, consult with an experienced timeshare cancellation firm, check for deed-back programs, or explore alternative legal options.
✅ If needed, consider defaulting—but consult with an experienced company first.
✅ Hire an experienced timeshare exit company providing an attorney-based process.
The sooner you act, the better your chances of breaking free. You don’t have to let a bad financial decision control your future. Take back your money, your peace of mind, and your vacations—on your own terms!
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