How to Avoid Falling Victim to Third-Party Exit Fraud

Be selective about sharing your personal information online and over the phone Image by Pickawood/Unsplash

Four red flags that indicate you’re the target of a scam

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These days, a growing number of companies promise timeshare owners an easy way out of their vacation ownership, or the option to earn extra income on unused benefits. These third parties claim to be able to help customers rent, sell or advertise their timeshare and exchange benefits — often for a hefty upfront fee. At the end of the day, however, such offers are often fraudulent, leaving owners hundreds to thousands of dollars out of pocket and in some cases forcing them into foreclosure. To help you enjoy your vacation ownership with maximum peace of mind, we’ve outlined four red flags to look out for:

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You’ve received a pre-recorded sales message

At Hilton Grand Vacations, we do not leave pre-recorded sales messages. Instead, all of our promotional calls are made live by our Team Members. If you receive a pre-recorded sales message, it is likely a fraudulent offer. Ultimately, if something looks or sounds different from the communications you are used to receiving from HGV, it is likely not from us.

If you suspect you’re being targeted by a scam company, complete HGV’s incident intake form and email it to us at privacy.matters@hgvc.com. Additionally, file a complaint with the Attorney General’s office in the state where you reside. You can also file a report in the state where the caller is located, if you have that information. To locate your state AG’s contact information, click here.

The salesperson is asking for personal information

When Member Merwyn O. from Las Vegas received a call from a fraudulent salesman in September 2019, he was asked to share personal information over the phone. “The salesman put me on hold, and another person came on to take my credit card details,” he recalls. Requests for personal information that should already be on record are a strong indication of a scam. If you speak with someone on the phone, do not disclose any personal details. Instead, jot down the caller’s name, company, phone number and website, and report these to HGV by completing our incident intake form.

You’re instructed to pay upfront fees

This is perhaps the most obvious sign that you’re being targeted by a fraudulent company. More often than not, scammers pocket these upfront fees only to disappear without a trace shortly after, or apply stall tactics in the hope that you will eventually give up. Note that there should never be upfront fees associated with selling or advertising your timeshare property — administrative costs or commission fees are usually taken out of any proceeds at closing. In Merwyn’s case, the salesman said that for an upfront fee of $2,400, his HGV property would be advertised as a conference space to large corporations such as Expedia and Coca-Cola. In return, he would be paid $1,600 for each rental over five years. “Thankfully, they did pay me back. I was so relieved it was over, but I read in forums that other people get ripped off all the time and don’t get their money back,” says Merwyn.

The offer sounds too good to be true

Ultimately, always be vigilant when receiving unsolicited communications offering to sell, rent or advertise your timeshare; eliminate your maintenance fees; transfer ownership; cancel your contract or activate new benefits. When in doubt, do not engage. As Merwyn advises, “if it sounds too good to be true, believe that it is!”