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Escrow for Timeshare Cancellation
For many timeshare owners looking to cancel their contracts, the process can be daunting and full of uncertainty. It can be difficult to know who to trust, and it’s especially tough when there are so many scams out there.
Luckily, there is a way to remove some of this uncertainty. You can protect yourself by hiring a company that handles payments through escrow. An escrow company will hold onto your payment until the timeshare cancellation is complete. This removes much of the risk from the process since you don’t have to give them any upfront money until your timeshare has been cancelled.
Here’s why you should choose an escrow company for your timeshare cancellation:
Why Escrow may be Essential for You
Escrow can be essential for you when searching for a timeshare exit company. Escrow is when a third-party company holds onto your payment while the timeshare exit process is occurring. If all is successful as promised, the escrow company releases your funds to the timeshare exit company.
Escrow eliminates any doubts a timeshare owner may have when they are looking to exit their contract. With escrow, you still are paying fees, but to a third-party company. This helps protect not only the customer, but the company as well. If the exit company fails to hold its end of the bargain, the company will lose it’s reputation. And its ranking will be affected on the Better Business Bureau and on MyTER. A bad reputation leads to bad business for the company so most will not allow a bad review to go unchecked unless they take immediate steps to correct the mistake.
Escrow or 100% Money-Back Guarantee
Escrow is an extra layer of protection compared to a 100% money-back guarantee. A 100% money-back guarantee may be right for you if the company you are evaluating has been in business for quite a while and has ethical business practices. Do not eliminate timeshare exit companies that provide a 100% money-back guarantee; these companies could be far cheaper than a company that offers escrow.
Many timeshare exit companies boast about their 100% money-back guarantee. If the company goes out of business, or if they file bankruptcy, will they still refund you your money? The answer is, unfortunately, no. Since escrow is when a third-party company holds on to your money while the timeshare exit company is performing the service, it gives you peace of mind.
A recent example of a company that boasted about its reputation was Resort Release. On the Better Business Bureau website, many clients are complaining about being out of thousands of dollars. Resort Release filed for bankruptcy, in this situation, the customers are out of luck and still own their timeshare. Our team recommends companies that provide an escrow option, so you have an extra layer of protection from scams.
When is Escrow a Good Choice?
Escrow is valuable when there are exceptionally enormous amounts of fees involved. On account of a timesahre exit, fees can range anywhere from $3,000 to $10,000, depending on the complexity of your situation.
Escrow can act like a life insurance plan for your timeshare funds. It gives you a safety net and a guarantee that if anything goes wrong during your timeshare exit, you will receive a full refund. This can be useful when the customer wants to assess the nature of work of the company they hired. In the event that a purchaser decides the work was not finished agreeable to them, they can haggle with the timeshare exit company, examining what else should be finished before any more money is discussed.
Escrow can be used when a company promises the completion of specific tasks, such as following up with resort representatives and submitting the proper documentation. If an escrow company has not heard back from the company after a certain amount of days, they will contact the buyer to let them know about the status. In addition, an escrow company keeps track of the deadlines and ensures they work within the specified time. This makes the process more efficient and provides customers peace of mind.
Escrow may sound like a better option, but most timeshare exit companies typically don’t like to mention they have an escrow option. Going through the escrow route can be expensive because when a third-party company comes in the picture, the timeshare exit fee increases.
Most timeshare exit companies, on average, take around 8-12 months to cancel your contract, and if a company essentially has to wait 8-12 months to get paid, they tend to charge a higher fee for their escrow customers. That being said, it’s fine to go with a company that provides escrow because you can take comfort in knowing that you’re covered if anything goes wrong during the process.
If a company has positive business practices and has been in business for over 5+ years with positive ratings, it makes sense to go the cheaper route with a 100% money-back guarantee. But is that always the best route to take? Some people want a little extra protection by going with a company that is more expensive but has a proven track record of success. That peace of mind is worth it to some. It comes down to what you feel most comfortable with.
Ultimately, our team at MyTER recommends working with legitimate timeshare exit companies that offer escrow because the company does not get paid until the service is completed as promised. There are very few companies that honor their 100% money-back guarantee, and these companies typically have secure financial assets. But why take the risk when there are reputable companies that you can trust that offer escrow? Trust is the key!
We help timeshare owners find the best timeshare exit company for their situation. Read over our website and fill out the form on the right or contact us through Live Chat for a free personalized consultation. Our team recommends working with legitimate timeshare exit companies that offer a no-up-front fee escrow option.
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