Some of our earlier posts have discussed how people interested in renting a timeshare should go about the transaction to make it as safe as possible. In this post we will look at the transaction from the owner’s point of view and discuss one of the most common timeshare rental scams.

In the past we have discussed what a timeshare renter can do to make sure the transaction for the timeshare unit goes as smooth as possible. The owner should go to certain measures to ensure their safety as well. We always recommend that both parties sign a rental agreement contract. The contract should always outline the terms of the rental; the owner will also want to make sure that it contains a cancellation policy and a unit damage clause. The cancellation policy can vary from timeshare owner to owner; some will not allow cancellations while others will allow a cancellation within a certain time period. The damage clause will hold the renter responsible for any damages occurring during their stay. For example if a window is broken while someone else is staying in your unit you can be held responsible by the resort for replacing the window, if you have a signed contract by the renter you will have a course of action. Another term of a timeshare rental that is of interest to the owner is the deposit or down payment. Some owners require a deposit up front to reserve the unit in the renter’s name while others require the entire amount of the rental up front. If you are an owner and do not currently have a rental agreement contract you can download one from our site, all you need to do is to list your timeshare for rent on VTR.

Just like renters, owners should be leery of any deal that seems to be too good to be true. One of the scams I have heard owners talk about involves receiving an email from an interested renter saying they will pay the amount of rental plus an extra amount. In this scam the “renter” will send the owner a payment, most of the time in the form of a cashiers check, the total amount of the check will be above and beyond the price of the rental the scammer will then ask the owner to cash the check and wire them the funds above the rental price. The cashiers check will come back to the bank as a fake, however this can take a long period of time, long after the money from the owner has been sent to the scammer. As you can see this creates a huge problem for the owner who has already sent funds to the scammer thinking they have secured the funds in their account, however the owner will find themselves with a loss of money in the amount they have sent to the scammer.

If you are an owner and are contacted by someone you feel might be a scammer we recommend ceasing all communications with this individual. Have you had any experience with scammers while trying to rent out your timeshare? If so please share your experience and how you might have handled it. If you know of any other timeshare scams please share them as it may help someone else from falling victim.

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