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Consumer Alerts News

Timeshare Consumer Alert - Equity Secure

We have been made aware that timeshare owners are making complaints that they are receiving unsolicited phone calls from Equity Secure, a company that operates using a website but does not appear to have office in the UK.

This firm purports to secure ‘equity release from your timeshare commitments' and owners are informed that the law is to change in January next year, which will result in a doubling of their maintenance fees.

There is no truth whatsoever in this statement and owners should be on their guard about this claim, scare tactics to persuade people to pay a fee to sign up for their service.

So what changes will there be to timeshare laws next year? In February 2011, a new Directive comes in to force that provides timeshare buyers with additional levels of protection, namely a 14 day cooling off period and a ban on deposits. This law does not extend to maintenance fees and claims that these are to double are totally unfounded.

RDO is, further, extremely concerned that Equity Secure, which has links to Travel Connect Ltd and Connections 6, is offering to recover up to £12,000 on behalf of timeshare owners. RDO does not endorse this type of ‘cashback’ scheme and is doubtful that owners would receive their money.

Post date: Thursday, 19 Aug 2010

Consumer Alert – Holiday Club Cashback Scam

If you have a cashback certificate, don't fall victim to scam that has recently come to our attention.

We've been told that members of the public who purchased a holiday club membership that included a cashback offer are now receiving calls from a separate company to inform them that their cashback certificate has not been correctly registered. As a result, they are invited overseas - usually Spain or the Canaries - to find ways around the problem and this is where, at their most vulnerable, people tend to be pressured into making decisions they later regret.

Post date: Tuesday, 3 Aug 2010

Consumer Alert: United Wealth Management Singapore

It has been brought to the attention of RDO [Resort Development Organisation] that a Singapore based company called United Wealth Management may be informing timeshare owners during presentations that the company is registered with RDO.

United Wealth Management is not associated with RDO in any way and is not authorised to act on its behalf. Members of the public should be on their guard if contacted by this company and are advised to take legal advice before parting with any money.

Timeshare owners who are asked to pay a sum of money to a company that promises to recuperate monies lost elsewhere - for example a deposit paid to a sales company that has closed down or a registration fee paid to a resale company - should be extremely wary as this frequently results in a further loss.

If you are told that the company is registered with RDO, check our website as it contains an up-to-date list of members, all of which sign up to a code of conduct. Go to www.rdo.org for further information.

Post date: Wednesday, 28 Jul 2010

Are You a Timeshare Owner Who Has Been Defrauded?

Timeshare owners who have been defrauded by Resale Firms*, Holiday Clubs, Cash Back Schemes, Class Actions, Fly Buys*, etc. should contact RDO’s Enforcement team on enforcement@rdo.org as soon as possible.

The Enforcement team requires a detailed written summary of the case (including dates, name of the company, an outline of what the offer included and details of payments made), and a copy of all the documents related to the case ie the contract - which should include details of the services included - and all other available documents such as faxes, e-mails, and proof of payments made (credit card slips or bank statements).

Post date: Tuesday, 13 Jul 2010

Timeshare Consumer Alert: Police Make Arrest in Spain: Benedetti & Asociados

The police in Spain have arrested a person behind fraudulent timeshare resale company Benedetti & Asociados. This company, which operated from offices on the Costa Del Sol, targeted Spanish timeshare owners and RDO has received a number of complaints about its activities this year. The arrest follows a report that RDO’s enforcement team sent to the police in Marbella.

RDO has established that Benedetti and Asociados SA was in fact a company that was dissolved in 1989 and this company was using its name. Timeshare owners were told that a corporate buyer was lined up and that they had to pay an upfront fee of €499. The sales failed to take place and the timeshare owners lost their money.

Members of the public who believe they may have been defrauded by this company should contact RDO's enforcement team on enforcement@rdo.org

Post date: Thursday, 8 Jul 2010

The Truth Behind Timeshare Class Actions - RDO Lifts the Lid on Dubious Schemes

You've seen an advertisement or had a call out of the blue - something in itself to be wary of as your details have probably been obtained through a stolen database - and are now considering whether to join a class action against your resort developer or even exchange company.

So what's the reality behind these schemes; is this just another scam, a way of obtaining money from timeshare owners under false pretences?

From evidence collected by RDO's enforcement team, headed up by a former Spanish police inspector, it is becoming increasingly apparent that the majority of these schemes are bogus, their primary goal being to have people sign up to expensive Holiday Clubs, something that is never made clear in their initial contact with timeshare owners. This is a classic ' bait and switch ' tactic, something that is illegal under laws adopted in the UK in 2008.

Post date: Monday, 5 Jul 2010

Holiday Companies Wound Up as Part of Investigation into Fraud

Between 2007 and 2009 the Spanish police and other enforcement agencies such as Trading Standards in the UK stepped up their efforts to tackle companies that were defrauding timeshare owners and the general public at large. This has resulted in the closure of almost 60 companies, some of which were wound up by the authorities and others ceased trading of their own accord, frequently due to pressure as a result of investigations that were being carried out. The list below details companies that have closed since 2007 and will be updated regularly.

Post date: Sunday, 20 Jun 2010

An Official Response from RDO (Resort Development Organisation) to the Press Release of 15 June “Timeshare Industry in Spain is set to collapse”

Contrary to the statement made by Claims Directive, a company located in Arguineguín Gran Canaria that claims to represent timeshare owners’ interests, the timeshare industry both in Spain, the rest of Europe and USA as well as other international territories is extremely robust.

Some of the world’s biggest hotel brands operate within the timeshare industry, such as Hilton, Marriott, Wyndham, Disney and Four Seasons. Timeshare owners recently reported high levels of satisfaction with their timeshare – 87% overall were “satisfied or extremely satisfied” according to a report by The Christel DeHaan Tourism and Travel Research Institute at the Nottingham University Business School.

The survey also reveals that there are 1.5 million owners in Europe, 48% of whom own in Spain, where there are 345 resorts. Furthermore, €3.2 billion was generated by the industry in 2007 alone, €957 million of which came from timeshare sales.

Post date: Tuesday, 15 Jun 2010

Consumer Alert: River Marketing Limited Singapore

It has been brought to our attention that a Singapore based company called River Marketing Limited is including the RDO (Resort Development Organisation) logo on correspondence sent to consumers.

This company does not have permission to use the logo and has not applied, not been accepted, for membership of RDO.

RDO vets the credentials of potential applicants carefully so that it can be confident that it represents the highest standards within the industry and takes any reported abuse of its logo very seriously.

Members of the public should be on their guard if contacted by companies they are not familiar with and are advised to take legal advice before parting with any money.

Post date: Thursday, 15 Apr 2010

RDO Turns Up the Heat on Resale and Holiday Club Fraudsters

As part on an ongoing campaign to help stamp out fraudulent practices targeted at timeshare owners, RDO (Resort Development Organisation), the trade body for timeshare and fractional ownership, is calling for consumers to come forward with their complaints.

Of particular interest are complaints from people who have been invited to a presentation either to discuss ways in which to dispose of their timeshare or to join a class action scheme, but are then persuaded to sign up to membership of a holiday club of which they had no former knowledge. A deposit is frequently taken and if no cooling off period is provided, which is frequently the case, consumers may lose significant sums of money.

Post date: Thursday, 25 Mar 2010

If You Think You Have Been Defrauded, Read On.

If you have been invited to a presentation to discuss ways in which to dispose of your timeshare/ points or to join a class action scheme against your resort developer but then signed up for membership of a holiday club, we would like to hear from you.

Post date: Thursday, 4 Mar 2010

OFT Launches 'Scamnesty' - Scams Awareness Month

The OFT and Trading Standards have launched a campaign to raise awareness of scams by encouraging people to drop scam mail they have received into ‘Scamnesty’ bins located at public places around the country between the 1-26th February 2010.

It is also possible to report bogus web sites, telephone calls, emails or even text messages through the Consumer Direct website. This has an online function for consumers to log/ forward scam emails and websites.

Post date: Friday, 5 Feb 2010

Timeshare Consumer News Alert: Resale Agent World Axial Asia

It has been brought to RDO's [The Resort Development Organisation's] attention that a Singapore based resale company called World Axial Asia may be telephoning timeshare owners, informing them that they are representatives of RDO.

This company is not associated with RDO in any way and is not authorised to act on its behalf. Members of the public should be on their guard if contacted by this company and are advised to take legal advice before parting with any money.

Timeshare owners wishing to sell should be very wary of cold calls from resale agents. Many take large upfront fees - frequently tempting sellers by promising a high price for their timeshare - and more often than not the seller is left out of pocket after the sale fails to take place.

For details of RDO resale agents, all of which sign up to a code of conduct that prohibits the taking of upfront registration fees, go to www.rdo.org

Post date: Friday, 18 Dec 2009

BBC Rip Off Britain - Holiday Clubs

In today’s BBC1 Rip off Britain programme, presented by TV personalities Jennie Bond, Gloria Hunniford and Angela Rippon, the problems of signing up to bogus holiday clubs were highlighted. It was reported that these clubs promise luxury breaks at bargain prices but all too often leave their members out of pocket and thoroughly fed up.

Post date: Friday, 4 Dec 2009

Major Police Operation in Spain – 22 arrested in Alleged Resale Fraud

RDO (the Resort Development Organisation) can report that the police in Spain have arrested 22 people following an investigation - which RDO contributed towards - into alleged resale and notary/lawyer fraud in Malaga and Tenerife. The resale company, which has not been named by the police, reportedly took upfront payments from owners for the fictitious sale of their timeshare. Some timeshare owners were then contacted again by members of the same network, inviting them to use the services of a lawyer to recoup the money that they had lost.

During the searches, which took place at 11 properties, officers found lists of owners and written instructions for telephone conversations to potential ‘victims’.

Members of the public who think they may have been defrauded by this company should contact RDO’s enforcement team on info@rdo.org or their local Trading Standards office.

Post date: Tuesday, 24 Nov 2009

Consumer alert – Owners Action, ITRA and Bridge View Consultants Ltd

Consumer Alert published by RDO in relation to ITRA, Owners Action and Bridge View Consultants Limited.

Post date: Wednesday, 28 Oct 2009

Consumer alert - Visions Solution and Services Pte Ltd

It has been brought to our attention that a Singapore based company called Visions Solution and Services Pte Ltd is making verbal claims to timeshare owners that they are an authorized agent of RDO (Resort Development Organisation).

This company is not associated with RDO in any way and is not authorized to act on its behalf. Members of the public should be on their guard if contacted by this company and are advised to take legal advice before parting with any money.

Post date: Monday, 26 Oct 2009

Consumer Alert: Holiday Group Sales Ltd

Members of the public should be on their guard if contacted by a UK based resale company called Holiday Group Sales Ltd.

By using the OTE logo, the company is inferring that it is a member of OTE (now called RDO) the European trade body for timeshare, whose members sign up to a code of ethics that protects consumers’ rights. This company is not, and never has been, an approved member of either OTE or RDO and is breaking the law by including the OTE/RDO logo on its documentation.

Post date: Monday, 17 Aug 2009

If Timeshare is So Good, - Why the Adverse Publicity?

For most of the world’s 6.7 million Timeshare owners, the purchase of a Timeshare unit represents a wise investment in their future holidays.

Post date: Friday, 31 Jul 2009

Timeshare Resale Scams Revealed - Beware of the Bogus Buyers

How often have you answered the phone to hear a bubbly voice saying they have a buyer for your Timeshare who is willing to pay a lot more for it than you did?

Post date: Friday, 24 Jul 2009

Consumer Alert - Incentive Leisure Group (UK)

The industry trade body for the vacation ownership industry, RDO (Resort Development Organisation), is advising consumers who have purchased a membership from the Incentive Leisure Group (UK) to check with their local Trading Standards office or their solicitor to establish whether they have been defrauded.

This advice follows a recent court case in the UK, brought by West Berkshire Trading Standards, during which the Incentive Leisure Group pleaded guilty to 11 counts of fraud. The offences admitted by the company concerned the likely value of the cashback scheme and claims that it was run by an independent lawyer.