Right of cancellation
Most states offer some period to ‘back out’ on a timeshare purchase contract. Doing so generally requires sending a certified letter to the timeshare company stating unequivicolly that you cancel the purchase. While often a hassle, backing out of a new timeshare purchase is generally the best course of action.
Always consult an attorney if you’re unsure about anything. $200 spent on an attorney is money well spent if it keeps you out of court.
Generally such requirements permit only a few days to cancel, so you may have to overnight express the cancellation, or fax it from a notary. It’s worth the $100 in postal or notarization service, considering the thousands you’ll waste on the timeshare.
Don’t send a letter without certified tracking. They’ll say they didn’t get it and you’ll have to waste thousands in court to fight that. Same goes for faxing from anywhere that isn’t notarized.
Do not call the company to cancel. If they talked you into buying the thing, they’ll talk you into keeping it. Even if you don’t call them, they will call you as soon as they see the cancellation and generally they’ll get nasty pretty quickly. Ignore the calls until the cancellation goes through. Don’t talk to them.
If the worst case scenario comes along, and you find yourself unable to sell because you’re too far upside down, one reader advises:
Simply stop paying. Let the bank take back their dumb timeshare, while you write off the money already spent on it as a lesson learned. Yes, it’ll hurt your credit and make buying a house impossible for the next seven years - but big whoop. I’d personally be willing to take a rather big hit to my credit before I worked years to pay off the $25,000 on a timeshare debt which I no longer want.
