posted 29th May 2024
We have been helping the victims of timeshare fraud for over ten years. Over that period, we have seen timeshare scams become even more sophisticated and, unfortunately, the number of people falling for them, sharply increase.
The most prevalent day-to-day scam that affects thousands of UK consumers every year is timeshare exit and timeshare claims fraud. These scams happen when past and present timeshare owners are cold-called and offered services to cancel their timeshares through a third party or claim compensation against the timeshare resort.
What's even more alarming is that 'legitimate' timeshare exit companies, seemingly operating within the law, have found ways to disguise their obviously fraudulent activities.
Understanding how and why thousands of consumers keep falling for these scams led us to write this article. In some small way, we hope that the content of this publication will give a broader understanding of the emotional and cognitive behaviours involved in a timeshare scam and, in turn, educate potential victims on how to avoid falling for them.
What is Stockholm Syndrome?
Stockholm syndrome is a psychological phenomenon where victims develop a psychological bond with their captors, abusers, scammers. In the context of timeshare scams, victims experience a level of psychological manipulation. Scammers employ various tactics, often over an extended period, to create emotional dependence and control over their victims. They begin by building rapport during the grooming stage, often portraying themselves as friend and professionals they can trust.
Gradually, they enforce emotional control exploiting vulnerabilities and engendering an intense emotional dependency. Victims find themselves isolated, their sense of reality distorted by the fraudulent relationship.
How does this relate to timeshare fraud?
If you are a timeshare owner reading this article, you are likely familiar with the emotional manipulation that occurs at the start of a timeshare sales presentation or Zoom call.
The sales rep/scammer will share personal stories, aiming to establish a sense of trust and commonality. This initial stage is designed to create an emotional bond with their potential victim, setting the stage for their later exploitation.
The emotional manipulation pedalled by timeshare scammers is backed up by a story (fairy tale) that consists of either a 'carrot' or 'stick'. More often than not, the sticks are scare tactics designed to intimidate and worry victims about the consequences of not acting upon their advice. The 'carrot' tactic used by timeshare scammers is to lead victims to believe that they are entitled to compensation.
Regardless of the story you are pitched, even from what you perceive to be a reputable company, the ending to the story is always the same. You are asked to pay upfront fees for a speculative service delivered by a salesman who based his/her presentation on using your worst fears, best hopes, lies, and false marketing material to extract your money to line their back pockets whilst pretending to be your friend and ally.
Stockholm Syndrome is most commonly used in Romance Scams. It is quite possible that the same scammers are involved with both types of fraud.
Vulnerable and Susceptible Victims
The vast majority of timeshare owners who fall victim to timeshare scams are older and vulnerable people who are more trusting by nature and are easily influenced by scare tactics. This, along with propaganda, lack of education, and lack of regulation, has also meant that thousands of younger victims have also fallen for timeshare compensation scams. This systemic fraud is in direct relation to the lack of oversight and regulation within the timeshare industry. One of the main culprits is the Financial Ombudsman Service. The eight-year delay in producing substantive decisions for British consumers has left a huge vacuum that criminals have taken full advantage of.
It is too late to change what has happened to thousands of timeshare victims across the country, but it isn't too late to help put things right. The perfect storm of unregulated timeshare sales and lack of enforcement by the authorities has led to where we are today.
If you or a family member is a victim of timeshare fraud or is looking for the best and safest way to exit their timeshare contract, get in touch. Our advice and guidance is free of charge and our exit and claim services are without the payment of any upfront fees.
