What is Timeshare Cancellation?

What is Timeshare Cancellation? 

Timeshare cancellation is the process of legally and permanently getting out of a timeshare contract through negotiations, disputes, or a remediation process.

Why is Timeshare Cancellation Important?

Simply put: timeshare owners often need assistance to get out of unwanted timeshare contracts.

And unlike other methods of getting out from a timeshare contract (like selling a timeshare or giving it away), timeshare cancellation is typically guaranteed by a third-party company that specializes in terminating timeshare contracts.

Unlike attempting to sell a timeshare, timeshare cancellation comes with a guaranteed timeline and often is completed within a two-year period.

This is why, according to the FTC, timeshare owners should use caution before working with a timeshare resale company.

How to find a legitimate timeshare cancellation company

Now that we know selling a timeshare is next to impossible and likely a bad idea. How do you find a good timeshare cancellation company? The best timeshare exit companies will offer:

1. Standardized Pricing - The cost to cancel your timeshare should be based on the number of timeshares being cancelled and this pricing should be available on the company's website.
2. BBB Accreditation - The best companies will be A+ Rated and Accredited with the Better Business Bureau.
3. Check the location - Legit exit companies will have an actual office that you can visit (not to be confused with a virtual office).
4. Don't Get Greedy - If it sounds too good to be true, then it likely is. Have reasonable expectations and look for red flags if it sounds too good to be true.
5. Shop around - find the best fit for you and your family. There's no rush, so take your time.

‍Best Practices

Also, the best thing to make sure you are successful before starting your journey to cancel your timeshare is making sure that you are ready to cancel it. Sometimes people dip their toes in the water but soon find themselves way over their head.

Unlike buying a timeshare, getting out of a timeshare usually cannot be stopped once it's started.

Usually, there is not a rescission period for you to change your mind, and oftentimes there is no way for the Timeshare Cancellation Company to stop the process of cancelling the timeshare.

Therefore it is imperative that you decide to cancel your timeshare completely before hiring a third party.

This may sound like common sense, but sometimes we can be fickle when making a big decision (and sometimes companies may pressure you to hire them and start right away - but remember to take your time).

How Much You'll Save vs. How Much It Costs

A lot of timeshare owners want to know "How much it costs to cancel a timeshare?" compared to how much they'll save.

Do the math.

1. Calculate how much you will continue to spend on your timeshare (usually a ten-year outlook will suffice)
2. Subtract the cost to cancel your timeshare

This will give you your net savings. If your calculation didn’t yield financial savings, then it may not make sense to cancel your timeshare (also check the math to make sure you didn't make a mistake).

If you need help seeing how to calculate your timeshare costs, check out our timeshare cost calculator.

There is no one size fits all approach to getting out of a timeshare contract, but the biggest piece of advice we can give is to take your time, do your research, and ensure you're ready to get out permanently.