Flight cancellations and lockdowns – timeshare maintenance fees still being charged
The Timeshare Consumer Association (TCA) is a body representing timeshare owners and campaigning for consumer rights in the timeshare sector. With lockdowns and travel restrictions in place around the world, many owners have been unable to use their timeshare holidays. However, maintenance fees have continued to be invoiced and paid, even where owners could not travel or access their accommodation.
The TCA has launched a campaign aiming to recover millions of pounds for timeshare owners, after raising concerns that resort companies are still taking fees for periods when holidays could not go ahead due to the pandemic shutdown. The situation has been particularly difficult for British timeshare owners, with reports that Spain was considering extending border restrictions until October. British travellers who are not resident, or who do not hold a green residency certificate, were advised not to attempt to enter the country.
This follows the Competition and Markets Authority (CMA) warning that firms which fail to refund customers for cancelled holidays, flights and associated activities (such as weddings) could face court action if they break the law.
But the Timeshare Consumer Association says timeshare owners may also be losing out by millions of pounds through continued timeshare maintenance fees during Covid-19 disruption.
To support the campaign, the TCA has created an online Maintenance Survey to gather key information from timeshare owners. In its words, this is “so that we can better understand the situation faced in relation to their maintenance fees with the objective to seek refunds for those affected.”
The organisation is asking owners to share whether maintenance has already been paid, and how much, for any period when no-one has been able to use their timeshare property now or in the future due to the Covid-19 outbreak. It also wants to know whether a holiday was cancelled; whether payment had already been made; whether a refund or credit note was offered for the missed week(s); and whether flights have been refunded.
“There are millions of pounds currently sat in timeshare developers’ pockets and their stance is to offer worthless promissory notes, similar to those being offered illegally by airlines and tour operators,” said a TCA spokesman, Charles Drummond-Moray. “We have cash rich timeshare companies invoicing for yearly maintenance costs and the poor timeshare owners get hammered again.
“The CMA has launched investigations into this flouting of the law but timeshare owners appear to have been ignored and individuals could be due thousands of pounds.”
On Thursday (April 30) the CMA (Consumer and Marketing Association) announced that four out of five complaints it received about the Covid-19 crisis related to cancellations of flights and holidays and the payment of refunds. The CMA said many holidaymakers were facing pressure from airlines and holiday companies to accept vouchers instead of refunds for travel and accommodation.
The CMA said consumer law requires a full refund if a contract to provide promised goods or services has been cancelled. This applies not only where no service is being provided because of Covid-19 restrictions during lockdown, but also where the consumer has to cancel because of the restrictions.
Are you due a refund on timeshare maintenance fees?
The Timeshare Advice Centre is supporting the work the TCA is doing and invites you to complete the survey, as we believe your voice should be heard. To take part, please visit www.timeshareconsumerassociation.org.uk and register.
Related links
This is a fast-moving topic and the TCA press release was picked up by several well-known media outlets, including the London Stock Exchange and Yahoo Finance. You can read more via the links below.
