Timeshare

What are my consumer rights when concluding a timeshare agreement?

If you conclude a timeshare contract, you purchase the right to use a holiday apartment or home. You do not own the real estate in question. Usually, you have to pay an additional fee for services, maintenance, and administration. On this page, you can find all essential information regarding your consumer rights when concluding a timeshare agreement.

EU Regulation 2008/122/EG

In the EU, Norway and Iceland, timeshare agreements are subject to rules that protect you. These rules are outlined in European Regulation 2008/122/EG

Timeshare

    Have you ever considered concluding a timeshare contract? There are things that you need to keep in mind before signing on the dotted lines. Read on to learn about your rights when owning a timeshare.

  • Timeshare is the right to spend a period of time in in a property or to join a long-term holiday scheme or holiday club.

    The different types of timeshare property may include holiday homes, cruise boats, caravans or canal boats.

    Timeshare enables you to use one or more places of overnight accommodation under a timesharing scheme and is jointly owned or leased by multiple people.

    A long-term holiday product gives you certain discounts or benefits in respect of the property.

    A holiday club may give you access to reduced price holidays at the resorts which participate in its scheme.

    Long-term timeshare contracts that have a minimum contract period of more than one year can involve substantial long-term financial commitment. A timeshare product shall not be marketed or sold as an investment.

    #what-is-timeshare

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  • The timeshare directive protect consumers against unwanted contracts and regulates timeshare contracts, long-term holiday products, resale and exchange contracts. The directive is applicable to contracts concluded as of 23 February 2011 (or later in some EU countries) with a minimum contract duration of more than 1 year.

    The directive has been transposed into national law – which means that contracts concluded in the Canary Islands, for example, are governed by Spanish law.

    According to the directive, you have the following rights:

    • The right to information about the contents of the contract

    • A 14-day right of withdrawal (cooling-off period) — and the seller cannot require an advance payment from you after you have concluded or received the contract receipt of the contract.

    • The right to pay for long-term holiday products in annual instalments of equal value. Additionally, you have the right to terminate the contract without penalty after receiving a notification to pay the second instalment.

    #timeshare-directive

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  • If you conclude a timeshare contract with a duration of more than 1 year, you purchase a right to use a timeshare for a certain period during a specific time of the year — and the right is valid for a long period of time. Because of its long duration, the contract falls under the EU Timeshare Directive.

    Timeshare contracts can be concluded for holiday homes, flats, hotel rooms, caravans, mobile homes, and houseboats (among others), but also for long-term holiday products (such as club memberships), exchange contracts, and resale contracts.

    #long-term-timeshare-contracts

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  • f you sign a timeshare contract, you pay a one-time fixed amount for the use of a holiday accommodation. In addition, predictable and unpredictable costs will occur each year (e.g. taxes, maintenance and insurance).

    #timeshare-costs

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  • Long-term timeshare contracts or holiday products are difficult or impossible to terminate or resell, especially those concluded before February, 2011. If you want to get out of your contract, you will need individual advice on the rights and options available to you. Contact your local ECC for further assistance.

    Timeshare issues relating to the termination of contracts remain regulated by national laws of EU states.

    You are not protected against the insolvency of providers of timeshare contracts, holiday club memberships, or discount club memberships.

    #terminating-timeshare-contracts

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  • Short-term contracts include timeshare-like products such as holiday certificates, holiday vouchers, accommodation reservations, VIP certificates, and other, similar products. Often, the contract duration is 1 year or less. Therefore, the EU Timeshare Directive does not apply in such cases, and there is no cooling-off period.

    #short-term-timeshare-contracts

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  • A common complaint consumers have is that they can only access accommodations after paying the full price. Before they have done so, they cannot see which hotels are available for selection. As a result, many consumers have found that the accommodation of their choice was not available in the desired period — or, worse, not at all — after making a payment.

    Furthermore, keep in mind that this type of holiday is not always overpriced, but it is not necessarily a bargain, either.

    Some companies use dubious methods to pressure consumers into concluding a contract, particularly when it comes to short-term contracts. Consumers often consider such methods a form of fraud.

    #common-timeshare-complaints

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  • Countless consumers have been scammed by dubious timeshare providers. Scams nearly always involve scratch cards, ‘grand prizes,’ free taxi rides, or sales pitches that last several hours.

    Did one of these things cross your path? Don't sign the contract or pay a deposit!

    #common-timeshare-scams

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Where can I get assistance and advice?

The European Consumer Centres Network provides free legal advice and support on cross-border purchasing issues. It can also help consumers deal with disputes relating to travelling in the EU, Norway, and Iceland. If you have tried to resolve a dispute with a business to no avail, click here to contact your local ECC and submit an enquiry.

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