Now that the UK have a promising vaccine available and ready to be distributed, the future for travel looks brighter. Timeshare resorts will now begin to re-open as millions of Brits are desperate for their well-deserved bit of sun. They have their 2021 allocation to use as well as their timeshare banked week due to the pandemic. However, will it be so simple to get accommodation?
Why were timeshare members offer a banked week?
When timeshare owners requested refunds during the pandemic, timeshare resorts offered banked weeks to keep their members happy. It sounded great for some owners, as it meant that they will not lose the money that they had spent. This also gave the timeshare companies the upper hand, as it kept timeshare owners from terminating their contracts and claiming compensation. It has now got to that time of the year to pay the next maintenance bill! This must be paid, and it will keep timeshare owners locked in for a further year as they are often led to believe that if they terminate their contract, they will lose their week. This is untrue in most cases.
How does the timeshare banked week work?
Timeshare owners were told that they could bank the week that they had lost, to use the following year or within 12 months. The timeshare owner would simply just take an extra holiday later down the line. Simple, everyone wins, right?
Problems with the timeshare banked week proposal
If the pandemic lasted just 14 days, this would have been possible. However, it lasted the best part of 2020. Besides the odd week here and there, where gaps appeared in travel restrictions, it was impossible for 90% of overseas timeshare owners to utilise their ownerships. Even during the small window of opportunity to travel, the bigger timeshare chains remained closed.
Now 2021 is approaching and timeshare owners are set to pay their next annual bill, everyone is looking forward to a year with double vacations! Here is where the problem lies. There is not enough availability to offer every timeshare and points owners double holidays.
Who will get to use their timeshare in 2021?
Before banked weeks become available the resorts will need to see what accommodation is available.
- Timeshare fixed weeks owners will confirm that they will be using their accommodation in 2021. Most timeshare resorts were fully sold out before the floating week and point system was invented.
- The point and floating week owners will have to race for the remaining accommodation. Failing to get the resort they want, they will more than likely, have no option but to buy into a holiday exchange network such as Interval International or RCI.
- Pure point owners will now get their pick of what’s available in the resort directory.
- Seeded point owners will get what is left.
The system will be possible, as 2020 has been a record year for timeshare owners exiting from their timeshares and claiming timeshare compensation. Fortunately for the timeshare owner this will free us some accommodation. But it is not all good, as the cost of maintenance will need to rise for the remaining owners to cover the running costs of the resort. But at least they should all get to use their 2021 allocation.
Now for the banked weeks!
Now that everyone has booked in their holidays for 2021. 80% – 90% of timeshare owners get to book reserve their banked week of accommodation! What accommodation is left? is there any?
Timeshare resorts have lost huge income during 2020 with more timeshare owners exiting than new members buying into the program. Many resorts have closed for good; the remaining ones need to make money to survive. In order to make money, they will need new potential customers through their doors. This will be done by either renting the remaining accommodation, if any, to guests for promotional holiday, or letting their owner members scramble to get their banked weeks.
How will timeshare owners be treated in 2021
You won’t need to be told what is likely to happen as you would have seen it all before, only this year will be much more pressurised. First, you are likely to be invited to a meeting to speak about why you could not use your banked week. You will know from experience that this is a common occurrence, to entice you into a 4-hour timeshare upsell presentation.
What if I don’t go to the presentation?
This depends on your resort. However, if they have not included in the small print, that a promotional meeting is mandatory during a banked week, door knocking could occur.
Expect timeshare reps to be doing their rounds, door knocking throughout your holiday and engaging with clients as you relax at your swimming pool.
Will I lose my holiday If I cancel my timeshare contract before I have taken the holiday?
This could depend on the resort. When terminating the contract, most timeshare claims, and termination lawyers would be able to set a date for the contact to end. If the chance of losing one holiday is keeping you locked in an unwanted timeshare contract, you will remain tied down in that contract, paying the ever-increasing maintenance bills for the duration of the contract. The maximum length of a timeshare contact in Europe is 49 years!!!
Speak to a specialist today and find out where you stand. Consultations are free and can be arranged by phone or video call. It is up to you what you do with the information that you receive, However, it is better to have the information and not need it, than it is to need it and not have it.
You could even be entitles to claim compensation. Use our free online compensation calculator to find out if you are entitled to claim back the money that you have spent on your timeshare.