What Is Timeshare Rescission Or Cooling Off Period?

So you were duped by a high-pressure sales presentation for timeshare and currently have serious regrets. Notorious for such deceptive sales pitch, many buyers turn in their contracts in just a matter of days only to find out that it’s already beyond rescission period. But what is timeshare rescission or cooling off period? Can it really make you get out of the timeshare rut? Are there special clauses or restrictions that come with a rescission period? Is your state covered?

 

 

Timeshare Rescission

 

Most, if not all, contracts basically have a “cooling off” period. In timeshare, this is aptly called rescission period. Standard definition will tell us that rescission period refers to that short period of time following actual date of signing the timeshare contract which allows consumers to cancel or rescind it for reason they deem best. It’s a small window for timeshare owners to have an escape or way out of the turmoil that the contract may bring later on. With such high pressure sales tactics, regretting one’s decision can be tough to many and this period offers a sigh of relief.

According to research, current average rescission rate in the country is at 15 percent. Timeshare buying regrets due to budget concerns, confusion and other reasons are deemed to reach as high as 85 percent. Some falls on distrust, unreliability of timeshare management company or resort, and lack of funds to sustain rising maintenance fees. All in all, rescission happens all the time. For someone who’s embroiled in a split-second decision can live another day without having to wallow in regret by simply filing for one.

 

How To Do It

 

The best recourse in rescinding a timeshare contract is to send a formal letter to the resort company. Even when oral (phonecall or voice messaging) rescission is allowed, legal counsels often recommend that a documented letter stating clearly why rescission is needed will be the best course of action for any contract-related concerns. When sending a letter, it is wise to check what basic data will be needed to effectively rescind the contract. Some of the most common requirements are:

 

• Purchaser’s name (as stipulated on the contract)
• Purchaser’s details — address, contact number and email address
• Name of timeshare company or resort
• Timeshare description
• Date of purchase

Keep in mind that letter content should clearly state cancellation of the contract. If you may, have it capitalized in the body of the letter for emphasis. Be reminded also that rescission period varies from one state to another. Every state also has its own “special conditions”. To give you an idea, here’s a chart to guide you on timeshare rescission period for each state:

 

Timeshare Rescission Period Per State (US)

 

Number of Business Days	State	Number of Calendar Days	Notes
0	AK	0	No rescission period listed
	AL	5	Not including Sunday
	AR	5
	AZ	7	By midnight
	CA	7
	CO	5	By midnight
	CT	5	Changed Jan. 1, 2010
0	DC	0	No rescission period listed
5	DE		By midnight
	FL	10	By midnight
	GA	7	Sundays and holidays excepted
	HI	7
5	IA
	ID	5	New, effective July 1, 2010
	IL	5
3	IN		Except Sundays and legal holidays
0	KS	0	No rescission period listed
5	KY		By midnight
	LA	7
3	MA
	MD	10	By midnight
	ME	10
	MI	9	From receipt of contract documents
5	MN	5	Business or Calendar Day not specified
5	MO	5	Business or Calendar Day not specified
	MS	7
	MT	3
	NC	5
0	ND	0	No rescission period listed
	NE	3
5	NH	5	Business or Calendar Day not specified
	NJ	7
	NM	7
	NV	5	By midnight
7	NY
3	OH	3	Business or Calendar Day not specified
0	OK	10	Required for discretionary exemption per Sec. 1-203 Securities Act
	OR	5
	PA	5	By midnight
5	RI		By midnight, Excluding weekends and holidays
	SC	5	Not including Sunday if it is the 5th day
7	SD	7	Business or Calendar Day not specified
10	TN	10	If onsite inspection, Business or Calendar Day not specified
15	TN	15	If no onsite inspection, Business or Calendar Day not specified
	TX	6
	UT	5	Postmarked by midnight, legal holidays not included
	VA	7	By midnight
5	VT	5	Business or Calendar Day not specified
7	WA	7	Business or Calendar Day not specified
5	WI
10	WV	10	Business or Calendar Day not specified
0	WY	0	No rescission period listed

Source: ARDA

 

Learning what is timeshare rescission or cooling off period can truly be beneficial to consumers. Often, people sign up for something out of sheer bewilderment and excitement but when reality sinks in, the regret can be devastatingly high. Timeshare rescission period is that few days of wiggle room to be able to free oneself from such shackles.