The concept of a timeshare certainly may seem attractive. Who wouldn’t want to have the option of having a dedicated vacation destination that they can use on a regular basis? Timeshares advertise themselves as allowing multiple individuals to split the costs of vacation real estate and be allotted windows of access (“time shares”) to the property. In reality, the industry is rife with predatory practices. From the moment one enters into a timeshare contract until they attempt to get out of a bad deal, almost nothing is straightforward. 

Similar schemes include deeded timeshares, points-based timeshares, and vacation clubs. While the names differ, the basic premise is the same: the consumer is promised affordable access to a resort-like investment property that is actually extremely costly and difficult to use. 

Joining a timeshare  

Timeshare sales pitches are notoriously intense on the consumer. Common tactics include long delays or presentations to tire the prospective buyer, as well as claims that certain offers will only be available “today.” These predatory sales practices are designed to pressure the individual into agreeing to the timeshare impulsively. It is also common for salespersons to mislead consumers by over-exaggerating benefits, omitting certain costs, or outright lying about terms of a contract. 

Exiting a timeshare 

Once the purchaser realizes the hidden costs (such as recurring maintenance fees) or the inaccessibility of their timeshare, they may try to back out of the contract. Unfortunately, this is often difficult—if not impossible—to do. Timeshare companies craft their contracts in ways that make it hard to exit the deal. Some last for the lifetime of the purchaser and some contracts even pass on to the consumer’s inheritors when the timeshare purchaser passes away.  

To take advantage of the complexities surrounding timeshare cancellation, an industry – timeshare exit firms — has popped up just to get individuals out of their timeshare. However, this industry itself is rife with controversy. Consumer complaints about timeshare exit companies frequently claim that such companies overcharge thousands of dollars for their services, provide assistance that the consumer could have accomplished on their own, or never fulfill their duties once they receive the money. In one instance, an individual from Illinois reported to Fraud.org that they paid $7,000 to a company that claimed it could cancel the consumer’s timeshare commitment. After paying the sum, the company abandoned the individual and never provided the promised assistance. 

Reselling a timeshare 

The high number of consumers seeking to sell their timeshares has flooded the market, making it extremely difficult to do so without incurring a significant financial loss. As a result, fraudsters have been preying on individuals who are stuck with a timeshare. Such scams typically begin with fraudsters promising to buy the timeshare from the consumer, who is often desperate to get out from under the financial burden of an unwanted timeshare. Victims report subsequently being hit with “banking fees,” “wire transfer fees,” “taxes,” “currency exchange fees,” and other charges, while the alleged purchaser never sends the funds and never takes the timeshare from the consumer.  

In one Fraud.org complaint, a Maryland resident detailed a $45,000 loss when they attempted to use such an outfit to resell their timeshare. Like other similar cases, the scammers demanded the consumer pay previously undisclosed processing fees before they could sell their timeshare, all of which were bogus.  

Whether you’re interested in purchasing a timeshare or looking to get rid of your own, keep in mind the following: 

• Don’t entertain timeshare offers or other similar schemes. Avoiding these entanglements in the first place is the best way to avoid future losses. 
• Never agree to a contract while under pressure. Additionally, if you do purchase a timeshare, find out what “cooling off” or cancellation terms may apply. While cooling off periods vary by locality, they typically allow you to back out of the contract within a few days of signing. 
• Carefully consider all terms in writing before agreeing to any contract. Whether you’re purchasing, exiting, or reselling a timeshare, ensure that all details are available in print—especially details regarding payment requirements or conditions related to exiting the contract. 
• Do your research. See what other people have said about the timeshare company you’re buying from, or the entity seeking to buy your timeshare. Be on the lookout for previous consumer complaints, litigation, or a record of misconduct. 
• If it’s too good to be true, it probably is. The resale market for timeshares is very tough, with little-to-no buyers. Carefully scrutinize any offer when attempting to resell a timeshare as it is likely fraudulent.  

If you or someone you know has been a fraud victim, help yourself and other by reporting it! By using Fraud.org’s secure online complaint form, your complaint will be shared with our network of consumer protection and law enforcement agency partners. 

While most individuals think of the holiday season as a time to gather with loved ones and get some rest, scammers use it as another opportunity to defraud consumers. Especially as we all look to save money amidst rising costs, it is important to remain vigilant against suspicious deals and offers. 

Coupon scams 

Scammers have been preying on consumers hoping to save on holiday expenses. While utilizing legitimate discount codes is a great way to save money, it can be difficult to distinguish between genuine coupons and fraudulent offers. Frequently, fraudsters will offer digital discount codes with eye-popping savings in exchange for personal and contact information—or they may even charge a fee. The scammers may peddle these fake discounts as part of a monthly subscription service or another bogus scheme. Although the specific front will vary, the end goal is the same: the criminals will try to glean the victim’s contact information, if not their cash. 

Charity scams 

As consumers are feeling charitable during the holiday season, fraudsters often seek to take advantage of our charitable inclinations. Scammers may solicit donations for a phony, non-existent charity or they may impersonate a legitimate nonprofit. Unfortunately, impersonations can be nearly indistinguishable from the cloned organization; the only difference might be one letter missing in the web URL and the destination of the giver’s funds. These fraudsters also may try to pressure the consumer into “donating” quickly with a time-sensitive offer, such as matching a portion of the contribution if it’s made within a certain number of minutes. 

Online merchandise scams 

Almost as much of a staple of the holidays as exchanging presents itself, fraudsters always traffic counterfeit goods in time for annual festivities. Scammers will frequently advertise expensive and in-demand items, such as a new gaming console or sold-out concert tickets, only to leave consumers with cheap imitations or nothing at all. To further entice potential-victims, these scams usually list much cheaper prices than the legitimate items sell for. 

Impersonation scams 

With millions of consumers turning to online shopping for holiday gifts, scammers have grown adept at impersonating Amazon, Postal Service, UPS and other commonly-used delivery services. Other common impersonation scams involve tech support, organizations offering free prizes or gifts, survey firms, and even organizations claiming your account was compromised. These scams can use text messaging, email, phone calls, instant messages, and other communication tools to reach potential victims. Other indicators of fraud may be unsolicited requests for payment, creating a false sense of urgency, or offering something that is “too good to be true.”  

Gift card resale scams 

Although lesser known than other forms of gift card related fraud, gift card resale scams can be a headache following a season of gift-giving. Bad actors usually offer to buy a potential victim’s gift card from them at the full value it’s worth, if they don’t offer to pay extra. This is a clear indicator of a gift card resale scam as true gift card buyers will almost never purchase a consumer’s gift card at full value. Finding a friend or family member willing to purchase a gift card is usually the least risky method of getting value out of unwanted cards.  

While different forms of holiday fraud come and go, the following tips can help in determining the legitimacy of any suspicious offer: 

• If it sounds too good to be true, it probably is. Whether it’s a cheap price for a sold-out item or coupons offering extreme discounts, be cautious of surprising deals. 
• Don’t give in to pressure. While some sales are certainly time sensitive, they usually won’t disappear after only a few minutes. If the person you’re speaking with isn’t taking “no” for an answer and they’re pressuring you to hand over money, that’s a red flag. 
• Use a credit card when possible. Credit cards have better fraud protections than debit cards; this allows you to dispute a charge resulting from a scam. Never send money to strangers over a peer-to-peer app like Zelle, Venmo, or Cash App. 
• Do a Google search of the name of the seller, charity, or discount site. A quick search could bring up warnings from law enforcement or other consumers. Adding the terms “scam,” “fraud,” or “counterfeit” to your query may help in narrowing the results. It’s important to note that a lack of warnings doesn’t necessarily mean the suspicious entity is authentic. 
• Check the marketplace’s refund policies. If you’re using a third-party marketplace to make a purchase or sale (common examples include eBay and Amazon), take a few minutes to check their refund and fraud policies. Knowing what recourse is available—or not available—may inform your decision-making. 
• When in doubt, do not reply to text messages, emails, phone calls, or instant messages. Do not click on links in those messages. The best way to check on your online orders or the security of an account is to log in to your accounts on your own. For more details on how to spot and avoid impersonation scams, check out the Better Business Bureaus’ new resource page. 

If you or someone you know has been a victim on a holiday scam or any other type of fraud, help yourself and other by reporting it! By using Fraud.org’s secure online complaint form, your complaint will be shared with our network of consumer protection and law enforcement agency partners. 

While grandparent scams are not particularly new, the proliferation of technologies that enable these frauds are ever evolving. The basic premise of the scheme involves a fraudster contacting an older adult and impersonating the victim’s loved one. Variations of this fraud involve the imposter claiming to be a law enforcement officer, doctor, or lawyer who is contacting the victim on behalf of their relative. Next, the scammer deceives the victim into believing that their relative is in trouble and requires money for reasons such as paying bail or a fine, paying a doctor’s bill, or some other reason. The criminal will often ask that the grandparent not tell anyone about the situation—especially the parents of the “grandkid”—to prevent embarrassment over their (fictitious) predicament.  

By preying on family relationships, particularly the responsibility that older adults often feel for grandchildren, fraudsters can extract substantial amounts of money from victims who just want to help their loved ones.  

One consumer in Florida reported to Fraud.org that they received a call from someone who claimed to be their grandson and “was in an accident and needed money to get out of jail.” Soon after, the victim received a second call from an individual pretending to be the grandson’s public defender, providing further instructions on how to send the money. The impersonators successfully deceived the victim into paying over $9,000—a portion of which was sent via PayPal. 

Unfortunately, there are thousands of similar incidents where the victim believed they were assisting a grandchild who was in legal trouble, hospitalized, or facing other sudden expenses. Federal Trade Commission (FTC) data shows that imposter scams (which include grandparent scams as well as government impersonation fraud) has remained the most commonly-reported category of fraud since 2018. Additionally, Fraud.org’s Top Ten Scams Report of 2021 listed family/friend imposter scams specifically as the eighth most common type of fraud. 

Anyone can be a victim of the grandparents scam or other imposter scams. By familiarizing yourself with the following red flags, you can reduce your risk of being the next victim: 

1. If someone asks you to pay a bill via gift card, peer-to-peer money transfer (such as Zelle, Venmo, Cash App, or PayPal), or via wire transfer (e.g., Western Union or Moneygram), it is a strong indicator of a scam. 
2. Resist urgent requests for cash. Few legitimate legal or medical bills, if any, will require immediate payment at the time of the incident.  
3. Hang up and independently contact the grandchild in distress (or their parents) directly. Many victims of grandparent scams realize the fraud occurred once they speak with their actual grandchild, who then informs the victim that they were not in any trouble. Double checking that the family member needs help before sending cash can prevent the fraud from occurring.  
4. Consider changing the privacy settings on your social media accounts (such as Facebook, Instagram, and Twitter) to only allow your friends to view your account. This can help prevent fraudsters from finding out who your close family members are.

If you suspect that you or someone you know has become a victim of one of these scams or any other fraud, it is important that you report it. You can file a complaint at Fraud.org via our online complaint form, your local police department, your state attorney general’s office, or the Federal Trade Commission. Complaints filed with Fraud.org are shared with our network of law enforcement and consumer protection agency partners who can investigate and help put fraudsters behind bars. 

Searching for a new rental unit can be a stressful time for many consumers. Unfortunately, scammers often make the housing hunt an even bigger headache by preying on individuals seeking new accommodations. Being aware of common rental scams is an especially good idea at a time when rent prices are sky-high, and competition for affordable housing is fierce. 

Rental scams often start with a digital advertisement either for a unit that does not exist, a unit that the poster does not own, or similar situations where potential renters would never be able to actually live in the displayed housing. These scams seek victims’ money in the form of illegitimate application fees or a security deposit on the unit, usually without allowing the respondent to tour the housing in person. 

While these scams can be found on websites dedicated to apartment and rental listings, they are more prolific on loosely monitored or peer moderated forums, such as Facebook groups and Craigslist ads. Some common red flags include: 

• Either no images of the unit are included in the post or the images don’t fit the listing. While it can be harder to determine the authenticity of images when they do appear in the ad. One thing to look for are photos not matching the advertised unit, such as a large backyard in a city apartment listing.
• Generic descriptions. Landlords typically try to advertise all of their amenities, including the neighborhood and features unique to the area (such as precise public transit stops, school zones, and landmarks). Fraudulent postings often omit specific names of locations and instead use nondescript language like “near bus stops” or “in a good neighborhood.” 
• Lists an invalid address or no address at all. Sometimes the address is for a non-housing unit or a unit that is not currently available for rent. Commonly, the listing does not include an address at all and the seller will not provide one upon request.  
• The seller is out of town. Once a potential renter responds to one of these ads, the poster usually claims that they are out of town and therefore unable to give a tour of the unit. This doesn’t stop them from asking for a deposit on the place though, which raises the next red flag. 
• They push for a deposit. Or an application fee. These criminals try to get their victims’ money ASAP, frequently within minutes of communicating with the potential renter. 

Although these fraudsters can add to the frustrations of moving, there are a number of tips you can keep in mind to stay on guard. 

1. Look closely at any images provided. Search for inconsistencies, either from photo to photo or between the listing and the photo. Additionally, conducting a reverse Google Image search may confirm suspicions if the pictures appear in other, unrelated results. 
2. Ask for details. If the seller is unable to provide an address, the name of the neighborhood, nearby landmarks, or other critical information, it’s best to look elsewhere. 
3. Don’t pay until you see the place in person. Going on a tour of your future housing unit can help to determine the listing’s authenticity, in addition to revealing previously non-disclosed issues. 
4. Wait to provide personal information or payment. Until thorough vetting has taken place, including a tour if possible, hold off on handing over money or sensitive information. 
5. Search for third-party reviews. Established housing companies often have a reputation that can be easily found online. While the absence of reviews isn’t necessarily a major red flag (especially for smaller buildings and landlords), previous renters can provide great insight before you commit to a move. 
6. Question abnormally inexpensive listings. Search for similarly-sized listings in the neighborhood of the listing you are considering. If similar rentals near yours are priced significantly higher, your dream rental may be too good to be true. 

Be an ally in the fight against fraud!

If you suspect that you or someone you know has become a victim of one of these scams or any other fraud, don’t just delete the message — report it at once to the social media platform. You can file a complaint at Fraud.org via our online complaint form. We’ll share your complaint with our network of law enforcement and consumer protection agency partners who can investigate and help put fraudsters behind bars.