06/26/2018
The names of two Alabama companies are currently being used in a Mexican timeshare resale scam. But the same advice to follow in cases like, this applies to many types of transactions. It goes without saying but in any transaction, make sure you know who you are dealing with. Do your own research.
Two of these potential scams have been stopped within the past week because people actually researched the companies that were being used to perpetrate the scam. Don't rely on a fancy website or what they tell you in an email. You must dig as far as you can. Also, contact the actual resort using the information in your files. They will know more than the scammers wants you to know. The emails always say not to call them because it will make the transaction cost higher but that is exactly what you should do. And while you have them on the phone, ask them to place a hold on your account. They are not to authorize any transfers without speaking to you at the number you give them.
Do not rely on any information they have given you. Yes, the Better Business Bureau will have no record. Yes, the attorney general will have no info. But the actual people associated with the true companies will provide meaningful information. Use the Secretary of State’s website to find the incorporation records. Most of the time, these companies have been around for years with no activity and no website which makes an attractive target for the scammers to create one. If the company was formed years ago, call the incorporator, look up annual reports, find a corporate officer. Call a company in the same city that is in the same line of business and ask then what they know.
Also, never ever send any money upfront. They most likely will ask you to wire the funds but wires, cash, cashier's checks and other forms of certified funds are almost impossible to trace.
Bottom line, if it sounds too good to be true, it usually is.
Buying a timeshare vacation rental has often been fraught with fraud. Now, Consumer Reports explains that scammers are targeting owners who want to sell.