BBB and timeshare exit companies: how to check before you pay

Last updated 2026-07-26

What is the Better Business Bureau and what does its rating actually mean for a timeshare exit company?

The Better Business Bureau (BBB) is a nonprofit that collects consumer complaints and assigns letter-grade ratings (A+ through F) to businesses based on complaint volume, complaint resolution, time in business, and transparency about business practices. It is not a government agency and it does not license or regulate anyone. A business can pay BBB for accreditation, which adds a badge but does not change the underlying rating math. For timeshare exit companies specifically, the rating matters less than the complaint narratives underneath it. BBB profiles show the actual text of closed complaints, whether the company responded, and whether the consumer was satisfied with the resolution. That's the part worth reading slowly. A company can carry a B rating with 40 complaints that all say the same thing: "paid $6,000 upfront, no cancellation after 18 months, no refund." That pattern tells you more than the grade does. BBB's own guidance on timeshare resale and exit scams is blunt. In a consumer alert on timeshare exit scams, BBB warned that scammers are convincing timeshare owners to pay large, upfront fees to get out of their timeshare contracts, and then the owners never hear from the company again ^[1]. That's the exact pattern to screen for before you sign anything or wire a deposit. One honest caveat: BBB ratings can lag. A company can rack up a dozen fresh complaints and still show an old A rating for weeks while the file updates. Don't treat the letter grade as current truth. Read the complaint dates.

How do I check a timeshare exit company on BBB before I pay anything?

Search the company's exact legal name (more than its marketing name) at bbb.org, then look at three things in order: the complaint count over the last 12 months, the complaint text, and whether the company is even listed at all. A company with zero BBB history isn't automatically safe; it might just be new or operating under a rotating set of names, which is itself common in this industry. Next, cross-check the company name against your state attorney general's consumer protection or enforcement action pages. Several state AGs have sued timeshare exit companies directly. The Missouri Attorney General's office announced a settlement and judgment against a timeshare exit company (Reed Hein & Associates, doing business as Timeshare Exit Team) over deceptive practices ^[2]. The Washington State Attorney General separately sued the same company, Reed Hein & Associates, alleging it collected upfront fees while falsely telling consumers it had a high success rate at cancelling timeshare contracts ^[3]. A third check: search "[company name] lawsuit" and "[company name] attorney general" separately from your BBB search. BBB only captures complaints filed with BBB. It misses state court dockets, AG enforcement actions, and class actions entirely. If you want a structured way to organize which companies you've checked and what you found, our timeshare call list walks through building your own vetting checklist before you call anyone.

Are timeshares scams, or is it the exit industry that's the problem?

The timeshare itself is usually a legal, if expensive, real estate or vacation-club product. It is not inherently a scam. The scam risk concentrates heavily in two places: high-pressure sales presentations at the point of purchase, and upfront-fee exit companies on the back end. The Washington Attorney General's complaint against Reed Hein & Associates put it directly: the company made "false and misleading representations" regarding its services and success rate to consumers trying to exit timeshare contracts, while collecting fees ranging from roughly $3,000 to $9,500 per customer ^[3]. That's a state regulator's own framing, and similar patterns show up across multiple enforcement actions against exit companies nationwide. What makes the original timeshare purchase feel scam-adjacent to a lot of owners is the sales pressure: same-day signing deadlines, gift incentives to sit through a 90-minute presentation, and fee structures that aren't fully disclosed until the closing table. None of that is illegal in most states, but it's why buyer's remorse is so common and why rescission periods exist in the first place. The clearer scam pattern lives downstream, in companies that charge $3,000 to $10,000 upfront to promise cancellation, then stall, go quiet, or shut down and reopen under a new name. That's the pattern BBB and state AGs both flag consistently ^{[1] [2] [3]}.

How much do timeshares cost, and why does that push owners toward exit companies?

New timeshare purchase price	Often $20,000+ average	ARDA industry data [4]
Annual maintenance fee	Often $1,000+ average	ARDA industry data [4]
Resale value (secondary market)	Often $1 to low thousands	Widely reported resale market gap
Upfront exit company fee	$2,000 to $10,000+	Washington AG complaint against Reed Hein & Associates [3]	If rising fees are the actual trigger for your search, it's worth reading through our maintenance fees coverage before you decide whether exit is even the right move versus just budgeting around the increase.

The average cost of a timeshare interval purchased new runs in the tens of thousands of dollars, and annual maintenance fees typically run over $1,000 per interval and tend to rise faster than general inflation, with special assessments layered on for roof repairs, storm damage, or renovations, according to industry survey data compiled by the American Resort Development Association ^[4]. Here's the number that actually drives people to search for exit help: the resale market. Timeshares resell for a small fraction of what owners paid, often $1 to a few thousand dollars, because the supply of unwanted intervals vastly exceeds demand. That gap (paid $20,000+, worth maybe $500 on resale) is exactly what upfront-fee exit companies exploit. They know you can't sell it, so they sell you the promise of getting rid of it instead. | Cost category | Typical range | Source |

How do you get out of a timeshare, step by step?

Start with rescission. Every state that allows timeshare sales gives buyers a right to cancel within a set window after signing, no reason required, if you act within that period. The exact number of days is set by state statute and varies quite a bit, so confirm your state's rescission window before assuming you have any particular number of days left. If you're still inside that window, this is by far the cheapest and cleanest exit: you write a cancellation letter, send it exactly the way your contract and state law require (usually certified mail, return receipt), and you're done, no company, no fee. If rescission has passed, your realistic paths are: a developer deed-back or surrender program (some resorts will take the unit back for a modest fee or in some cases free, especially if you're current on fees), selling on the resale market at low or no profit, donating it (rare, and many charities now decline timeshares because of the ongoing fee liability), or working with a licensed attorney who bills hourly or flat fee rather than a large nonrefundable upfront sum. What you should not do is stop paying your maintenance fees or loan as a strategy to force a resolution. Unpaid fees can lead to collections, credit damage, and in some states a deficiency judgment even after foreclosure on the timeshare interest. If you're behind or falling behind, that's a conversation for a consumer law attorney or your state AG's consumer complaint line, not a reason to go silent. Our how to get out of a timeshare guide walks through this decision tree in more detail, state by state considerations included.

How do I sell a timeshare if I don't want to go the exit-company route?

Selling is legal, straightforward, and often the cheapest exit if your timeshare has any resale demand at all, which mostly means well-known brands in desirable locations with low annual fees. List it yourself on a licensed timeshare resale marketplace or through a broker, and never pay a large upfront listing fee to anyone who claims to have a specific buyer lined up or a quick guaranteed sale price. Legitimate resale brokers typically get paid after the sale closes, not before. Realistically, price your expectations at or near zero. Many owners end up selling for $1 to cover the cost of transferring the deed, sometimes even paying the buyer's closing costs, just to stop the annual fee bill. That's not a failure on your part; it's the actual state of the secondary market described repeatedly in industry survey data ^[4]. Before you list anywhere, check that the marketplace or broker is licensed to handle real estate transactions in the state where the resort sits (most timeshare interests are deeded real property, so this matters). A quick call to your state real estate commission or the state AG's office can confirm licensing status.

How do I get rid of a timeshare if nobody will buy it and the resort won't take it back?

This is the hardest version of the problem, and it's common. Start by asking the resort or management company directly about a deed-back or surrender program, even if their website doesn't advertise one. Many developers created these programs specifically because the resale market collapsed and they'd rather take a unit back (especially if fees are current) than manage a foreclosure. Get any surrender offer in writing before you agree to anything. If the resort says no, consider a licensed real estate or consumer attorney who can review your specific contract and state law rather than a company that promises a fast cancellation over the phone before ever seeing your documents. No legitimate professional, attorney or otherwise, can promise a specific outcome before reviewing your contract, deed, and payment history. If someone tells you the cancellation is a sure thing on a first call, that's a signal to hang up, not sign up. Our timeshare cancellation piece breaks down what a cancellation actually requires legally versus what marketing language implies, which is useful reading before you get on the phone with anyone offering to "handle it for you."

What does a typical upfront-fee timeshare exit scam look like?

The pattern shows up consistently across BBB complaint databases and state AG lawsuits. A company cold-calls or advertises heavily, claims a special relationship with your resort or "legal team," and asks for $2,000 to $10,000 or more upfront before doing any verifiable work. They may tell you to stop paying your maintenance fees or mortgage during the process, which is exactly the advice that damages your credit and can trigger foreclosure or collections regardless of what the exit company ultimately does. Washington's lawsuit against Reed Hein & Associates (Timeshare Exit Team) alleged the company charged customers upfront fees typically between $3,000 and $9,500 while making misleading claims about its success rate and its relationships with resorts ^[3]. Missouri's action against the same company similarly centered on deceptive practices and fees collected before any resolution ^[2]. Warning signs worth memorizing: promises of a fast or easy cancellation before contract review, pressure to pay by wire transfer or gift card, instructions to stop paying the resort, refusal to put fee and refund terms in writing, and a business name that changes or a BBB profile with recent one-star complaints describing the same stall pattern. If you see two or more of these, walk away. Our timeshare exit companies comparison goes through named categories of providers (attorneys, transfer companies, DIY kits) so you can see where a given offer actually fits before paying for it.

What should I check before hiring any timeshare exit company, BBB rating or not?

Run through this list before you sign or pay anything: - BBB profile: complaint count in the last 12 months, and read the actual complaint text, more than the letter grade.

• State AG search: has your state's attorney general sued this company or issued a consumer alert about it? Check your state AG's consumer protection page directly ^{[2] [3]}.
• Fee structure: is any money due before verifiable work is done? Legitimate flat-fee document services and attorneys typically disclose exactly what you get for the fee, in writing, before you pay.
• Promise language: no one can promise a specific cancellation, deed release, or credit protection outcome before reviewing your specific contract. Treat sweeping promises as a red flag, not a selling point.
• Payment method: wire transfers and gift cards are not reversible. Credit card payments at least give you a dispute option. If you'd rather handle the paperwork yourself with a structured, flat-fee approach instead of an open-ended retainer, that's the gap our $149 Timeshare Exit Kit is built to fill: a one-time cost, not a percentage or open-ended "we'll bill you as we go" arrangement.

How do rescission windows interact with exit companies and BBB complaints?

If you're still inside your state's rescission window, you almost certainly don't need an exit company at all. Rescission is a statutory right, meaning the state legislature wrote it into law, and it doesn't cost anything to exercise beyond postage for a certified letter. Every day you wait to send that letter is a day closer to losing the right entirely, so this is the one part of the process where speed matters more than research. The number of days varies by state, and some states also require specific disclosure language in the contract itself or the cancellation triggers differently depending on when disclosures were provided. Confirm your state's rescission window directly rather than relying on a number you saw in a forum or on a sales rep's verbal promise. State real estate or attorney general websites are the reliable source here, not the exit company that stands to profit from you missing the deadline. Many BBB complaints against exit companies come from owners who were told rescission had "already passed" or was "not an option" when in fact it hadn't run out, or from owners who paid an exit company thousands of dollars for something they could have done themselves for free with a certified letter. That's the single most common preventable loss in this entire industry. Our how to get out of timeshare and how do you get out of a timeshare guides both cover the rescission letter process in more depth if you think you're still inside the window.

What's the honest bottom line on using BBB to vet a timeshare exit company?

BBB is a useful first filter, not a final answer. Use it to rule companies out (recent complaint clusters describing stalled cancellations and lost deposits are a hard no), but don't use a good rating to rule a company in without also checking your state AG's enforcement history ^{[2] [3]}. No exit company, law firm, or advocacy site, including this one, can promise that your timeshare contract gets cancelled or that a specific fee gets refunded. Anyone who tells you otherwise before reviewing your actual deed and payment history is selling you confidence, not a result. We are not attorneys and we don't contact resorts or developers on your behalf; we help you understand the process and organize your own documentation. The realistic order of operations: check rescission first (free, fast, state-specific), then check deed-back or surrender programs with your resort (often low-cost), then check resale (usually low or no return but legal and fast to attempt), and only then consider paying a licensed attorney or a flat-fee document service for anything beyond that. Skip the upfront-fee tier that promises a fast or effortless exit entirely.

Frequently asked questions

How do I check if a timeshare exit company is legitimate on BBB?

Search the company's exact legal name at bbb.org, then read the complaint text from the last 12 months rather than just the letter grade. Also search your state attorney general's site separately, since BBB only shows complaints filed directly with BBB, not lawsuits or enforcement actions.

How to get out of a timeshare without paying an exit company?

Check your state's rescission window first; if you're still inside it, a certified cancellation letter is free and legally binding. If rescission has passed, ask your resort about a deed-back or surrender program, or attempt a low-cost resale. These routes avoid the $2,000 to $10,000+ upfront fees many exit companies charge ^[3][4].

How do you get out of a timeshare after the rescission period ends?

Your main options are a developer deed-back or surrender program, resale on the secondary market (often for a nominal price), or hiring a licensed attorney on a flat-fee or hourly basis. Avoid companies demanding a large nonrefundable fee upfront with sweeping promises about the outcome; no legitimate provider can promise a result sight unseen.

How to sell a timeshare on the resale market?

List with a licensed timeshare resale broker or marketplace and expect to receive little or nothing for it; resale values are often $1 to a few thousand dollars against original purchase prices that frequently exceed $20,000 ^[6]. Never pay a large upfront listing fee to anyone who claims to have a guaranteed buyer.

How to get rid of a timeshare if no one will buy it?

Ask the resort directly about a surrender or deed-back program, even if it's not advertised. If that fails, consult a licensed real estate or consumer attorney about your specific deed and state law rather than paying an exit company that makes sweeping promises before reviewing your contract.

Are timeshares scams?

The underlying product is usually legal, though sales presentations often use heavy pressure and incomplete fee disclosure. The scam risk concentrates in the exit industry: state attorneys general in Washington and Missouri have both taken action against exit companies for charging large upfront fees and misleading consumers about their success rates ^[3][4].

How much is a timeshare?

Average new timeshare purchase prices commonly run over $20,000, according to industry survey data from the American Resort Development Association, plus annual maintenance fees that often exceed $1,000 per interval and typically rise over time, sometimes with added special assessments ^[6].

How much do timeshares cost per year in maintenance fees?

Average annual maintenance fees commonly run over $1,000 per interval per ARDA industry survey data ^[6], but this varies widely by resort, unit size, and location, and special assessments for repairs or renovations can add hundreds or thousands more in a given year.

How much are timeshares worth on resale?

Often very little: $1 to a few thousand dollars is common, far below the original purchase price, because supply of unwanted timeshare intervals far outpaces buyer demand. Some owners pay closing costs themselves just to transfer the deed and stop the annual fee obligation.

What red flags suggest a timeshare exit company is a scam?

Sweeping promises about the outcome before any contract review, large upfront fees, pressure to pay by wire transfer or gift card, instructions to stop paying your maintenance fees or loan, and a business name history with recent BBB complaints describing stalled or nonexistent cancellations. Two or more of these together is a strong signal to walk away.

Does a good BBB rating mean a timeshare exit company is safe to hire?

Not by itself. BBB ratings can lag behind fresh complaints, and BBB only reflects complaints filed with BBB, missing state AG lawsuits entirely. Cross-check any company against your state attorney general's enforcement page before paying anything ^[1][3][4].

Can I cancel my timeshare myself instead of hiring a company?

Yes, if you're still inside your state's rescission window, a certified cancellation letter sent according to your contract's instructions is legally sufficient and free beyond postage. Confirm your specific state's window and required cancellation method directly rather than trusting a verbal number from a salesperson.

Sources

1. BBB, Timeshare exit scams consumer alert: Scammers convince timeshare owners to pay large upfront fees to exit contracts and then the owners never hear from the company again
2. Missouri Attorney General, press release on Reed Hein/Timeshare Exit Team settlement: Missouri obtained a judgment against Reed Hein & Associates, doing business as Timeshare Exit Team, for deceptive practices
3. Washington State Office of the Attorney General, press release on lawsuit against Reed Hein & Associates (Timeshare Exit Team): Reed Hein & Associates allegedly charged consumers upfront fees typically between $3,000 and $9,500 while making false and misleading statements about its success rate cancelling timeshare contracts
4. Federal Trade Commission, Consumer Advice: Timeshares and Vacation Plans: The FTC advises researching any company before paying to sell or exit a timeshare, and warns some companies take payment and do nothing
5. American Resort Development Association, State of the Vacation Ownership Industry (ARDA International Foundation research): Industry survey data on average timeshare purchase price and average annual maintenance fee levels