Diamond Resorts-is it a scam?

Janzi

lazymummy wrote: »

I have had an unsolicited letter from 'Diamond Resorts' offering me a 2 night break in a luxury apartment in the UK (Devon/Staffs/Lake District) for £69, just for listening to their 90 minute sales pitch (timeshare).

Now, I have NO intention of ever buying a timeshare, but is it worth that 90 minutes for a super-cheap break? My 'too good to be true' radar suggests it probably is a bit rubbish, but has anyone else used them? Any cautionary tales etc?

Thanks!

This is a genuine offer but beware of the pressure selling. We have been members of this club for 14 years. When we first joined it was called The Grand Vacation club based in Carnforth, Lancs and was owned by British owners. Since then it has been taken over several times and is now owned by Diamond Resorts USA. We have never been entirely happy with the club and so have always been reluctant to recommend it to others. The annual maintenance fee has gone up astronomically since Diamond took over. They are constantly adding resorts to their portfolio, but we never make full use of it as we do not wish to travel abroad. I think Diamond has taken over the UK/European side of the club so they have more European resorts to offer their American members - consequently the UK resorts are almost always booked up and we can never get a week of our choice. However they always keep back availabilities for new prospective customers !!!!
We would gladly sell our points if there was a viable resale market for them but it is vertually impossible to get rid of them once you have them. Be very carefull if you go to a sales meeting, they make it all sound wonderfull, but a bunch of points can eventually become a millstone around your neck. January 2009 will cost us more than £600 for our annual points maintenance fee, this gets us one weeks holiday in the winter season in the UK, we can get a holiday cottage anywhere for £600 so it is no longer a bargain holiday. of course we could go to the USA for the same cost - PLUS AIR FARES OF COURSE.

Anyone want to buy my points?

Janzi

Janzi

simmo29 wrote: »

OK i have done that now.
Please will anyone in this horrible club that is thinking along the same lines please also mail watchdog.
I am also thinking of not paying any more money to these people but, i have to say i am concerned about how much money it could cost me in the long run by taking this action.
Please can anyone give some sound advice?

the club rules are that if you no longer wish to pay your fees then you forfeit the points. the company takes them back off you and that's that. I too have been unhappy with the changes since Diamond took over Sunterra. When we first joined 14 years ago it was a British company run from Carnforth, Lancs. Since then its been swallowed up about 3 times. this year for our 4000 points (£500 2008 management fee) we got one week mid December at Pine Lake, Carnforth. We came home after 5 days as we were so cold, the weather was terrible and the roads on the site treacherous. New management fees for 2009 are £650 - you can see what an increase we have . 2009 one winter week - what a rip off. We will make a determined effort to get rid of our points this year - even if we have to give them away. We could try to book a week abroad with more success but we don't want to travel abroad anymore -can't be bothered with the hassel of booking flights and car hire - prefer to holiday in the UK.

Janzi

Den1se wrote: »

We have recently attended one of these at Pine Lakes Resort - We had a lakeside lodge for 4 of us in school holidays for £69. Anyway we went to the presentation - knowing what to expect (as we had done this previously a few years ago). I have to say the presentation was NOT hard sell - but they offered us something like a trial membership + 1 weeks free holiday in Europe for £1250. We have just booked the free week for the Whit school holidays & we now have enough points to book another 2 weeks holiday (if we choose school hols) or we can book last minute for 1/2 points or even have weekend breaks in the UK. There is a live on-line site so you can see availability immediatley. We often book our flight & accomodation seperatley so we are used to the excessive school holiday flights - but we would easily have spent £1250 on just 1 holiday. We do not have to take full membership after the trial - we can just walk away. I wouldn't rule out these presentations as you can use them to your advantage if you play the system.

Having been members for 14 years with only 4000 points I now know why we can never get a summer week in the Uk, because all the spare availability is used up by weeks reserved for new customers such as yourselves. Full members have terrible difficultiy in getting the weeks we want. I have been told that 4000 points is now not enough to get a viable week (it was the lowest number of points allowed 14 yrs ago, now its 6000). but we will never buy any more new points - they become a millstone around your neck come January when management fees are due.

makenzie

I worked for a timeshare company in Tenerife for about two months (one of the reputable ones) which this company is also. They will give you what they promise but be prepared for them to be quite forceful with their selling techniques in that 90 mins. Employees are often on a completely commission based wage so will really push you to sign up, I left Tenerife after 2 months as it just wasn't in me to be that pushy, but most really know what they're doing. Make sure you read the small print as well as there are often hidden extras, ie; booking fees, charges for towels and linen, that kind of thing.

codger

Where timeshare 'presentations' are concerned, the cheapest thing in the room isn't the product but the people who turn up to view it -- people pretending to themselves that they're being as clever as all heck in 'out-flanking' a salesman when the reality is they're sitting there being harassed, humiliated, and ultimately, treated like dirt.

Commonsense should alert anyone to the fact that the era of rampant management charges, ludicrous "points" and even, "tiered membership" is dead and gone.

Five minutes on the Internet produces more choice, more value, and no financial commitment whatsoever than the typical five hours' indoctrination undertaken by providers of the type mentioned in this thread.

Griffiths_Bowen

Do not touch Diamond Resorts with a barge pole.

Have been a member for some 10 years or more and the user charges are now astronomical.

Am desperately trying to get out and am prepared to lose my investment or give it away just to get out. Any takers?

Ali_Malli

We joined GVC who preceeded Sunterra 12 years ago, when our children were 10 & 9 (we have a daughter and twin sons). We've had some fantastic holidays - Florida, Portugal, Majorca, Minorca, France, Spain, Tenerife, Devon, Lake District and Scotland and are off to St.Maarten in May.

As previously stated they're not cheap holidays - but guaranteed 4 - 5 star accomodation. It's been great for us and by booking a year in advance we've been able to make it work even in school holidays.

However we don't approve of the selling techniques that are now used and have recently complained to the Chairman Stephen Cloobeck about huge increases in management fees which since we joined have gone up by 300%.

alwaysscepticle

After reading the various threads I thought I would give you my experience with them.

My hubby and I purchased points at one of their very very forceful presentations. I know, it's up to us if we agree but it really did sound like a good deal as we loved our holidays. We thought it would guarantee us decent accommodation and lovely resorts.

Well over the 4 years that we have held them, we find that we are unable to book whenever we want unless you want to go to their marketing resorts, Tenerife mainly. We are lucky in the respect that we don't need to book school holiday weeks but we still have major problems in booking what we want. The maintenance charge has shot up to over £800 per year and we were originally paying half that and were told that we would only ever have increases of 3-4%. We can't sell the points as nobody wants to buy them as most of the owners are all trying to get out but can't (you can only sell them to an existing owner). Everytime I try and get a response from DR they avoid ringing, emailing etc.

My advise to anyone is D . O . N . ' T.

You will live to regret it!!!

Bensonteac

I too made the great mistake of joining Diamond Resorts nee Sunterra nee GVC 10 yrs ago.

I too was told that the fees would never increase by more than a low percentage - 2.5% in my case. It was on this belief only that I agreed to join. This does however constitute a verbal contract which by law is enforceable. I have asked Diamond Resorts to re-purchase my points as I was mislead and entered into the contract under misrepresentation. There is lots of info about verbal promises and the law on the internet. I would imagine that this promise has been made to many - I am seriously considering sueing. Anyone else given false promises interested in joining a 'group' to sue?
I too will write/send an email to Watchdog.

Bensonteac

After being a member of Diamond Resorts (nee GVC nee Sunterra) for 10 yrs I now find the massive increase in fees beyond my means. I was promised when I bought the points that the largest increase had been 2.5% and it would never be more that 3 - 4%! This year it has increased by over 40% (haven't worked out the exact % yet).
This means 1 weeks holiday this year (apartment only) is costing me over £1000.00. I could book a similar apartment for £450.00! I could book a 2 week caribbean cruise (flights and meals included) for £1500.
Judge for yourself - Diamond Resorts have priced themselves out of the market now. You can get accommodation just as good for at least half what you will be paying them in fees alone - never mind the cost of purchasing the points in the first place.