Timeshare Transparency Act

Summary#

This bill requires timeshare sellers to use a single written agreement that lists all costs to buy and keep a timeshare, including ongoing fees. The agreement must say which fees the seller can change and explain how and when the buyer will be told about fee changes. The agreement must list all the ways a buyer can end ownership. It must also include a 14-day period after signing when the buyer can cancel without penalty. Before signing, the buyer must be allowed to review all documents, including the cost and cancellation information, without an employee watching them. The Federal Trade Commission (FTC) will enforce these rules, treat violations as unfair or deceptive acts, and make rules under the Administrative Procedure Act. The rules apply to agreements made 90 days after the law takes effect. States may keep or add stronger consumer protections. The bill defines "timeshare" as a right to use accommodations for less than a full year each year that lasts more than three years and excludes exchange programs. A "timeshare company" is any person who sells or offers timeshares for money.

What it means for you#

• If you buy a timeshare: you should receive one clear document listing all costs, how fees can change and when you'll be notified, how to end ownership, and a 14-day penalty-free cancellation right. You also get time to review documents without an employee supervising you before you sign.
• If you sell timeshares: your sales agreements must include the required disclosures, you must give buyers unsupervised review time, and you must follow FTC rules and possible enforcement actions. The requirements start for agreements signed 90 days after the law is enacted.

Expenses#

No publicly available information.

Proponents' View#

The bill is written to improve acquisition transparency by making all costs, fee-change notices, and termination options clear to buyers before they commit.

Opponents' View#

No publicly available information.