Exiting a Timeshare in Mexico: Laws and Procedures

Timeshare Mexico: Cabos San Lucas sunset

Timeshare ownership is seldom a great idea. Despite the fact that many U.S. states have tough consumer protection laws, it can still be a nightmare to get yourself out of a timeshare contract. Timeshare resorts are tricky and will use deceptive tactics at every turn, making companies like Centerstone Group necessary.

 

The problem becomes even tougher, though, when you buy a timeshare outside of the United States. No matter how strong the law of your home state is, it won’t matter if you sign a contract for a timeshare in another country. That’s because the law of the country where your timeshare is located will apply.

 

And for many Americans seeking a timeshare, Mexico is a nice beachfront vacation destination. It’s a beautiful country with lots of developers, like Vidanta with its Riviera Maya, Nuevo Vallarta, and Mayan Palace resorts.

 

But most timeshare buyers don’t know Mexican law when it comes to timeshares. Worse, if you want to cancel your timeshare, Mexico law won’t help you much unless you have an expert to guide you.

 

This article will focus on how to best exit your Mexico timeshare. First, we’ll look at the laws that apply to the purchase of a timeshare in Mexico — a different set of laws in a different language than what most American consumers are used to. Second, we’ll look at some unique problems that timeshare owners in Mexico face. Finally, we’ll talk about how Centerstone Group can use our expertise to guide you through the complicated process of a Mexican timeshare exit.

 

Exiting a Timeshare: Mexico Has Different Laws for Foreigners

Person writing on a contract with the Mexican flag behind him

The first thing you need to think about when buying a timeshare in Mexico is the law. Once you step out of the United States and purchase a timeshare in another country, that country’s law applies. And, just like the United States, Mexico has a vast body of law that is complicated and often difficult to understand, even if you speak and read fluent Spanish.

 

The first thing to keep in mind is that you, as an American citizen, are limited in the kind of timeshare Mexico will allow you to purchase. While the United States offers a choice between deeded timeshares and right-to-use (RTU) timeshares, you generally don’t have that option in Mexico.

 

Specifically, non-citizens in Mexico can’t buy deeded timeshares close to the oceanfront or international borders. That rules out most popular timeshare spots like Cancun, Cozumel, and Los Cabos. Mexico vacationers want to snorkel, scuba dive, and play water sports on the white-sand beaches of Baja California or explore the breathtaking Mayan ruins in Yucatán.

 

You can still do all those things, but you can’t buy real estate in any of those places. In most cases then, you’ll be looking at RTU timeshare contracts, with all of the problems and issues that come with them. 

 

In other words, you’ll be joining a vacation club or points system, and you’ll have to reserve a unit whenever you want to make a getaway. Maybe you’ll get what you want, and maybe you won’t.

 

This means that you, as a non-Mexican citizen buying a timeshare, generally can’t own a real estate interest in Mexico and won’t be subject to foreclosure. Mexico resorts will instead aggressively pursue you for delinquent payments and have no qualms about ruining your credit scores for years to come.

 

Mexican Laws Can Be Tricky to Enforce

Law books, justice balance scale, and a hammer and gavel on top of a map of Mexico

Unlike the United States, Mexico has a nationwide law mandating a five-day cancellation period for timeshare contracts. Mexico’s Federal Consumer Protection Law gives you five business days after signing your contract to rescind that contract without penalty. You are also entitled to a refund of what you have paid.

 

Now, the fact that you can legally rescind the contract is only part of the equation. The bigger problem is actually getting Mexico timeshare resorts to comply. First and foremost, you need to make sure that your rescission is well-documented. Send it using multiple methods, including registered mail and e-mail. An in-person delivery of a rescission letter, with audio or video evidence of that delivery, may also be a good idea.

 

As you think about these issues, remember that the language barrier can also present some challenges. It’s questionable whether a notice or cancellation letter in English might be accepted by a resort, so it makes sense to have an expert who can help you with preparing those documents in both Spanish and English.

 

The government in Mexico City has also set up a consumer protection agency known as Procuraduría Federal del Consumidor (PROFECO) that offers some limited assistance with the process. For example, PROFECO may provide a template resignation letter for you to give the resort. 

 

You can also file formal complaints against a timeshare developer with PROFECO, and you may even obtain a judgment against a developer that wrongs you. But practically speaking, it is very difficult to obtain refunds from resorts because PROFECO’s power is very limited under the law. And, you’ll need a Mexican attorney to help you.

 

If you really want to get out of your timeshare, PROFECO is a good option, but it has a lot of rules and processes that are tough to grasp, even if you speak Spanish. 

 

You need an expert to help and guide you through the process, using PROFECO and other resources. Centerstone Group has worked with PROFECO before and helped homeowners successfully navigate the system (with a 100% success rate to date). Let us use that expertise to help you.

 

Hiring an Expert to Help With Your Exit: Centerstone Group

Timeshare Mexico: couple talking to a notary

Centerstone Group is the expert hand that you need when trying to exit your Mexican timeshare. Centerstone Group is currently the only U.S.-based timeshare exit company with the knowledge and resources to get you the exit you need. 

 

Just as with timeshare developers in the United States, Centerstone Group applies our proprietary processes to Mexican timeshares. That includes filing complaints with PROFECO, getting hearings, and otherwise working with our Mexico legal partners to get you the result you need.

 

We also tirelessly pursue timeshare developers for the full extent of your remedies under the law. Are you entitled to a refund? We’ll do everything we can to help you get your money. That process may even involve hiring and managing Mexican lawyers to get you the money you deserve under Mexican law.

 

You may also be curious about the prospect of selling your timeshare. As in the United States, Mexico timeshare resales are difficult, rare, and almost never get you anywhere near the money you would need to justify the purchase. Timeshare rentals also tend to be disappointing. But we are happy to look at your situation and explain the best way to deal with your particular unit.

 

We understand that timeshare exits are always difficult, especially international ones. Rest assured that we are a BBB-accredited business with an A rating and excellent customer reviews.

 

Be careful when selecting your timeshare exit company. Other companies without the resources and know-how of Centerstone Group often try to use U.S. law to get an exit from a Mexican timeshare. That won’t work, though, because U.S. law stops at the border.

 

Getting out of your Mexican timeshare almost always needs PROFECO, which means legal representation and a hearing in front of a PROFECO mediator. There is a strict, formal procedure to these events. Centerstone Group has the expertise you need and an excellent track record in actually using these procedures to get the job done.

 

Getting Back on Your Home Turf

Timeshare contracts can be arcane, hard to deal with, and pricey — even when they are written in your native language. When you add the layer of a second language and an entirely new system of laws, you may feel like it is just easier to go along with whatever the timeshare resort wants and pay too much for a Mexican getaway every year.

 

Don’t think that way. You aren’t trapped at that overpriced Mexican beach resort. With its team of timeshare professionals that have collected decades of experience in the industry, Centerstone Group can help you from Cabo San Lucas to the Caribbean shore, and anywhere in between. 


Contact us today for a free consultation and case evaluation, and let us see what we can do for you.

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