The Wyndham Pathways program was launched roughly a year ago in several “test” resort sites (Tennessee). The program initially allowed a member to exercise their “right” to tender Wyndham timeshare contracts back to Wyndham for “repurchase” within a month of purchasing a Pathway’s contract (as long as the contracts are paid in full). This almost immediate right to sell your timeshare back to Wyndham for the whopping 20% of the net purchase price of the contract was quickly modified to require a one year holding period. Months later, the holding period was again changed, requiring a lengthy holding period of 5 years.
In other words, a Pathways member had to invest an additional 20% of their contract’s aggregated purchase price in order to have the right to tender such contracts back to Wyndham in 5 years. By the way, your paying for the “right” to ask Wyndham to buy back your timeshares. According to the fine print, the Pathways Program is really a glorified right of first refusal, and in no way obligates Wyndham to buy anything.
Unfortunately, most investment advisers will tell you that this is a ridiculously terrible investment. One may be better served be investing their money in Wyndham’s stock. Looking at Wyndham’s stock performance over the last five years, if one were to have invested $50,000 in Wyndham’s common stock (instead of a Wyndham timeshare) in September 2009, their investment would be worth almost $250,000 today! In other words, instead of owning a worthless $50,000 timeshare contract, you could be sitting pretty (along side of Wyndham’s executive officers and directors) with a quarter of a million dollars.
If the next five years are like the previous five years, investing in Wyndham securities is a far better proposition than the meager 20% offered in the Pathways Program. In fact, with Wyndham’s aggressive stock repurchase plan, its undoubted where Wyndham will be investing your money once you buy that next Pathways Contract, it will go to invest in their own stock – what you should have done in the first place.
In short, its a fraudulent scheme to get existing timeshare owners to buy more Wyndham timeshare points. While its being sold as a “true buy back program,” the real truth is that its nothing more than a worthless piece of paper. As previously reported, the Pathway’s “contract” does not obligate Wyndham to purchase your points…in any way, at any time, at any price.
Second, the so called “contract” refers to itself, meaning that if Wyndham were pressed into purchasing some of your points, they will only pay you 20% of the price you paid to take part in the Pathways program (i.e. 20% of the new points you purchased to take part in the pathways program). Its a horribly dishonest scheme designed to take advantage of those who in desperation may need to sell their points (which are actually worthless and cannot be sold on the open market).
Finally, the Pathways “contract” isn’t a contract at all. Wyndham does not actually sign the document, and therefore does not ever legally bind itself to anything contained in the document. In truth, when you boil it all down, Wyndham is asking you to buy more points (105,000 or more additional points) so that you will have the right to “tender” those same points back to Wyndham for only 20% of what you paid for the points. Utterly Ridiculous. Its a lose-lose proposition every time. If you’ve become a victim of the Pathways program, call or email us today to discuss your rights! (818) 394-0347 or firstname.lastname@example.org.
Wyndham’s Pathways Program: Real Buyback or Sales Scam
The most recent addition to Wyndham’s vacation ownership (timeshare) offerings is the “Pathways Program.” The Pathways program is being touted as a “real” buy back program, providing timeshare owners with the right to sell their timeshare contracts back to Wyndham for a whopping 20% on the dollar. However, upon closer inspection it becomes clear that the new program is not a buy back or redemption program at all, but another Wyndham sales scam to sell more points.
First, the program requires the Wyndham owner to purchase additional points in order to participate. The Pathways buyers we interviewed stated that the price was twenty percent (20%) of what they currently owned. So if you owned One Million Points, you would presumably have to buy an additional 200,000 points to participate.
Second, not only is the program costly, but it never truly obligates Wyndham to purchase your timeshare points. A careful reading of the Pathways “Terms and Conditions” reveals that Wyndham does not actually promise to buy back your timeshare points. To the contrary, the supposed contract states that ” WVR has no obligation to purchase Owner’s eligible timeshare contract(s).” In Wyndham’s own words, it only has to purchase some or all of your timeshare contracts if it “elects to purchase” under the Program. The Pathways Program merely gives the owner the right to “provide Wyndham Vacation Resorts, Inc. (WVR) AN OPPORTUNITY to purchase the ownership interest,” an opportunity that it is never obligated to exercise. Consequently, Wyndham has once again hoodwinked its very own members into buying additional largely worthless timeshare points without actually offering anything of value in return.
The Pathways Program has numerous additional problems, the most obvious of which is that the Pathways ‘contract” is not a contract at all. A contract requires at least two parties to exchange promises. The “Pathway by Club Wyndham” document is cleverly only signed by the timeshare owner. Wyndham never executes the one-sided document. The document, therefore, is unenforceable against Wyndham.
In conclusion, the Pathways Program is a fraudulent scheme by Wyndham to sell more timeshare points. It promises absolutely nothing. Moreover, even if Wyndham was guilted into purchasing your points, the math will never work out in your favor. Our next article about Pathways will show you how the Pathways program is calculated to ensure Wyndham always profits.
The Terms & Conditions of Wyndham’s New Pathways Program
The following is an actual copy of the new Pathways Contract. Our attorneys tell us its not worth the paper it’s written on. Read carefully and see for your self .