How to Avoid Contest Scams

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What This Page is About?

Like many of you, I too have been contacted by Telemarketers after I entered a contest.

I'm also going to let you know how to avoid these contests online, at a fair or trade show. But first I am going to explain why I am qualified to write about this topic.

You are asking yourself, how am I qualified to write about Contests scams. Well, I used to work for one, and I am also going to give you my side of the story as well as give you some of the customer complaints about this company.

Why I am Qualified to Write About This

How do Contest Scams Work?

I think that I can tell you that I used to work for a company called "Chateau World."

I don't know where Chateau World gets the money to pay for a booth. But if you don't know anything about Fairs and Trade Shows, each company that registers has to pay for a booth.

I also don't know how Chateau World decides what contests they are going to advertise. All I know is that their past contests were "Win a Car," "Win a Trip to Vegas," and "Win $25,000."

I don't know if someone wins those prizes from the shows. All I know is what happens to all the ballots once these events end.

But Chateau World did go to these Fairs and Trade shows to get people to enter these contests. After the weekend was over, they take those entries and gave them to the Data Entry people (That's me).

We then separated the lists into Qualified, Not Qualified, and Unknown. The way that we knew who is qualified is if they check that they are over the age of 18 and owns a home.

That's what my next job was: to enter the entries into the computer. Then all the entries get printed off.

The printed off ballots then go to the Telemarketers. They would call the people and ask if they would like to own a shotty Timeshare in Canmore, Alberta. Canmore is a small town just an hour away from Calgary. Chateau also once had some Timeshares in Banff that needed repair. But when I started there, it was all about the Canmore Timeshares.

Some Helpful Sites to Help You Learn to Avoid Contest Scams Online and Off

Sweepstakes Scams and Safety - How to Avoid Contest Scams and Sweepstakes Frauds
This is from About.com.
Contests and Agencies to Avoid
This is for anyone who is a writer or a poet. I can tell those upcoming Poets is to avoid the Poetry.com contests. Those ones are scams.
Avoid Getting Cheated in Online Contest & Sweepstakes Scams
I am only writing about my experience with in person scams. This one gives you information on Online Contests and Sweepstakes Scams.
Avoid Poetry Scams
Another one warning about Poetry Scams.
How to avoid Scam Blog Contests
I didn't know that there are Scam Blog Contests out there.
Better Business Bureau
If you are scammed, then you can go here and complain about the contest.
Scambusters.org
Another site with lots of information about how to avoid scams.

What is a Timeshare?

According to Wikipedia, a timeshare is where multiple owners have the right to use a property as a vacation house They are usually resort condominiums that are being used. Each of these time shares has an alloted time which the owners use the property. The period time alloted is usually for a week and also around the same time each year. The Time Share can be either part-ownership, lease, or "right to use." However, the owners do not claim full ownership of the vacation property.

I'm not a Real Estate agent or know the laws on Timeshares. I'm not too familiar with the Real Estate jargon. So if you want to know more about Timeshare Ownership, go to these sites for more information.
Timeshare
The Wikipedia definition.
Howstuffworks.com
Some more definitions of Timeshares.
AllExperts
This is a question that someone asked about Timeshares. Please read the answer.
Encyclopedia of Everyday Law
Tells you more about Timeshares and how they work.
Timeshare Companies Directory
This is a list of (Hopefully) Legitimate Timeshare Companies.

Books on Timeshares

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Timeshares on eBay

Pay for one of these after you do your research. This is the best advice that I can give. The best way to do research is to google Timeshares Scams and then your dream vacation spot. Please read those before you decide to join. Besides, there might be a scam artist on Ebay.
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How Chateau World and RCI Scams Customers

This is what I have heard and read from former customers that were scammed by Chateau World. I also have read some of what the company does to get customers involved in these Timeshares.

When the Telemarketer calls and the customer agrees to the Timeshares, they are first invited to go to a presentation. They go to the presentation and were greeted by a representative. That representative talked more about the company, the Timeshares, and had people watch a video on RCI and all the vacation timeshares around the world that they can stay in (That are under the RCI banner). They were also introduced to the RCI point system. I do vaguely remember going through the Chateau World papers and reading something about their useless point system.

Chateau World and RCI also then promised these poor people special deals on "5 Star Resorts" and "First Class seats" on any airlines. These representatives gave quotes about how much a trip will cost with a RCI membership.

Then the victims are introduced to the Sales Manager of the company. The Sales Manager gave the customers interested in the properties "RCI Participation Agreements," a worksheet, and a Contract Agreement. Some people reading the Contract got confused with one thing. The acronym RCI really means "Resort Condominiums International" not "Royal Club International" (Hey, I didn't know that until I was researching this old scam company. Employee too thought that RCI meant Royal Club International.

One condition of the Contract Agreement was for the customer to sign a "promissory note' for the financing portion. People where told that it was for legal protection for the company. Otherwise, if a member takes a big trip and doesn't pay out of their membership type of note.

The Sales Manager the promises the victims that they would "bind" (I'm a pagan, and binding means that they are locked in and will not get out. But I digress) the contracts into a membership album (I've never seen the album myself).

The people being scammed were also told of a 10 Day Cancellation Policy.

There are customers that did cancel within the 10 day policy and were told by someone on the telephone to return all the information that was given during the presentation. Strange, because all of those were evidence to convict Andre Muran and send him to jail. Then either presentation representative mentioned something about "Flex Points" (Don't ask what it is, I just did Data Entry). When the customers called the company to ask for "Flex Points" other employees were clueless as to what they were.

Before I forget, there is one last thing that I have read about Chateau World. It's in the CTV link below for you to read further. But in 2010, the condos that the company was trying to sell in Canmore went into foreclosure. So there is some good news there.

Chateau World and RCI

I am giving you the RCI link to look at and see for yourself. DO NOT JOIN THIS. There are also links that do mention Chateau World as a scam.
Royal Club International
This is the link to RCI
CHEATauWorld Bulletin Board
Whoever did this site, I thank you for it. I've never ever spoken to Andre Muran. I did see him when I worked at his company. So I am glad that he doesn't know me.
Chateau World Travel Club update
Good news! The Canmore resorts are now in foreclosure. Read some more about this update.

Timeshare Scam Links

How to get out of a timeshare
If you got stuck with a scam Timeshare company, here are some tips to help you get out of one.
Timeshare Scams - Detection Made Easy
Some helpful information here.
Timeshare Scams
This is from Scambusters.org where they are talking about 7 tips to avoid these scams.
Consumer Action Group
This is a forum to where you can write about your complaints about Timeshares.
Canadian Scammed While On Vacation?
This is for Canadians only.
Mexican timeshare scams thousands
A site telling you to be aware of buying timeshares in Mexico
Vacation Timeshare Scams
This is blog about some more timeshare scams in Mexico
Timeshare Forums
Someone in a Forum wrote a letter to RCI, which is where Chateau World came from.

Better Ways to Travel to Banff and Canmore

These are legitimate sites about traveling to Banff and Canmore, Alberta. So if you are planning a vacation in either of these two areas, these links will give you a better idea as to how to plan your vacation. These sites also tells you what you can do when you visit Banff and Canmore.
Travel Alberta
This site shows what to do in, not only Banff and Canmore, but all over the province of Alberta in Canada.
Town of Banff
This is the official website to the small town of Banff, Alberta.
Banff & Lake Louise
This one not only tells you about Banff, but another Alberta small town Lake Louise.
Travel Alberta Accommodations
This site will help you with booking the ideal accommodations that is right for your budget.
Banff National Park of Canada
This is an official Alberta Government site about Banff National Park.
The Town of Canmore
This is the official Town of Canmore site.
Canmore Kananaskis
This is for all you tourist out there. This site gives you information on accommodations, eating, entertainment, and activities.
Canmore, Alberta
This is a travel guide website.

Examples of Behaviors of Chateau World Toward Their Employees

Now that I mentioned how a Scam Job works, let me tell you the one thing that happens to employees who work at one.

I do remember that this happened to me a couple of times. I had a few of my paycheck bounced. The only thing that I gave my company was hell when this happened. No, I didn't threaten to expose them, I just gave them heck and they paid me for those bounced checks.

Some people did quit because of the paychecks: I didn't.

There were also lots of managerial changes. My own boss quit, and I had no boss after him. There were also a high turnover of Telemarketers.
As for Data Entry people; From September to June, I was the only one left.

There was about a couple of times during my employment that I saw a notice on the door from the renter threatening us that we will have to move if we don't pay the rent. I remember telling this to one of my managers and they said not to worry about it.

The company Christmas party was held at Canmore, Alberta (That's where the shotty Timeshares were). We didn't eat at the condos, we ate at a restaurant. But I remember my parents complaining why the Christmas party wasn't in my city of Calgary, Alberta. One of the manager also suggested that we stay at one of the Timeshares to which my parents and I refused. We drove back home early that night. Thank god we did not stay there overnight.

The last four months of that job, all I did was be on the Internet for eight hours. I hardly did any work that I was paid to do. I did complain about it to my manager and they tried to find something for me to do. During that time, I do remember going online and researching some of the complaints that "Chateau World" has gotten from people that they have scammed into buying Timeshares. Some of them are probably still in court to this day about it.

Then the day came when the company laid me and all the other people from that office off. That's when I was really angry.

Books About Scams

These books will save your life.
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How to Avoid Contests Scams

The one thing that I have learned from this job what contests to enter.
  • This rule applies to anything - If it's too good to be true, it probably is. This is mostly true for high priced items like vacations, money, and cars.
  • If you go to a Fair or Trade Show and you want to enter a contest - know the company. That is if a radio station, newspaper, or a brand name has a contest, enter those. These companies do not have Telemarketers on their payroll. If they do, then send a complaint to that company. This is also true if you are entering a contest online as well.
  • Enter contests where you will win low priced items like books, DVDs, and personal care products. You'll likely get what you win more easily than a vacation, car, or money. I did that once and I won a basket full of stuff, plus I was asked if I wanted to join to sell the companies products. I didn't but kept some stuff and gave the rest away to other people.
  • In order to not get a call from a Telemarketer, do not answer the phone. You can tell that it is a Telemarketer because they do not leave messages on your answering machine or voicemail. This is way better than putting yourself on the national "Do Not Call" list. Telemarketing companies will find their way around that law anyway. Besides, they know that you are the one that wrote your name and number on that entry.
  • When you enter a contest and you are not sure if it is a scam, do not write your phone number on that form. You can write your email address on it just in case. Emails do have a blocked list nowadays. If you are entering a contest online and it does require you to enter a phone number (And you don't know the company), do not enter it.
  • Do not go to Fairs or Trade shows. If you do, then don't enter any contests.

Conclusions and Recommendations

I never bought a timeshare and I never will. I am the type of person that wants to go on a vacation to different cities and countries. I don't want to go to the same place all the time. And if you are like me, just avoid timeshares all together. But if you do fall in love with a vacation hotspot, then feel free to own one.

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by

szeman

I am currently studying Broadcasting at Mount Royal University here in Calgary, Alberta, Canada. And I love to write about topics that I am more inter... more »

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