Complaint Review: Sunterra Financial Services Sunterra Corporate Headquarters - Las Vegas Nevada

On March 12, 2007 during a vacation in Sedona Arizona, my husband and I purchased a time share from Sunterra, putting a $2,500 deposit on the purchase, informing them that we would pay off the full sum when we returned to Canada after the vacation (March 26/07). On March 26, 2007 we authorized payment in full on my canadian MasterCard (MC). We wanted to pay by MC to accrue air miles points, and made special arrangements with cdn MC to increase my credit limit to accomodate paying a $22,500 US bill. I checked with MC and Sunterra a few times between March 26 and April 10, 2007 as the cash-out payment was not processed by Sunterra.

On April 10, 2007 I called Sunterra again and was notified by a company rep (Denise) that there was no problem on my side; that the purchase transaction had not been processed by Sunterra. I asked if this would effect our purchase because I did not want to pay any interest charges. I was informed that I would not be penalized for Sunterra not processing my payment. This reduced my anxiety, and I proceeded on a mini-vacation. I checked with MC a few times to ensure that the transaction was not denied because of the conversion of the purchase price to Canadian dollars.

On May 16 we received a bill for maintenance fees for 2007 (which we thought was included in the purchase). On May 17th when we called Sunterra to deal with that, we were informed that we owed mortgage and interest. Shanna (company rep) stated that they'd tried on March 28 to process the payment, but it had been refused by MC. They stated they left a message advising me and that was written in their computer records.

They did not notify me (I have voice mail), and nor did anyone from Sunterra who I talked to between March 28 and April 10 tell me that my card had been denied. On May 18th (Fri) I immediately called MC and MC assured me that my card had not been refused, and nor had there been attempts to put through such a payment. I therefore appealed Sunterra's late charges (approx $500 US) and informed them to process the original amount on my credit card, asking them to check into it.

Between May 22 and June 18 were numerous discussions between myself and Sunterra, getting nowhere. They told me that they could not process the original amount, but only 100% of the new total (now a mortgage & interest!) They stated that I could not cancel the purchase as I was 'out of time' and non payment would lead to foreclosure and legal fees! The phone discussions by Sunterra were threatening, accusatory, talking over me, trying to confuse me, refusing to look into the matter, and generally upsetting. I did not know what to do! They refused to take payment, refused to cancel! I refused to pay an additional

I reached the sales department of Sunterra (Arizona) on May 29th in hopes that they would be able to address this, and asked our Quality Assurance Officer (Brenda) to help us address what was occurring, and for her to explain reconciling the records/experience of my husband and I and MC, with the changed information from Sunterra. Brenda was a breath of fresh air, honestly trying to bridge communications and bring the matter to a close, or at least reduce the risk of further financial penalties. She forwarded me an email from the finance dept stating that they refused to allow a cashout but would allow a payoff, but only with the mortgage and interest payments!

My husband and I now wanted nothing more to do with Sunterra - but were afraid of a bad credit rating and legal bills because they stated we could not cancel the contract!

On June 12 Sunterra's supervisor (Tish) finally agreed to take the original amount, but stated that the card was denied. She informed me that Sunterra financial services could not take canadian credit cards, and I was to forward her a cashiers cheque! Given I had paid $2,500 originally using my canadian credit card (same one!) to their company already, I did not believe this. I asked them to investigate, and told them that if the problem was that they could not take my canadian credit card, they should waive the interest and all penalties as this was not our fault! They took our card originally, and they did not have any problems then. Many canadians were purchasing while we were in Arizona, none seemed to have any difficulty. I would think that if there were issues, that is when they should have been raised! I asked them to contact the sales department to have them process the charge on my MC.

Cashiers cheques cost money, and the interest accrues on a daily basis, a very expensive payment process. Their 'option' was that we would end up paying even more money for something that was not our fault, and for which we had notified as a problem since April 10, 2007.

Today, June 18, 2007 in order to resolve, Brenda (Sunterra) conferenced called me, herself and Sunterra financial - which she called collections. This was the first time we knew we were dealing with Sunterra collections. During this 3-way call, collections (Stacy) agreed to process the original sum, but argued that I would still accrue interest and penalties on a daily basis, on any money outstanding. She warned me, and again requested a cashiers cheque. The payment did not go through, despite tries. She received an error message "card is not launching". She stated it was MC problem. Agreement was reached that I would conference call MC, collections and myself together to address the issue.

Within 10 minutes the conference between collections, myself and MC occurred, where Stacy tried to put through the card a number of times. MC stated there was no record of any attempts, and suggested that Stacy reach their merchant services to resolve the issue. Stacy would not do this.

I then talked to her supervisor (Rick) who stated that the payment would not go through because it was canadian. that they could only accept US credit cards and US cashiers cheques. That he had never had a situation where a canadian had only canadian credit cards and no US fund bank account. I again asked that they authorize their Sales Dept to process the payment - which he rejected. he stated that they don't have the rights, and any payment they processed would not go onto my account.

I again stated I wanted to cancel the purchase, he again stated that I could not, that I would have to pay. I stated they put me into a position where I can't cancel, cannot pay. Stated that I could pay by US money order. But I want to get out of this totally. They have proved to be dishonest, unwilling to investigate or accept a version different from their own, they have threatened. I can not enjoy vacations dealing with them.

HELP! How do I get out of this!!!!

Karen

Vancouver, British Columbia

Canada