What happens to buyer funds upon cancellation of a timeshare contract within the right to rescission period?

What happens to buyer funds upon cancellation of a timeshare contract within the right to rescission period?

• A. They are kept by the seller
• B. They must be returned within 30 business days
• C. They must be returned within 15 business days
• D. They are not refundable

Answer: (C)

When a buyer cancels a timeshare contract within the right to rescission period, the law mandates that the seller must return the buyer's funds. Specifically, this return of funds must occur within 15 business days of the cancellation notice being received by the seller. This requirement is in place to protect consumers and ensure they are not financially penalized for exercising their right to reconsider their purchase decision within the stipulated time frame. Thus, the correct response highlights the urgency and responsibility placed on sellers to fulfill this obligation to the buyer promptly after a cancellation.

When a buyer cancels a timeshare contract within the right to rescission period, the law mandates that the seller must return the buyer's funds. Specifically, this return of funds must occur within 15 business days of the cancellation notice being received by the seller. This requirement is in place to protect consumers and ensure they are not financially penalized for exercising their right to reconsider their purchase decision within the stipulated time frame. Thus, the correct response highlights the urgency and responsibility placed on sellers to fulfill this obligation to the buyer promptly after a cancellation.