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Royal Holiday Club


U.S. State Department warns against Mexican scams

Complaint Rating:  92 % with 77 votes
92% 77
For those looking into doing business with Royal Holiday, vacation clubs are timeshares. Read below and then research Royal Holiday complaints:

Purchasing Real Estate and Time Shares.

U.S. citizens should be aware of the risks inherent in purchasing real estate in Mexico, and should exercise extreme caution before entering into any form of commitment to invest in property there.

Investors should hire competent Mexican legal counsel when contemplating any real estate investment. Mexican laws and practices regarding real estate differ substantially from those in the United States. Foreigners who purchase property in Mexico may find that property disputes with Mexican citizens may not be treated evenhandedly by Mexican criminal justice authorities or in the courts.

The Mexican Constitution prohibits direct ownership by foreigners of real estate within 100 kilometers (about 62 miles) of any border, and within 50 kilometers (about 31 miles) of any coastline. In order to permit foreign investment in these areas, the Mexican government has created a trust mechanism in which a bank has title to the property, but a trust beneficiary enjoys the benefits of ownership. However, U.S. citizens are vulnerable to title challenges that may result in years of litigation and possible eviction. Title insurance is virtually unknown and untested in Mexico. In addition, Mexican law recognizes squatters' rights, and homeowners can spend thousands of dollars in legal fees and years of frustration in trying to remove squatters who occupy their property.

American property owners should consult legal counsel or local authorities before hiring employees to serve in their homes or on vessels moored in Mexico. Several American property owners have faced lengthy lawsuits for failure to comply with Mexican labor laws regarding severance pay and social security benefits.

American citizens should exercise caution when considering time-share investments and be aware of aggressive tactics used by some time-share sales representatives. Buyers should be fully informed and take sufficient time to consider their decisions before signing time-share contracts, ideally after consulting an independent attorney. Mexican law allows time-share purchasers five days to cancel the contract for unconditional and full reimbursement. U.S. citizens should never sign a contract that includes clauses penalizing the buyer who cancels within five days.

A formal complaint against any merchant should be filed with PROFECO, Mexico's federal consumer protection agency. PROFECO has the power to mediate disputes, investigate consumer complaints, order hearings, levy fines and sanctions for not appearing at hearings, and do price-check inspections of merchants. All complaints by Americans are handled by PROFECO's English-speaking office in Mexico City at 011-52-55-5211-1723. For more information, please see the PROFECO’s "Attention to Foreigners” web page at Profeco (Procuraduría Federal del Consumidor).

Avoid Disputes With Merchants. Be a Careful Shopper.
Complaint comments Comments (48) Complaint country Mexico Complaint category Travel & Vacations


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 30th of May, 2007 by    0 Votes
This is important, lets pressure law makers to make the airlines and travel agents give this to travelers.
 31st of May, 2007 by    0 Votes

Royal Holiday - Hyatt Cancun supports scamming Americans

I can't see how the headquarters of Hyatt can support the promotion of scamming Americans against the advise of the United States State Department. Where are the headquarters of some of these hotels? If they are American Companies, then the hotels should be sued, and maybe we can get some action from them? Is there a way to find out which corporations own the hotels being used in the scams. I say if we can let's go after the hotel chains that are not owned by Royal Holiday and make them notify their guests of the United States State Department warning. Every guest at the Hyatt in Cancun should be given a copy of the warning against Mexican Time Shares. I can't believe this company is complicate in stealing from me.
 31st of May, 2007 by    0 Votes
I wish I had read the U.S. State Department web site before traveling. Who does that? I will now.
 31st of May, 2007 by    0 Votes
I don't understand why the State Department does not do more to get this information out since there is so much that has to be done once the complaints are filed.
 31st of May, 2007 by    0 Votes
This should have been given to us by our travel agents.
 2nd of Jun, 2007 by    0 Votes
Why don't we get this before we are scammed? This reinforces the fact I am screwed, but it would have been nice if my travel company had sent it to me when I booked the trip.
 9th of Jun, 2007 by    0 Votes
I would hope that the State Dept. would take this more seriously and distribute the warning on airplanes to citizens who need to see it before they become victims. Seeing this now is not doing me a bit of good.
 1st of Jul, 2007 by    0 Votes

Royal Holiday - It is a scam 0r they do nobody allow to cancel!!!
United States


We are also interested in suing Royal Holiday. We have signed contract but we have canceled in 5 days as required by Mexican law (we have copy of certified mail receipt). Still they do not want to honor our cancellation, we have sent email, called them and visited their office with cancellation letter. they refuse to hear it. Seems like they have some deal with Concord Collection Agency... Now they want to ruin our credit history... It is harassment and my health is getting ruined... Thanks.

 22nd of Oct, 2007 by    0 Votes
I was CONNED out of 10,000.00.Royal Holiday Club representatives are LIARS and should be run out of business.They are professional SCAM artists and the traveling public should be fully warned NEVER to do business with those CROOKS!
 10th of Dec, 2007 by    0 Votes

My girlfriend and I went on vacation to Ocean Bavaro Punta Cana, in the Dominican Republic on August 2006 and we were also scanned by the RHC representatives.

After wasting an entire day listening what the RHC program offered we decided that we cannot afford to be members and besides we do not travel anywhere else but to the Dominican Republic because our family lives there so we invite them to stay at the resort to spend time with us. We kept saying no, no but they kept putting pressure on us.

We were assured that wasn’t a problem so they would make us a deal that will be affordable for us for the amount of $9,000 and that we will receive 10,000 points for one year plus they will give us 9 days to stay at any resort in Punta Cana with the best hotel which are 5 stars, the best room near the beach, entitled to eat in the best restaurants and overall have the right to invite our family at no cost since we were members They also told us that they have their own travel agency in NYC and the airfare will cost approximately $300 for person and will save approximately $700. We were like “wow”. They said that we would stay at the best hotels 5 starts going around the world. It was too good to be true. They never mentioned the 5 day cancellation period to us. Upon signing the contract we noticed the contract was written in Spanish but I do not read in Spanish. I asked for an English version but they said were out of the English version and once you get back from your vacation just call Royal Holiday and they will mail you a copy of the contract in English.

We decided to see if maybe we will get for what we paid for, boy we were wrong. We realized the value of the 10,000 points was not what was described to me. Many of the destinations were well over 20,000 points per week – with many restrictions – making the two weeks per year virtually impossible. You could do two weeks per year if you went to certain locations during non-peak times (but, this wasn’t how the plan was described, and this wasn’t travel flexibility). The value of the plan was definitely not as described or promised.

After we arrived to the City of New York, we made many phone calls asking RHC to mail us the English version of the contract to our home. We have spoken with Francisco Perez on October 10, 2006, Omar Miguel on May 2, 2007 Gregg Brown May 16, 2007. Mónica Espinoza June 7, 2007 and many others RHC representatives that we cannot recall now, and all they promised they will send us the English version of the contract in 10 days. At this point we are still waiting for it. One year later I was finally able to obtain a copy of the contract in English by going personally to Royal Holiday Club in Punta Cana, Dominican Republic one year later. After waiting for more than one hour outside on the front gate finally I was able to convince them to provide me with a copy.

This year we wanted to take a vacation through our membership so we call the RHC in Arizona and it was indicated to us that we must contact the RHC in the Dominican Republic. To our surprise after spending on calling cards and money to get in touch with the RHC in the Dominican Republic we were told that we have to pay $80.00 per room without meals, that they do not have any travel agency in NYC, and hat we have to pay for own taxi from the airport to the hotel. So we could not even use our share. It was cheaper through a travel agency than through our membership with RHC. We were furious and for our next vacation we ended traveling with Apple vacation which it comes out cheaper than using the RHC services. After paying up more than $6,000.00 we have decided to stop the payment to RHC. We have been robbed. RHC has misrepresentation and high pressure selling practices, failure to disclose conditions of the offer and verbal representations not consistent with written terms of the contract.

We are going to fight to get our account closed and to get our money back and to let other people know about this big RHC scam but we need more information in seeking legal assistance. We spoke to our Union lawyer in NYC and after she looked over the contract she has indicated to us that we have not jurisdiction because the contract was signed in a foreign country but because the collection office is located in Arizona the office of the attorney general will be able help us.

Here are some of the RHC names who have misled us:
Omar Miguel, Francisco Perez, Mitchell, Joe Mercado, Greg Brown, Fernando Perez, Lisa Haranda, Mónica, K. Vilorio.

We recently learned that all complaints in this regard should be forwarded to the office of the Attorney General of Florida at The Capitol-PL 01, Talahassee, FL 32399-1050; phone: 850-414-3300. That office has already been receiving many complaints against the RHC, and if it continues to receive more, it will take action by bringing a lawsuit against RHC. So we encourage you to please report your complaint to the office of the Attorney General of Florida-- the office has assured us that RHC DOES fall under its jurisdiction and the office WILL take action if enough complaints are received.
 13th of Jan, 2008 by    0 Votes
I only joined less than two weeks ago but I already have our nightmare. We were totally mislead and not given truthful information. We are going to send a letter tomorrow to the Attorney General in Florida, Profeco and other agencies. Does anyone really know who is the main company of responsibility? As you read through their materials they mention Mexico City, Switerland, Miami, FL and Arizona. Any advice would be appreciated.
 18th of Jan, 2008 by    0 Votes
I have contacted the State Department to find out about such advisories as Wyndham is on a buying spree in these depressed areas. Watch them and see what they do!
 7th of Feb, 2008 by    0 Votes
I reported Royal Holiday to the Florida Attorney General and the BBB in Florida a year ago and they did absolutely nothing. Unless they have received more complaints, they basically told me to get lost. The BBB tried, but RHC is not a BBB member, so they could not do anything. I ended up settling with them - They would remove the deragotory information from my credit report if I agreed to let them keep my $10,000 for no services. They completely ruined my credit. I agreed to their conditions to get my credit back. Basically, I was blackmailed.
 3rd of Mar, 2008 by    0 Votes
I used to work for Royal Holiday Club, in the corporate office in Mexico City, not Miami Fl, like they lead you to believe. Unfortunetly I agree with all the complaints that are presentated on this page. just to let you know, all of you guys that have that infamous "anuity certificate" that your sales rep said would return your money after 30 yrs, well... its not true, in the history of Royal Holiday there hasn't been one single "anuity certificate" been cashed and the "bank" that holds your investment doesnt even exist, If you dont believe me, just try calling someone from that "bank" (the tel number is in the back of your annuity cert) and i assure you will never get an answer, and if you are lucky and you do get a call back, is more than likely to be a reservations agent from Royal Holiday. I would suggest you either sell, rent or give away your membership before it eats you away. Oh... and to all those people that think of reporting Royal Holiday to any American/Canadian Agency, dont waste your time or any more of your money for that matter, it's not going to do you any good. The U.S government or law has no jurisdiction in Mexico or the Caribean were all of the Royal Holiday sales take place, why do you think that they dont sell memberships in their U.S resorts? Anyhow, Royal Holiday is not THAT BAD, you can actually make business out of it, well if you are smart about it ofcourse, you can sell vacations using your points to friends, family or co-workers, just advise them not to make your same mistake, you dont want to see them back home with a 5,000 point membership that is not even good to cover for a decent family vacation. oh...and to all of you guys that complain about availability, please take into considerations the following points:
1)the amount of points you have (having 5,000 points does not make you a v.i.p when there is someone else that has payed a membeship for 100,000 point, yes, there are people that pay more than 100,000 usd and are happy with RH)
2) seasons (for more availability go during months no one else is vacationing)
3)locations (its not the same going to the bahamas than going to hawaii, therefore is not going to cost you the same)
4)amount of people vacationing (please dont try to squez a family of 10 if you only have 5,000 points and can only afford a room for four people)
5)room accomidation (again, with a petty membership of less than 30,000 points, you are never going to see what a presidential suite looks like, sorry..not happening)
I truly feel your frustration, i had to deal with all of your complaints for 2 yrs, as a former NEW MEMBERS agent, if you want things done, you have to be super persistent and super duper NICE, most of the sales and reservations agents that RH hires hate the gringo ego and gringos in general (AMERICAN/CANADIANS)
Currently I am located in the South Florida Area, if you need any more specific info on how to make your membership to good use, in other words, how to beat the monster known as ROYAL HOLIDAY,you can email me to

I charge of course, hey... i have to pay my way to college, nothing personal, just business
 1st of Apr, 2008 by    0 Votes
My fiance and I were approached in Bali by the royal holiday club, a scratch card I had won a free week's trip to a royal resort in Bali or Goa and I had to spend time at their seminar so I listened and I liked what I heard, I already started signing on the dotted lines but we both had a bad feeling about this, and then my fiance and I started to see the finer print (hidden costs that nobody mentioned) so we pulled out immediately and their consultants became somewhat agressive about us declining - I'm so thankful looking at the stories above. I still have this trip that they've said that I won, but the terms and conditions give them the right to cancel my acomodation and move me some place else once I'm in Goa! I also need to listen to their sales schpeel again when I go to their hotel. Based on their reputation, I have to wonder if i can even trust going all the way to Goa- India on their invite!!
 11th of Apr, 2008 by    0 Votes
Here's a complain letter sent to Royal Holiday management on 7th April'08

We became member of Royal Holidays Vacation Club during our trip to Cancun in May 2005. We were very concerned about signing up for membership, and only agreed to purchase membership after we had several unique terms and provisions added to the contract, which were agreed upon by your company's management. Once these stipulations were added, signed up for Gold level paying US$15, 000 for the membership. We have included copies of the contract addendums for your ready reference.

Since becoming member we have regularly paid our annual fees and other asked for dues, but have been totally disappointed with our experience. Numerous attempts to book a hotel were unsuccessful as we were told either the dates were not available or hotel/resort was fully booked. Every time we have contacted you to make hotel/resort reservation since becoming member, we were unable to get accommodation through your network. One of the conditions agreed upon was to provide us with other comparable hotel/resort in case of non-availability within the Royal Holidays network. Unfortunately we were never provided such accommodations, which made us spend money outside of the club on our vacations.

As such we have been unable to use any of our accumulated credits. We had called last year and told your representative to roll over all of the unused credits since from 2005 to 2008, but to our surprise we do not see them in our account. As per our contract terms, we should have all unused credits since our membership, and not just those from the previous year.

We would like to get all the unused credits placed back into our account. Upon seeing this reflected in our account, we will immediately pay the dues for this year (2008) and truly hope that starting this year we will be able to make reservations using Royal Holidays. We hope to see positive action from you. Please write back or call us to inform us. Thank you very much.

As of 11th April'08:

Just called and spoke to David at 1-800-961-1810 x 2620 and tried to resolve the issue but employee was rude, ignorant and arrogant. Tried to book resort in Miami and was as usual told its NOT AVAILABLE. You have to plan vacation like 6 months to a year in advance. When we signed up we were promised to be able to book as early as 2 - 30 days in advance. Also were assured to find alternate resort/hotel if they can not find one on dates preferred.
Today on the phone their representative David acknowledged as an alternate you could call Travelocity, Hotels.com or sleep on the road. Can you believe it? This company is total FRAUD. They misrepresent and lure new members into what I see as SCAM !!
 15th of Apr, 2008 by    0 Votes

Royal Holiday - scammed and the refused to cancel
Royal Holiday

My husband and I were pressured to join in Sept 2006. Within 5 days, we tried to cancel and were refused. We contacted Bank of America credit card Co. for help, and they told us that there was nothing that they could do for us. We have since tried multiple times to book a vacation to no avail. There is never anything available where we want to go. We paid the $10, 000.00 in full in July 2007 and told Royal that we would not use there Company, and that we did not want to hear from them again. We then received a bill for $375.00 maintenance fee. I complained, and was told to pay or we would be contacted by a collection agency. We were, and we were told that we must pay for 30 years even if we don't use the club.
 2nd of Jun, 2008 by    0 Votes
Hi to all!! I'm from Mexico, and also have an horror story from RHC.
I live in Matamoros, Mexico across the border from Brownsville, TX and in my case the people from RH contact people trough credit card usage and contact you to your home phone inviting you to a meal and a complementary week on a beach resort of you choice.

After few hours of heavy brain wash of convincing, you finally sign the contract just to find out that all that you've heard previously is a lie.

One item on the Mexican contract (I don't know if the English one is the same) is that there only two ways that the contract can be revoked:
1. During the first five working days returning all the information received from them, and sending a letter asking for the cancellation to the local office, to the legal representant and to Mexico city.
2. Only when the condemned I mean the client, fails to pay monthly/yearly the payments and the company has all the right to cancel the contract and KEEP all the money already spent.

Of course I've tried the first option traveling to Monterrey, Mexico (the nearest city with RH Offices) and as you can guess they refuse to cancel the contract at that time telling me that it has to be checked first...

By now I escalated the issue with profeco, waiting to fix this issue up, I'm sure that many persons are victims of this kind of ripoffs and the only thing that we can do in a future is be more careful and tell all our friends/family not to fall with this kind of fraud
 10th of Jul, 2008 by    0 Votes
We've had our membership for around 9 years or so. It's paid up---only annual fees. Looking over my contract I believe I can simply walk away from it without too much hassle. I'm sure I'll be hassled by their collection service but my credit rating can handle it. I even tried to donate it to "donatemytimeshareonline" but they didn't want it. Think of that if you're trying to sell it. Looking back at my total experience with RHC I can't say I'm totally dissapointed----but it wasn't one of my smartest moves.
 16th of Jul, 2008 by    0 Votes
Why didn't you get contact Owner's Advocate? They told me they would be able to help me! They said we were protected under the comsumer protection act! They are Better Business Bureau approved!

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