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Re: Chronological procedures in renting a TS? (by R P.):

stanleyf5 wrote:

Hi. If you want to spend a total of $850, and an escrow company will charge $100, then offer $750 for the rental fee. I suggest wording in the contract that says that if one of the parties does not fulfill their obligation and a suit or arbitration proceeding results, that the losing party pays all costs of the suit or arbitration. A question I would pose to the escrow company, is if for some reason the other party fails in their obligation, will the escrow company refund your money withing some specific time period. The only problem is that as the agreement becomes more complicated, one of the parties usually get "cold feet" relative to the transaction. Stan.

If you use an escrow service all monies are kept in that escrow account until after the renter's reservation date has completed. If a renter backs out then they lose whatever monies are held in the escrow account.

That's why some people prefer to use an escrow service, however many people succeed with rentals not using an escrow service. I think it takes a fair amount of trust with both parties, but most of the time you can get a feel of trustworthiness or not via communication .... called a 'gut feeling'.