John -
RedWeek was originally set up for individual timeshare owners to rent or sell their week. The concern was that brokers, who rent/sell timeshares as their business, would have an advantage over the individual owner if a rating system was used.
Even with a rating system, it does not ensure a safe transaction. Owners posting on various internet rental sites have had issues with scammers breaking into their email accounts and taking them over. The scammer then instructs the renter to send money directly to them.
The escrow fees of First American Title are based on the amount of the weekly rental. If a renter wants to ensure their payment is safe, then they have the option to pay the entire fee themselves if the owner does not want to contribute.
Payment is made to the owner 11 days after the rental is completed. This allows the renter to file a complaint if they find the unit is not what was advertised (i.e. they ended up with a one-bedroom instead of the two-bedroom that was advertised).
The escrow system is just an option. It is entirely up to the owner if they want to use the escrow service or not. If the owner does not want to use the escrow service, then the renter can decide if they want to engage in a private transaction or find another rental where a safe transaction would be guaranteed.
I hope that helps explain why we set up the escrow service. If you have any further questions, please feel free to Contact Us.
Thanks, Phyllis
RedWeek Support
RedWeek.com