Marriott Reverses Course on Proposed 3% Credit Card Surcharge

Timeshare owners rarely see a company reverse a fee proposal this quickly, but that is exactly what just happened for Marriott and Vistana owners. In late August, Marriott Vacations Worldwide told Marriott Vacation Club and Vistana Signature Experiences (Westin and Sheraton Vacation Clubs) owners that credit card payments for maintenance fee payments and club dues would carry a new surcharge starting with the 2027 billing cycle. A few weeks later, the company has now reversed that 3% credit card surcharge entirely.

For owners who rely on credit cards to pay maintenance fees, whether for convenience, cash flow, or travel rewards, this reversal matters. Below, we break down what was originally proposed, why Marriott Vacations changed course, how credit card processing actually factors into association budgets, and what owners should watch for as final 2027 numbers come out.

What Was Originally Proposed

The original notice outlined a convenience fee of up to 3% for credit card payments on maintenance fees and club dues, effective with the 2027 billing cycle. The fee would not have applied in jurisdictions where surcharges are restricted or prohibited.

Payment methods that would have remained surcharge-free included:

• Direct debit (ACH electronic check)
• Debit cards
• Prepaid cards

Only credit card transactions would have carried the extra cost.

Why Marriott Vacations Reversed Course

Owner feedback drove the reversal, according to Marriott Vacations. In his email to Marriott Vacation Club Trust owners, CEO Matthew Avril wrote plainly about what happened after the original announcement went out.

He went on to describe the company’s original assessment as incomplete.

Notably, Avril referred to the original announcement as a “preliminary proposal,” a softer description than the language owners initially received.

Avril also confirmed the practical outcome for owners, which is that the 2027 proposed budgets will need to be updated to reflect the removal of the credit card surcharge.

The August notice had stated that credit card users “will be assessed a convenience fee surcharge of up to 3%,” language that read more like a finalized decision than a proposal open for feedback.

The sequence of events is clear: Marriott Vacations announced the surcharge, owners pushed back, and the company reversed its position within weeks.

Read the Full Email From Marriott Vacations Worldwide's Chief Executive Officer

Dear Marriott Vacation Club Trust Owner,

I am writing to share an important update regarding maintenance fee payments for the 2027 billing cycle.

On August 26, you received a preliminary proposal for the 2027 budget, which included a proposed surcharge when paying your maintenance fee via credit card.

That proposal was one of the many initiatives included in developing the 2027 Association budget. While cost management remains a key responsibility, it became clear that the credit card surcharge was not the right tool.

Over the past several weeks, many Owners have shared their thoughts and concerns about the proposed surcharge. I thank everyone who reached out and took the time to provide feedback. We heard you and it made a difference.

Quite simply, we underestimated how strongly and passionately many Owners value the flexibility, convenience and benefits that come with paying maintenance fees by credit card.

We take responsibility for that, and we are taking the following action.

Working with the Association Board, we have decided not to move forward with the proposed surcharge. This update will be reflected in the 2027 budget and maintenance fee bill, which will not include a credit card surcharge.

We will continue working alongside your Association Board to identify additional ways to operate efficiently, while still delivering great hospitality experiences.

Your perspective matters, and in this case, helped us recognize the need to revisit the original recommendation. We appreciate your continued trust and look forward to welcoming you on your next vacation.

Sincerely,

Matthew E. Avril Chief Executive Officer Marriott Vacations Worldwide

How Maintenance Fee Credit Card Processing Works

The surcharge is gone, but credit card processing costs have not disappeared. These merchant fees are treated as an operational expense shared across all owners through the regular annual budget, regardless of how each owner pays.

That shared structure remains in place. Credit card users keep their full payment flexibility and travel rewards without an added transaction fee. The processing cost simply continues as a budget line item funded collectively.

What This Means for Marriott Owners

For most owners, nothing changes in how you pay your 2027 maintenance fees. However, it is worth reviewing your association’s 2027 final budget disclosure closely when it arrives.

What Owners Should Do Next

The surcharge is gone, but the underlying cost of accepting credit card payments has not disappeared. It remains embedded in the shared association budget, just as it was before the credit card surcharge proposal.

Owners should treat the upcoming 2027 budget disclosures as the definitive source of information. Look specifically for how credit card processing fees are listed, and how that factors into your overall maintenance fee for the year.

Marriott Vacations has committed to reflecting the reversal in the final 2027 bill, so owners will have a clear opportunity to confirm the change once those documents are released.

Be sure to stay tuned to the A Timeshare Broker blog for more up-to-date information as the story progresses. We’ll be sure to update our posts to reflect the most recent developments as they become available.

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