How to get rid of timeshare while owing loan and maintenance fee

[Brodieisbest]

Greetings all,

Quite a long story but I never really wanted my timeshare in the first place (rather not explain how I got trapped into buying it but it was my fault if anything being vulnerable to a sales pitch that sounded too good to be true)

7 years in, I've never missed a loan payment but I still have more than a couple thousands to pay up to complete the payment in a couple of more years.

I have used my timeshare once to stay at a hotel for 3 nights and I was not really satisfied at all.

Thought I have never pissed a loan payment, I have stopped paying them the maintenance fees for a couple of years now so I also "owe" them a couple thousand bucks which I don't plan on paying at all. When I do finish paying off the loan to them in 2 years, the maintenance fee will be twice as high as that.

What would be the best way for me to get rid of my timeshare as of now (without hurting my credit of course)? I've sent a letter to them and they said I'm not qualified to cancel yet because I still have the loans to pay off. But once I pay off my loans, the maintenance fee that I "owe" will be through the roof and they will likely use that against me (won't they?) and say that I need to pay off the maintenance fees I owe all these past years.

If I want to "sell" it now for free, can I do so while paying off the loans during the on going few more years? And will that be possible even though I have maintenance fee + its penalty fees outstanding?


Any advice to me would be greatly appreciated!

 

[Passepartout]

Brodie, you might be best, but you were an adult, responsible for your actions and debt decisions when you signed that contract.

Short answer, you will need to pay it off before you can sell or give it away after the mortgage is paid, you might default on the maintenance, but that may also trigger negative credit reports.

If you want to avoid bad credit, buckle down, get an extra job if you need to, borrow from a relative, but PAY OFF THE DEBT!

You had a week or two to rescind after you bought this, but now it's yours.

Good Luck! Sorry to come off as harsh, but that's the reality of your situation.

You can default (stop paying), and it will eventually go to foreclosure, but that bad credit event will follow you for many years Better to pay it off.

Jim

 

[montygz]

Greetings all,

Quite a long story but I never really wanted my timeshare in the first place (rather not explain how I got trapped into buying it but it was my fault if anything being vulnerable to a sales pitch that sounded too good to be true)

7 years in, I've never missed a loan payment but I still have more than a couple thousands to pay up to complete the payment in a couple of more years.

I have used my timeshare once to stay at a hotel for 3 nights and I was not really satisfied at all.

Thought I have never pissed a loan payment, I have stopped paying them the maintenance fees for a couple of years now so I also "owe" them a couple thousand bucks which I don't plan on paying at all. When I do finish paying off the loan to them in 2 years, the maintenance fee will be twice as high as that.

What would be the best way for me to get rid of my timeshare as of now (without hurting my credit of course)? I've sent a letter to them and they said I'm not qualified to cancel yet because I still have the loans to pay off. But once I pay off my loans, the maintenance fee that I "owe" will be through the roof and they will likely use that against me (won't they?) and say that I need to pay off the maintenance fees I owe all these past years.

If I want to "sell" it now for free, can I do so while paying off the loans during the on going few more years? And will that be possible even though I have maintenance fee + its penalty fees outstanding?


Any advice to me would be greatly appreciated!

Continuing to pay the loan and not paying the maintenance fees seems to me like you are taking the worst possible path.

You could stop paying the loan and the fees -- and take the hit on your credit -- but eventally the creditors will go away after several years and you will be free of the burden.

You could pay the loan, pay your maintenance fees and learn to use your timeshare. This would be expensive, but at least you would get some use out of all that money you have already spent. This is what you agreed to do when you bought your timeshare.

By not paying the maintenance fees, you could still be foreclosed on and your credit damaged all the while you are throwing money at a loan. If you are going to take the credit hit, it might as well be for the full amount.

What path you should take would be deterimined by how much money you have and how much you owe.

 

[LannyPC]

Any advice to me would be greatly appreciated!

The other piece of advice that's emphasized here on TUG is to not go seeking the help and services of these companies, charities, or law firms that claim they can eliminate, cancel, or exit you from your TS contract, mortgage, or ownership.

While this might not help you in your predicament, it will prevent you from getting into further financial troubles.

 

[CalGalTraveler]

You didn't say what you own. Depending on the property and the HOA rules perhaps you can rent out the week to pay for the maintenance fees and possibly some of the mortgage. To rent it out you would need to make your account current, but since you are paying the debt and have no desire to affect your credit, this path could use other peoples money to defray the cost until you finish paying your mortgage and can sell or give it away.

 

[TUGBrian]

this very question going to be the topic of the next TUG video short... we get it multiple times a week!

 

[AnneJe]

I recently spent few days on reading comments about how to get ride of timeshare on TUG. Based on what I read, few people tried stop paying MS and about 3 years later, successful foreclosure. Some credit were affected for few years ( between 3-6 years), some are not. FYI

Good luck

 

[LannyPC]

this very question going to be the topic of the next TUG video short... we get it multiple times a week!

Is there going to be any mention of not hiring any of these exit companies or law firms that claim they can cancel your mortgages and other debts owing?

 

[TUGBrian]

Is there going to be any mention of not hiring any of these exit companies or law firms that claim they can cancel your mortgages and other debts owing?

think its fair to say that will come up once or twice =D

 

[AwayWeGo]

this very question going to be the topic of the next TUG video short.

Will the script include the words bamboozle & hornswoggle ?

-- Alan Cole, McLean (Fairfax County), Virginia, USA.​

 

[rickandcindy23]

There are some timeshares that have $0 value in resale. If you own one of those, you can maybe give it away. It's amazing to me that people will buy a timeshare and don't exercise their due diligence (and then rescind), or even have a plan for using it. All timeshares bought from the developer are ridiculously overpriced.

 

[LannyPC]

There are some timeshares that have $0 value in resale. If you own one of those, you can maybe give it away. It's amazing to me that people will buy a timeshare and don't exercise their due diligence (and then rescind), or even have a plan for using it. All timeshares bought from the developer are ridiculously overpriced.

I'll agree with what you said. One reason why "people will buy a timeshare and don't exercise their due diligence (and then rescind)," is because the rescission instructions are usually buried on page 425,or so, of the contract and that it's just too much to go through for some people. Hence, they just believe what the timeshare sales person told them.