Looking for Advice

[nichelle]

I feel like I should apologize for just posting a thread without searching everywhere for an answer first. But, I'm going to give this a shot. Last year I attended an HGVC timeshare presentation in Vegas when I was staying at the Elara. I chose not to become an owner but instead purchased a VIP intro program package.

I'd planned to use it earlier this year as my brother and I traveled together annually. Unfortunately, he passed away unexpectedly in January. The last few months have been very rough. Besides the emotional shock, I've been dealing with the financial obligations and resulting probate process.

I received a call from HGVC as the VIP package I purchased is expiring on Wednesday. I shared my current situation. I'm also carrying much more debt than I would like and will be doing so until probate is complete. Instead of hanging up, I stayed on long enough to listen to an inventory manager who proposed the following (recapped via email):

Date:

7/15/2019

Proposal 1

Resort:

Elara (35)

Unit:

Studio

Season:

GOLD - ODD

New Points:

1,600

HGV Net Price:

$8,450.00

Buyer Closing Costs

$663.00

Deposit:

$1,695.00

VIP applied to Down Payment:

$1,695.00

Total Deposit after VIP applied:

$0.00

Amount Financed:

$7,418.00

Mortgage Payment:

$137.31

Term:

120

Interest Rate:

17.40%

Maintenance & Real Estate Taxes Every Other Year:

$658.00

Post Closing Cost: $377

HGV Club Dues -$176

Bonus Points:

7,200


I would love to know anyone's thoughts on the package that was proposed. When I mentioned that I don't like the impact of my current debt on my credit score, the reply was 'we do the loan in house and we loan to almost anyone'. He didn't mention an interest rate but I didn't anticipate a rate that's similar to a credit card. Under normal circumstances, I would not finance but instead just pay the full amount. Of course I don't want to walk away from the money I have already spent, but will do just that before making a commitment that does not make sense.

Thank you in advance. I would normally put a lot of time into researching but it has not been a focus and I am now short on time.

 

[CPNY]

I feel like I should apologize for just posting a thread without searching everywhere for an answer first. But, I'm going to give this a shot. Last year I attended an HGVC timeshare presentation in Vegas when I was staying at the Elara. I chose not to become an owner but instead purchased a VIP intro program package.

I'd planned to use it earlier this year as my brother and I traveled together annually. Unfortunately, he passed away unexpectedly in January. The last few months have been very rough. Besides the emotional shock, I've been dealing with the financial obligations and resulting probate process.

I received a call from HGVC as the VIP package I purchased is expiring on Wednesday. I shared my current situation. I'm also carrying much more debt than I would like and will be doing so until probate is complete. Instead of hanging up, I stayed on long enough to listen to an inventory manager who proposed the following (recapped via email):

Date:

7/15/2019

Proposal 1

Resort:

Elara (35)

Unit:

Studio

Season:

GOLD - ODD

New Points:

1,600

HGV Net Price:

$8,450.00

Buyer Closing Costs

$663.00

Deposit:

$1,695.00

VIP applied to Down Payment:

$1,695.00

Total Deposit after VIP applied:

$0.00

Amount Financed:

$7,418.00

Mortgage Payment:

$137.31

Term:

120

Interest Rate:

17.40%

Maintenance & Real Estate Taxes Every Other Year:

$658.00

Post Closing Cost: $377

HGV Club Dues -$176

Bonus Points:

7,200


I would love to know anyone's thoughts on the package that was proposed. When I mentioned that I don't like the impact of my current debt on my credit score, the reply was 'we do the loan in house and we loan to almost anyone'. He didn't mention an interest rate but I didn't anticipate a rate that's similar to a credit card. Under normal circumstances, I would not finance but instead just pay the full amount. Of course I don't want to walk away from the money I have already spent, but will do just that before making a commitment that does not make sense.

Thank you in advance. I would normally put a lot of time into researching but it has not been a focus and I am now short on time.

I’m so sorry about your brother.

Technically you lost the 1700 you already paid for the VIP since it expires Wednesday. I would just leave it as a loss unless they can extend it? Buying from the developer is absolutely absurd anyway. If you did buy from the developer and came here for advice everyone would tell you to rescind and buy resale. So consider yourself lucky that you didn’t being the finance obligations. If your financial responsibilities are tight, do not even think about financing a timeshare that you will lose money on. Buy resale or rent for now

 

[SmithOp]

Horrible deal 1600 points at developer price. Not enough points to do much with and worth about $1 if you try to get rid of it.

Spend more time reading Sticky posts at the top here to learn about HGVC and why we recommend buying resale.

What you already purchased may not expire on 15th, check to see if that is the last day you have to book a stay, you may be able to stay any time in the 9 months after the 15th.


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[nichelle]

I’m so sorry about your brother.

Technically you lost the 1700 you already paid for the VIP since it expires Wednesday. I would just leave it as a loss unless they can extend it? Buying from the developer is absolutely absurd anyway. If you did buy from the developer and came here for advice everyone would tell you to rescind and buy resale. So consider yourself lucky that you didn’t being the finance obligations. If your financial responsibilities are tight, do not even think about financing a timeshare that you will lose money on. Buy resale or rent for now

Thank you. Admittedly, the original plan was to use the VIP on a vacation without necessarily buying. I'd also been shopping the resale market and hoped to eventually purchase. Then, life happened. The response today from HGVC was they were putting the 1700 towards the 'down payment' of the loan. Therefore, it wasn't a loss. I'm not sure if that's what they normally do anyway.

In any case, I am very comfortable walking away from it. It's not a priority and I definitely don't want to add to the financial loss. Seems weird, but I won't lose any sleep over it. The last few months have reminded me of more important things.

Thanks for your response.

 

[nichelle]

Horrible deal 1600 points at developer price. Not enough points to do much with and worth about $1 if you try to get rid of it.

Spend more time reading Sticky posts at the top here to learn about HGVC and why we recommend buying resale.

What you already purchased may not expire on 15th, check to see if that is the last day you have to book a stay, you may be able to stay any time in the 9 months after the 15th.


Sent from my iPad using Tapatalk Pro

Thanks. They referenced the 7200 points (listed at the bottom). It's listed as a 'bonus'.

I will call tomorrow and see if I can still use it if I book within the next couple of days. That would be the preferred option. If not, I'll walk.

 

[SmithOp]

Thanks. They referenced the 7200 points (listed at the bottom). It's listed as a 'bonus'.

I will call tomorrow and see if I can still use it if I book within the next couple of days. That would be the preferred option. If not, I'll walk.

Bonus are one time points when you purchase.

You would only get 1600 points every odd year for $658 plus $170 club fee plus your mortgage payments every month, which would get you a small studio in gold season, not much more than a hotel room.

You can get hotel rooms in Vegas very cheap, its overbuilt with hotels and timeshares.


Sent from my iPad using Tapatalk Pro

 

[nichelle]

Bonus are one time points when you purchase.

You would only get 1600 points every odd year for $658 plus $170 club fee plus your mortgage payments every month, which would get you a small studio in gold season, not much more than a hotel room.

You can get hotel rooms in Vegas very cheap, its overbuilt with hotels and timeshares.


Sent from my iPad using Tapatalk Pro

Got it. Thank you for clearing that up. We stayed at the Elara last year as we wanted 3 bedrooms in a suite. It worked perfectly as we used the living area to watch playoff football. But I've used hotels, all at very reasonable rates, for every other Vegas trip taken.

You've all been very helpful. I signed up on this site years ago for rentals and info but didn't visit much. I should have visited again before taking the trip.

 

[Mr Smith]

Amount Financed:

$7,418.00

Mortgage Payment:

$137.31

Term:

120

Sorry for your loss.

The deal they are offering you is terrible. Don’t throw more money at a bad deal trying to save the money you already spent.

To pay those 120 payments, it will cost you $16,477. You will pay the club dues every year, including the years you don’t receive points. That will be an additional $1,760 over ten years. Then your maintenance fees will be (5x658) $3,290. Overall 10 year cost, $21,527.

You will receive 35 nights of vacation over 10 years costing roughly $615 per night stayed.

I love Elara. As a comparison I bought a resale unit with 7,800 points every year for roughly $8,500 including closing costs.

Wait till you are ready financially to make a better decision, those units aren’t selling out anytime soon. Do your best to try and book a vacation for what you have already paid. If not, let it go even though it feels like a waste.

 

[Talent312]

I think you can book a visit up to 9 months out before your package expires.
That means sitting thru another "presentation" - almost not worth the effort.

But yeah, that was a particularly crappy deal.
And crappy to prey on someone in your situation and condition.
I give 10 lashings with a wet noodle to whoever you spoke with.
.
.

 

[hurnik]

You could probably rent (not necessarily points) an equivalent stay from an existing HGV owner for less than $1700. Depending on where you wanted to go and when.
If you wanted to "try it out" without any sales pitch.
redweek.com is a good place, IMO, to start.
Or the TUG "rentals wanted" also (marketplace I think on TUG requires membership fee as does redweek when you want to rent). But the fee is worth it in both cases, IMO.

 

[nichelle]

I think you can book a visit up to 9 months out before your package expires.
That means sitting thru another "presentation" - almost not worth the effort.

But yeah, that was a particularly crappy deal.
And crappy to prey on someone in your situation and condition.
I give 10 lashings with a wet noodle to whoever you spoke with.
.
.

Agreed. I certainly could have hung up. It felt a little slimy but they did what they were paid to do which was to do everything to keep you on the phone and go through the sales pitch. I stated a number of times that I would not be spending any money 'today' which resulted in the 'how about a payment of less than $150 a month?' response. I asked them to put the 'offer' in writing and I would look at it after the conclusion of the call. Someone is to call me back tomorrow.

In the meantime I checked here. I sent an email this morning to the rep who called and asked about booking now and traveling later. I have not heard back from her so I called the 1-800 # and spoke to someone who confirmed that the travel has to be complete by tomorrow. He advised me to send an email to VIPINFO@HGVC.com and include my brother's death certificate. I sent the note and received a response within 5 minutes extending the VIP package through January of 2020. Maybe I'll use it and maybe I won't. Based on what I have learned I won't be buying anything. But if I want to use the time I now have the option.

Thanks again for everyone's comments and responses. Much appreciated.

 

[CalGalTraveler]

Glad to hear that this worked out for you. That would be crazy to spend thousands for life to save $1600. HGVC is a high class operation.