Questions about foreclosure and judgments

[chazpbg]

I have two timeshares I'm looking to get out of -- got my use out of them: 10 years in one instance and 17 in the other.

I might be able to sell the one I've had for 17 years (it's in South Africa, bought back in the glory days), but not sure. I'm not optimistic about selling the other (it's in US -- small, independent resort). And I'm not certain about deedbacks -- actually, the South Africa one says they won't do a deedback, which I find hard to believe since I did a deedback with another South African resort managed by same company. I've heard the US one has no interest in deedbacks.

Both resorts are fully paid for, so it's just a question of MF's that I might stop paying. Will the resorts really come after me and then foreclose if I don't pay? Or seek any other kind of judgment? Can the one in South Africa even do anything legally given that I live in US?

I'm not wild about foreclosure, though I suppose I can deal with the ding to my credit rating. (I'm not buying a house or car anytime soon.) The judgment part worries me, though. Could it be a year or two of MFs? Plus late fees and legal fees? Could it be even more than a couple of years' worth? I mean I don't want to pay these MFs forever, but if not paying them could result in a helluva bill, it may be the better option.

Of course, either way, I will push the deedback option again. And look into selling. But not hopeful about either for now...

 

[theo]

I've heard the US one has no interest in deedbacks.

Rather than accepting "hearsay", I'd suggest contacting your HOA directly to get current and accurate information regarding their position and policy on "deedbacks", which can change at any time. Also, the HOA might accept a deedback if you overtly offer to pay a year or two of maintenance fees and all of the deed prep and County recording costs. It certainly can't hurt to at least ask. Foreclosure costs time and money; it could be in the HOA's own best interest to at least try to work with you.

Will the resorts really come after me and then foreclose if I don't pay? Or seek any other kind of judgment? Can the one in South Africa even do anything legally given that I live in US?

Resorts won't "come after you", beyond some possible collection agency calls for a while (which you can easily stop). Foreclosure? Definitely, at some point. Credit report ding? Possible but frankly not likely, since you indicate no unpaid loans. Other judgement? Not really worth their bother. Fwiw, I would personally just blow off the SA resort entirely right away if they won't agree to accept a deedback; they have absolutely no reach or leverage to do anything at all to you.

 

[simpsontruckdriver]

When the economy tanked, I could no longer pay for my Wyndham Points. After about a couple years of not paying MFs, they sent me a letter saying they’re foreclosing on it. That was in 2014. They didn’t demand any money, nor did they touch my credit.

TS

 

[Talent312]

...they sent me a letter saying they’re foreclosing on it. That was in 2014.

Did they foreclose? Saying they would and doing it are different things.
To foreclose, they would have served you with "papers" giving you a chance to respond.
It may be they decided that it wasn't worth the expense to take it back.

.

 

[simpsontruckdriver]

They took it back and did not bill me for it.

TS

 

[bikertrash2007]

I have Worldmark by Wyndham. I still owe a loan and can no longer afford the monthly payments and dues. I pay nearly $100 monthly for loan and over $400 a month for dues. Have 70,000 points.
Has anyone recently walked away from their Worldmark timeshare?> What were the repercussions?
An attorney said they could sue me for breach of contract instead of foreclosure.
Im in California if that helps.

 

[bikertrash2007]

I have Worldmark by Wyndham. I still owe a loan and can no longer afford the monthly payments and dues. I pay nearly $100 monthly for loan and over $400 a month for dues. Have 70,000 points.
Has anyone recently walked away from their Worldmark timeshare?> What were the repercussions?
An attorney said they could sue me for breach of contract instead of foreclosure.
Im in California if that helps.

I meant $1100 month for loan

 

[LannyPC]

I have Worldmark by Wyndham. I still owe a loan and can no longer afford the monthly payments and dues. I pay nearly $100 monthly for loan and over $400 a month for dues. Have 70,000 points.
Has anyone recently walked away from their Worldmark timeshare?> What were the repercussions?
An attorney said they could sue me for breach of contract instead of foreclosure.
Im in California if that helps.

I have yet to hear from anyone here on TUG who decided to default with an outstanding loan or MFs. This attorney said Worldmark could sue you but again, we have yet to hear from anyone here on TUG who got sued for defaulting. Remember that there are two different problems you have here. The first is the dues or maintenance fees. If you are up to date on those, try asking the resort if it will take your TS back. The resort might ask you to pay closing costs. Wyndham has an Ovation program where it is taking back a limited number of TSs but you would probably have to be up-to-date with your MFs and probably the loan.

The other issue is the loan/mortgage attached to the property. Is the loan through the resort or is it through a third-party lender? If it's through Wyndham, you might have a problem with them taking your TS back. If it's through a third party, Wyndham might overlook that. You would still, however, have to deal with that lender.

How much more do you owe on the loan? If it's not much, you might want to look at paying that off quickly and then inquiring into Wyndham's Ovation program.

You said you contacted an attorney. Fair enough. But do not go asking (and ultimately, paying) attorneys to get you out of your TS or the loan. And watch out for other companies that say they can magically cancel your loan/mortgage or timeshare.

 

[ronparise]

Remember, Worldmark is not deeded real estate, it’s a club membership. Wyndham will report late loan payments (dont ask me how I know) And presumably defaults. But according to the Wyndham attorney I talk to they do not report late maintenance fees or defaults due to non payment of maintenance fees

By the way, I have had mortgage loans foreclosed and it’s not the end of the world, it’s not good, but not the end of the world

 

[Iggyearl]

I believe that "Go Chiefs of Bust" started a thread a year ago, regarding her splitting with her husband and then both abandoning a Wyndham timeshare. I believe a post within the last 2 months, by her, described the fact that "no news was good news." I could be wrong.

I would also point out that Wyndham (in their annual report) authorized their loan loss provisions for 2018 to increase by $15 million to $101 million. Loan losses for 2017 were $94 million. I can't imagine that they could afford the legal team to be able to pursue all those individuals. I would think it would be bad PR for Wyndham to put a defaulting customer into debtors prison - or attempt to take a house.

 

[bikertrash2007]

Thank you all for the replies. I owe approximately $65000 for the loan. I am up to date on everything. I did reach out the financial department of Worldmark, regarding selling off the various upgrades I did through the years and asked them what would happen I could no longer afford the payments. Am still waiting to hear back.
if they foreclosed, I know in California, they cannot come back after me for the deficiency. But I am wary of other recourse.

 

[ronparise]

Thank you all for the replies. I owe approximately $65000 for the loan. I am up to date on everything. I did reach out the financial department of Worldmark, regarding selling off the various upgrades I did through the years and asked them what would happen I could no longer afford the payments. Am still waiting to hear back.
if they foreclosed, I know in California, they cannot come back after me for the deficiency. But I am wary of other recourse.

What “other recourse” are you concerned about?

They will take it back but they won’t pursue you for anything else

 

[airway]

Thank you all for the replies. I owe approximately $65000 for the loan. I am up to date on everything. I did reach out the financial department of Worldmark, regarding selling off the various upgrades I did through the years and asked them what would happen I could no longer afford the payments. Am still waiting to hear back.
if they foreclosed, I know in California, they cannot come back after me for the deficiency. But I am wary of other recourse.

Need help, can you tell me what you did to get out of a timeshare. I need to help my daughter get out of a timeshare. Thank you

 

[silentg]

We sent back our Dikhololo deed, they took it no problem. We gave away one timeshare.First timeshare was a RTU that expired in 2011. Just signed a termination of Lease on Fishermen’s Village. Now we have 5 timeshares, one is a R T U that will expire in 2029. By then we may sell or give away the others. Time and health will tell.
Your daughter can ask the resort to take it back, sell it or give it away.
Good Luck

 

[LannyPC]

Need help, can you tell me what you did to get out of a timeshare. I need to help my daughter get out of a timeshare.

First of all, I'm glad you came to TUG first (at least I hope you did) before going to any of these so-called exit/relief/rescue/cancel firms, law firms, or charities to supposedly get you (or in this case, your daughter) out of a timeshare. These "exit" companies at worst are outright scams. At best, they will just charge you thousands of dollars to do something you can do yourself for a lot less money.

The first thing I would recommend would be to ask the resort if it will take the TS back:

http://tug2.net/timeshare_advice/give_back_timeshare.html

Concurrently while doing that, try the free giveaway method here on TUG:

https://tugbbs.com/forums/index.php?threads/how-can-i-give-away-my-timeshare-on-tug.132509/

You can also try advertising it on E-Bay or Craigslist that you simply want to give it away. It may cost you a few bucks on E-Bay but it will still be far cheaper than using an attorney or so-called exit company.

 

[Braindead]

Need help, can you tell me what you did to get out of a timeshare. I need to help my daughter get out of a timeshare. Thank you

It would help to know what she owns.
Resort?
Company if there is one? Hilton,Marriott,Wyndham or other?
Annual?
Points or week?
Loan or paid off?
Then we can help if it has any value.

 

[LannyPC]

Also, I would like to add to Braindead's questions above. Is it deeded, right-to-use (RTU), or just a travel club/membership? Are the maintenance fees up-to-date?

 

[bikertrash2007]

Worldmark By Wyndham gave me links and phone numbers to their ovation department.
I did reach out to them, so let's see what options I am given.
Here is the contact info, in case others need help.
Ovation by Wyndham at 1-855-312-9041, Mon-Fri 9 a.m.-5 p.m. ET. You may also submit your request online at worldmarktheclub.com/ovation or email wbwovation@wyn.com. The Ovation Team can review your account and provide you with an overview of your options.

 

[jwalk03]

Worldmark By Wyndham gave me links and phone numbers to their ovation department.
I did reach out to them, so let's see what options I am given.
Here is the contact info, in case others need help.
Ovation by Wyndham at 1-855-312-9041, Mon-Fri 9 a.m.-5 p.m. ET. You may also submit your request online at worldmarktheclub.com/ovation or email wbwovation@wyn.com. The Ovation Team can review your account and provide you with an overview of your options.

Worldmark contracts often have some resale value. You may be able to actually sell your Worldmark instead of giving it back through Ovations for free.

 

[bikertrash2007]

Worldmark contracts often have some resale value. You may be able to actually sell your Worldmark instead of giving it back through Ovations for free.

A resell group Worldmark The Club refers is called TLS Timeshare. I looked up their listings and they are selling most blocks for .43 cents a credit. Less than half of what I owe.
https://listings.tlstimeshares.com/

I called ovation and your loan has to be paid in full.

 

[bikertrash2007]

I have yet to hear from anyone here on TUG who decided to default with an outstanding loan or MFs. This attorney said Worldmark could sue you but again, we have yet to hear from anyone here on TUG who got sued for defaulting. Remember that there are two different problems you have here. The first is the dues or maintenance fees. If you are up to date on those, try asking the resort if it will take your TS back. The resort might ask you to pay closing costs. Wyndham has an Ovation program where it is taking back a limited number of TSs but you would probably have to be up-to-date with your MFs and probably the loan.

The other issue is the loan/mortgage attached to the property. Is the loan through the resort or is it through a third-party lender? If it's through Wyndham, you might have a problem with them taking your TS back. If it's through a third party, Wyndham might overlook that. You would still, however, have to deal with that lender.

How much more do you owe on the loan? If it's not much, you might want to look at paying that off quickly and then inquiring into Wyndham's Ovation program.

You said you contacted an attorney. Fair enough. But do not go asking (and ultimately, paying) attorneys to get you out of your TS or the loan. And watch out for other companies that say they can magically cancel your loan/mortgage or timeshare.

I spoke with Ovation. No can do. The loan has to be paid off. I spoke with their preferred reseller, they are selling credits less than half of what I owe. Which leaves me with default. No way I can pay off the massive loan. :/
And hope they do not "sue" me for non-payment.

 

[LannyPC]

And hope they do not "sue" me for non-payment.

I hope not either. Hopefully it is just a default.

 

[theo]

I spoke with Ovation. No can do. The loan has to be paid off. I spoke with their preferred reseller, they are selling credits less than half of what I owe. Which leaves me with default. No way I can pay off the massive loan. :/
And hope they do not "sue" me for non-payment.

AFAIK, Wyndham's financing is "in house" (i.e., no third party lender involvement); they've been making money on your hefty loan interest since day one. Almost certainly, they would not file suit against you for defaulting on the loan balance. They will "blow you off" and sell the product all over again to the next "lucky" buyer (at similarly obscene numbers).

That said, there may well be negative credit report consequences for defaulting on the loan, which would most likely not be the case for a foreclosure with no loan default involved.

 

[bikertrash2007]

A resell group Worldmark The Club refers is called TLS Timeshare. I looked up their listings and they are selling most blocks for .43 cents a credit. Less than half of what I owe.


I called ovation and your loan has to be paid in full.

TLS Timeshare emailed me with this info. I have 70,000 credits to sell:

"We are currently selling contracts similar to yours for around $25000 on the gross of sale.

After our fees at closing, that would net you around $18750 towards any remaining loan or dues balance.

If you still owe more than $18750 on the contract, then you would need to be able to pay it down to that price in order for us to assist you in selling it.

We do not charge any upfront fees, and the buyer covers the transfer fee."


70,000 credits for $25000 before the commission/fee of $6250!!!!