# Walking away from Diamond Resorts



## Hicoww (May 19, 2021)

Has anyone just quit paying their MF with DRI?  We are protected in Arizona by the anti-deficiency statue but, can they (or would they) sue you for breach of contract?  Will they accept you into the Transitions program even if you bought before 2016?  My wife thought we were told that in the presentation when we asked about the program but, I don't recall that at all.  We were told that all purchases in 2016 and later were put into the Diamond Trust and you would be a member and not an owner with a deed.  Is this true or not?


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## csalter2 (May 20, 2021)

Hicoww said:


> Has anyone just quit paying their MF with DRI?  We are protected in Arizona by the anti-deficiency statue but, can they (or would they) sue you for breach of contract?  Will they accept you into the Transitions program even if you bought before 2016?  My wife thought we were told that in the presentation when we asked about the program but, I don't recall that at all.  We were told that all purchases in 2016 and later were put into the Diamond Trust and you would be a member and not an owner with a deed.  Is this true or not?



You do not specify if you own points in the Club or are talking about a weeks purchase.  If you own points and you bought them directly from Diamond Resorts, you can utilize the Transitions program.  If you bought your pioints from a third party, your points are not eligible for transitions.  If you look on the Diamond website under your account, you can see which points contracts are eligible for the Transitions program.   If you go to the main page and look at the menu on the left, you will click onto the link, Profile & Settings.  Then click onto Transitions and you should be able to see your contracts and which points contracts you own and eligible for the Transitions program.


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## Fried_shrimp (May 20, 2021)

Hicoww said:


> Has anyone just quit paying their MF with DRI?  We are protected in Arizona by the anti-deficiency statue but, can they (or would they) sue you for breach of contract?  Will they accept you into the Transitions program even if you bought before 2016?  My wife thought we were told that in the presentation when we asked about the program but, I don't recall that at all.  We were told that all purchases in 2016 and later were put into the Diamond Trust and you would be a member and not an owner with a deed.  Is this true or not?



I know several people who have just walked away. The key is whether you are just paying miant fees or also paying a loan. From what I have seen, immaterial of the state, walking away from maint fees may cause a credit score hit but that would be about it. Walking away from a loan has a greater potential for inviting trouble. If you own a week purchased in Az you are protected by anti-deficiency but from what I understand (and Grammerhero can correct me), if the owned week is in a non anti-deficiency state you are not protected (in other words, it matters where the unit is located, not where you live). There are no Transition restrictions based on when you bought that I know of. The only restriction is that you bought from the developer. Resale weeks/points are not eligible for Transitions.


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## Grammarhero (May 20, 2021)

You should consult legal counsel.  I don’t believe AZ is a TS anti-deficiency state, although it is one for homeowners of primary single family homes or duplexes.  https://www.azleg.gov/ars/33/00814.htm


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## Iggyearl (May 20, 2021)

The Diamond "Transitions" website mentions the following: 

You must have purchased your vacation ownership directly from Diamond Resorts or from a predecessor whose developer rights were acquired by Diamond Resorts. Members and owners who have inherited or been gifted a vacation ownership from family will qualify if their family members would have qualified.
There is no mention of date of purchase.  That is verbal information that you got from a salesperson.  You mentioned earlier that your ownership is a deed, and it is paid for.  You can call the "Transitions" toll-free number and get a determination from them.  They would also know the fee.  Because of an earlier lawsuit Arizona residents were allowed to surrender their timeshares for $250 instead of $1,000.  That may not apply now.  Best to call for specifics.


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## Hicoww (May 20, 2021)

csalter2 said:


> You do not specify if you own points in the Club or are talking about a weeks purchase.  If you own points and you bought them directly from Diamond Resorts, you can utilize the Transitions program.  If you bought your pioints from a third party, your points are not eligible for transitions.  If you look on the Diamond website under your account, you can see which points contracts are eligible for the Transitions program.   If you go to the main page and look at the menu on the left, you will click onto the link, Profile & Settings.  Then click onto Transitions and you should be able to see your contracts and which points contracts you own and eligible for the Transitions program.


Yes, been there and done that.  I have not sent the request but will soon.  It is only $250 per contract in AZ and we only have one for points.


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## Hicoww (May 20, 2021)

Yes, eve


Grammarhero said:


> You should consult legal counsel.  I don’t believe AZ is a TS anti-deficiency state, although it is one for homeowners of primary single family homes or duplexes.  https://www.azleg.gov/ars/33/00814.htm


Yes, not even our trust attorney is sure if ARS 33.814(g) protects us or not but, we will be using Transitions first to do it the right way.


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## Grammarhero (May 21, 2021)

Hicoww said:


> Yes, eve
> 
> Yes, not even our trust attorney is sure if ARS 33.814(g) protects us or not but, we will be using Transitions first to do it the right way.


Out of 3 reported DRI MF defaults, 1 got reported to the credit agencies.


https://tugbbs.com/forums/threads/a...fees-what-happened.296893/page-7#post-2385548

https://tugbbs.com/forums/threads/what-about-foreclosure.292303/page-2#post-2378562

https://tugbbs.com/forums/threads/what-about-foreclosure.292303/#post-2320226


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## Fried_shrimp (May 21, 2021)

Grammarhero said:


> Out of 3 reported DRI MF defaults, 1 got reported to the credit agencies.
> 
> 
> https://tugbbs.com/forums/threads/a...fees-what-happened.296893/page-7#post-2385548
> ...



Which, if you have good credit to begin with isn't really a big deal. Anything over 760 is just bragging rights anyway.


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## Kozman (May 21, 2021)

At 820 I'm not going to worry.


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## Fried_shrimp (May 21, 2021)

Kozman said:


> At 820 I'm not going to worry.



Same here if I ever get to that point. Plus, there is no way in hell I would ever pay Diamond $7,000 to utilize Transitions.


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## Grammarhero (Jul 7, 2021)

Hicoww said:


> Yes, eve
> 
> Yes, not even our trust attorney is sure if ARS 33.814(g) protects us or not but, we will be using Transitions first to do it the right way.


@Hicoww we hope you are well and healthy.  If you made the difficult decision to default, please kindly let us know if your credit got affected.  it would help tuggers in similar situations moving forward.


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## dougp26364 (Jul 7, 2021)

Date of purchase shouldn’t matter. We purchased our first week in 1998 and the second in 1999. Both deeds were accepted in their deed back program.


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## DesireMore (Jul 10, 2021)

Even if it hits your credit, it may or not be the end of the world anyway. If you're at a point in your life where you've already purchased your permanent home, is having good credit really a big deal? Not saying you should completely ignore it, but if you already own a house and whatever vehicles you're going to drive for at least a few years, I'd personally just take the hit on my credit than pay for a timeshare I don't want. I know people who have had bankruptcies on their credit reports and were still able to get a mortgage and decent credit card offers.


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## sunshinevalues (Oct 24, 2021)

We have DRI points-- and in a sales presentation by Sarah Reynolds  Feb 2021 at Sedona Summit-- was told we could add 3,000 points and also Club Combinations to exchange our Sedona Pines timeshare and get additional 6,000 DRI points..   Never in the presentation was RCI mentioned.. and then we did exchange the Sedona Pines timeshare for 6,000 points..successfully online...... A few months later got an email from the company saying I had to go though RCI-in the future and honored this online request previously completed-  WE do not have an RCI membership. However the Las Vegas office - made sure the contract we signed said RCI should be involved.. When we went to a DRI resort Oct 2021-- another salesman tried to make us pay another $15,000 to get Sedona Pines added to exchange for points. Also they said our maintence fees would go up 14 % per year now unless we paid another $15,000...   We walked away very disgusted with the salesman.  We like the DRI resorts, but the sales presentations are so deceptive-- I hope with Hilton involved this maybe resolved....


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