Foreclosure or bankruptcy for HGVC

[GT75]

@GBmist1029, I am glad that this worked itself out for you. Thank you also for taking the time to give us a detailed report.

 

[alwysonvac]

Sept 2025 - it’s been about 2 years and my HGVC timeshare is now cancelled!! So thankful!

By early 2024 HGVC did ding my credit report and reported it as an outstanding loan with 6 months of late payments. This stayed on my credit for about another 6 months then fell off one day from Transunion, Experian, and Equifax. I did not dispute it off my credit, it just disappeared from my accounts.

I did receive maybe 5 email communications directly from Portfolio Services, countless letters in the mail (maybe 10-12), lots of phone calls and voicemails to the point that I subscribed to a robocall blocker app, and finally around last year there were 1-2 letters from a lawyer that I did not collect from the post office. The lawyer’s letters were not intentionally left at the post office. I happened to be traveling for work when both arrived, both were sent via USPS Signature Confirmation but I was not home nor expecting anything. Finally a regular letter (sent regular 1st class, no signature for release) came from the same law firm earlier this year (maybe March 2025) that stated that my HGVC unit along with a list of other units, was going up for sale soon and pending sale, I would be informed of next steps. Late August 2025 they sent this letter confirming cancellation (see pic).

I did try calling to request for a deed back in lieu of foreclosure but they instead sent me a doc that outlined payments options. I did write back, sent 2 letters and sent them via USPS w/a signature required both times. The first letter included clippings of my partner’s passing from local police, newspaper articles, and a copy of the death certificate. The second letter requested an update in 90 days since the first letter was not confirmed as received or reviewed. HGVC never wrote back to either letter.

No, I did not have to declare bankruptcy. I still live in the home I own. My credit did take a hit and went down 100 points temporarily but overall no big deal to me. The letter also states that my Hilton points may be affected but again not a big deal if anything does happen.

Happy to answer any questions but if you’ve read through my posts, my circumstance is a bit unique compared to some others I’ve seen on here prior.

Lastly thank you to everyone on here that replied and the other threads that emphasized writing to them over calling. Calling literally gets you nowhere but redirects and voicemail boxes. They are in the business of selling, not customer care.

View attachment 115526

This is very helpful.
Thank you for taking the time to give us a detailed report and the outcome.

 

[Talent312]

Just FYI - I realize your response is months old, but since this post had an update, I am only now reading your comment. BTW - a bankruptcy absolutely stops a foreclosure that is in process. To say that it does nothing to prevent a foreclosure of a mortgage debt or a MF lien is simply not accurate. Anytime a bankruptcy is filed it is accompanied by an automatic stay.... You ask if the OP is judgment proof; obviously the OP isn't as a home is mentioned....

While a Bankruptcy imposes a stay on court proceedings, such as foreclosure, it is only temporary. Typically, within a few months, a discharge is entered and the stay ends. Typically, a primary residence is exempt from the claims of creditors (along with other assets), so one may need to take steps to protect assets, and yet be judgment proof.

 

[WorldT]

Bankruptcy for a debt related to timeshare is a little too much isn't it?

 

[Talent312]

Bankruptcy for a debt related to timeshare is a little too much isn't it?

It may only be one aspect of a financial hole from which relief is needed.
A consultation with a Bankruptcy or debtor's rights attorney is advisable.

 

[RX8]

Bankruptcy for a debt related to timeshare is a little too much isn't it?

The answer is it depends. Some people think that bankruptcy is an option to avoid paying a debt. Bankruptcy is intended for people in financial distress who need relief. If someone has a timeshare that they don’t want anymore, but it is affordable to them, filing bankruptcy to avoid paying that debt may be considered bankruptcy fraud.

Some people who buy a timeshare has things happen to them after that purchase. I am sure there are also people who sign up for a timeshare that are already close to financial distress. That timeshare may tip the scale for that person and bankruptcy might be an option for them.

 

[TUGBrian]

might be a ton of other things outside the timeshare loan that a BK can resolve, every situation is different! though admittedly "declaring bk to get out of a timeshare" seems extreme at face value!

I am glad you did not fall for the usual exit/cancellation scam which no doubt would have shouted this success from the rooftops as proof their "system" works...all after charging you thousands of dollars to do absolutely nothing beneficial for you.

 

[WorldT]

The answer is it depends. Some people think that bankruptcy is an option to avoid paying a debt. Bankruptcy is intended for people in financial distress who need relief. If someone has a timeshare that they don’t want anymore, but it is affordable to them, filing bankruptcy to avoid paying that debt may be considered bankruptcy fraud.

Some people who buy a timeshare has things happen to them after that purchase. I am sure there are also people who sign up for a timeshare that are already close to financial distress. That timeshare may tip the scale for that person and bankruptcy might be an option for them.

Even considering bankruptcy for a timeshare related debt, whether it is the mortgage or maintenance fee, is too much. If it was me, I would wait (of course I will reach out to deed back and explore options of returning the unit to that resort) for the resort or resort affiliated lender to initiate proceedings to try to grab my assets before I even think about bankruptcy. However , I have never seen or heard of them coming for your assets for debt related to a timeshare. Hence, I ask: why bankruptcy when there is no threat to your assets?
In Texas, the lender will have to initiate arbitration or sue you depending on the contract terms before they can touch your non-timeshare assets. You will know it is coming. I will fight that attempt to the end. Only if I lose will I even start discussing bankruptcy.
Unless there are other debts that were not mentioned in this discussion.

 

[RX8]

Even considering bankruptcy for a timeshare related debt, whether it is the mortgage or maintenance fee, is too much. If it was me, I would wait (of course I will reach out to deed back and explore options of returning the unit to that resort) for the resort or resort affiliated lender to initiate proceedings to try to grab my assets before I even think about bankruptcy. However , I have never seen or heard of them coming for your assets for debt related to a timeshare. Hence, I ask: why bankruptcy when there is no threat to your assets?
In Texas, the lender will have to initiate arbitration or sue you depending on the contract terms before they can touch your non-timeshare assets. You will know it is coming. I will fight that attempt to the end. Only if I lose will I even start discussing bankruptcy.
Unless there are other debts that was not mentioned in this discussion.

If that timeshare debt is putting you on the brink of bankruptcy then I agree that waiting it out before filing is the right course. My point that I was trying to make is that one cannot file bankruptcy simply because they don’t like the debt.