[ 2019 ] anyone has stopped paying maintenance fees, what happened ?

[hajjah]

I’m so sorry for just replying. I hadn't checked back in a while. Both of my sister’s timeshares were paid for initially. I gave her the Ocean Beach & Racquet Club about 20 years ago. The Shawnee was found on EBay for $1.00, also 20 years ago. She used both timeshares for a few years, but that Ocean Beach wasn’t worth the maintenance fees after her last stay. Shawnee went downhill as well. I think that the last time she paid any fees was about 10 years ago. So far, she’s not received any additional threats.

 

[Grammarhero]

I’m so sorry for just replying. I hadn't checked back in a while. Both of my sister’s timeshares were paid for initially. I gave her the Ocean Beach & Racquet Club about 20 years ago. The Shawnee was found on EBay for $1.00, also 20 years ago. She used both timeshares for a few years, but that Ocean Beach wasn’t worth the maintenance fees after her last stay. Shawnee went downhill as well. I think that the last time she paid any fees was about 10 years ago. So far, she’s not received any additional threats.

After doing some research, in FL, I think MF has 5 year SOL. http://www.leg.state.fl.us/Statutes/index.cfm?App_mode=Display_Statute&URL=0000-0099/0095/0095.html. Check 95.11

 

[Grammarhero]

If the timeshare is paid for walk. Throw out threatening emails. I have walked from 2 timeshares but they were paid for fully.

@ValHam mind sharing which two resorts they were? I’ve been tracking I’m TUG. So far, out of 23 reported MF defaults as reported on TUG, 4 got their credit affected. Out of 13 reported TS mortgage defaults as reported on TUG, 7 got their credit score decreased! Range of credit score decrease was from 50 to 150 pts, with 80 pts decrease as the average.

Edited: updated figures

 

[LannyPC]

Out of 14 reported TS mortgage defaults as reported on TUG, 8 got their credit score decreased!

Where were the TSs located for these 14 mortgages? Do you have those stats?

 

[Grammarhero]

Where were the TSs located for these 14 mortgages? Do you have those stats?

Wyndham TX
independent SC (50 pt drop)
independent HI (50 pt drop)
Wyndham CWA
Vacation Villages FL
Silverleaf TX (75 pt drop)
Silverleaf TX (75 pt drop)
VV Parkway Kissimore (75 pt drop)
Westgate FL
HIVC Flint Villages
Arkansas Horseshoe Bend
WorldMark pts (credit drop reported, but not specified)
Bluegreen Las Vegas (150 pt drop)

 

[Grammarhero]

Where were the TSs located for these 14 mortgages? Do you have those stats?

https://tugbbs.com/forums/threads/defaulting-on-worldmark-the-club.301198/

Bluegreen Resorts deedback info - give your unwanted Bluegreen ownership back

Jan 2024 updates: More updates confirming the charge for surrender is 1.5x your annual maintenance fees. September 2023 updates: Multiple reports that Bluegreen is now charging 2x your annual maintenance fees to give back an ownership. We have also updated the TUG advice article on how to...

tugbbs.com

The other five (5) credit decreases were reported to me in person, out of a total of eight (8) TS mortgage defaults reported to me in person.

 

[Vagabonder]

I had an experience where I inherited a TS from Royal Holidays Club of Mexico. It was a full paid points membership and I sent them a letter saying my Parent had died and I was not going to accept the inheritance. I told them that I disclaimed it and requested to deed it back. They kept billing me personally for the fees and sent lots of letters which I ignored. Later I noticed that they had put a default on my credit (how they got my SSN I have no idea). I disputed it with the credit reporting agencies and laid out the facts and eventually they removed it. Please like my post - I am a new tugger and need the credibility / recognition! TYIA!

 

[DrQ]

Back in 2006/7 we deeded back Rayburn and defaulted on a small independent TS on the east FL coast (I don't even remember its name) but at that time my credit score was so low if it was reported, it just would have dropped by a couple of points. I don't recall ever seeing them on my credit report.

 

[DArk]

Good point. Unless they have an office in the USA, I don't think they can go after your credit or take legal action. I know Villa de Palmar has an office in San Diego and takes payments there, probably for this reason.

There is a Canadian on another thread where Grandview, LV was asking for $2,700 ($3300 CDN) to deed back a 1 bdrm. IMO that is extortion for a property that has only $450/year MF. That's like paying out 6 years of ownership in advance just to deed it back. Yet the developer can turn around and sell or rent it out immediately! Perhaps the Canadian owner could walk similar to the case above because a US entity cannot report to Canadian credit bureaus nor cost-effectively pursue legal action so the owner could avoid this ridiculously high fee if s/he cannot give it away.

@TUGBrian Perhaps ARDA could work on putting a cap on such fees with their promotional program so-called "Responsible Exit?" If not, we need legislation because this is extortion and the industry is promoting "Responsible Exit" to sell more timeshares, but they are not disclosing the inordinately high, uncapped fees to deedback. i.e. the developers get the benefit of selling this industry program but there is no limit as to how much they can charge.

Good point. Unless they have an office in the USA, I don't think they can go after your credit or take legal action. I know Villa de Palmar has an office in San Diego and takes payments there, probably for this reason.

There is a Canadian on another thread where Grandview, LV was asking for $2,700 ($3300 CDN) to deed back a 1 bdrm. IMO that is extortion for a property that has only $450/year MF. That's like paying out 6 years of ownership in advance just to deed it back. Yet the developer can turn around and sell or rent it out immediately! Perhaps the Canadian owner could walk similar to the case above because a US entity cannot report to Canadian credit bureaus nor cost-effectively pursue legal action so the owner could avoid this ridiculously high fee if s/he cannot give it away.

@TUGBrian Perhaps ARDA could work on putting a cap on such fees with their promotional program so-called "Responsible Exit?" If not, we need legislation because this is extortion and the industry is promoting "Responsible Exit" to sell more timeshares, but they are not disclosing the inordinately high, uncapped fees to deedback. i.e. the developers get the benefit of selling this industry program but there is no limit as to how much they can charge.

Hi. I’m Canadian and I also want to end my timeshare with sunset royal in Cancun,Mexico. My purchase agreement contract ends Dec 31,2020. But their member services said my addendum is for a lifetime membership. My lawyer friend said the addendum is still subject to the terms of the contract. There no balances - all fees are paid. The next maintenance year is 2021 & I don’t want to pay it anymore.

 

[Grammarhero]

Hi. I’m Canadian and I also want to end my timeshare with sunset royal in Cancun,Mexico. My purchase agreement contract ends Dec 31,2020. But their member services said my addendum is for a lifetime membership. My lawyer friend said the addendum is still subject to the terms of the contract. There no balances - all fees are paid. The next maintenance year is 2021 & I don’t want to pay it anymore.

@DArk
out of 8 TS defaults by Canadians reported on TUG, 0 got reported to the Canadian credit agencies. Check out the links below. One Canadian MF defaulter was told to me in confidence, so I cannot reveal that.

If you make the hard decision to default, mind telling us if your credit got affected? It would help tuggers in similar situations moving forward.

https://tugbbs.com/forums/threads/a...fees-what-happened.296893/page-7#post-2396547

https://tugbbs.com/forums/threads/canadian-with-a-timeshare-in-florida.298837/#post-2367946

https://tugbbs.com/forums/threads/a...fees-what-happened.296893/page-3#post-2352822

 

[DArk]

@DArk
out of 8 TS defaults by Canadians reported on TUG, 0 got reported to the Canadian credit agencies. Check out the links below. One Canadian MF defaulter was told to me in confidence, so I cannot reveal that.

If you make the hard decision to default, mind telling us if your credit got affected? It would help tuggers in similar situations moving forward.

https://tugbbs.com/forums/threads/a...fees-what-happened.296893/page-7#post-2396547

https://tugbbs.com/forums/threads/canadian-with-a-timeshare-in-florida.298837/#post-2367946

https://tugbbs.com/forums/threads/a...fees-what-happened.296893/page-3#post-2352822

Thank you so much for the info.

 

[diablo2424]

I'm curious about Sheraton Flex owners who have defaulted on the mortgage, and those who defaulted on MF - which had credit hits and did either get a foreclosure on their credit (the 7 year negative effect?)

 

[Godfrey]

Frankly, I plan never to buy a timeshare again but if I was, I would only buy in States where they have non judicial, anti deficiency laws like Florida.

Even though I believe one should do their very best to rid a timeshare by giving it away first, the non judicial, anti deficiency laws really help if you must stop payment to force foreclosure.

That’s why I think timeshare companies are finally havingdeed back programs. They see that all one has to do in these non judicial, anti deficiency states is to stop payment and force the timeshare down their throats. Florida, as one state, has a lot of timeshares.


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[Godfrey]

Is Hawaii a non-judicial, anti deficiency state?

 

[Fredflintstone]

Is Hawaii a non-judicial, anti deficiency state?

As far as I recall...no.


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[bbakernbay]

I too am a Canadian and at one point we owned 7 weeks of US Timeshares and 5 weeks are now gone and the other 2 are about to be terminated for different reasons.
The one I bought on eBay at Wyndham Fairfield Glade was deeded back to Wyndham several years ago on their Ovation program where they took back certain Wyndham properties with no payment. All it cost was fee for Notary at UPS store.
We had 4 weeks at Lago Vista in FL that was nearing sunset and MFees skyrocketed as they had over 50% delinquencies so we walked away and never heard anything more.
We have another in FL that I just sent the MFee Invoice back and said we aren’t paying and send us the papers for a deedback if you wish a quick transfer.
Our other FL timeshare will sunset in January and the owners voted to terminate timeshare. We paid MFees for 2020 but couldn’t travel so banked the week and see what happens as they try to wind it up.

One of our resort managers told me that there is no legal way to come after Canadians but I don’t know if that is factual.

US Timeshares will be severely impacted by the COVID-19 pandemic with border closed to car travel and other issues that are obvious.

We had over 30 years of great timeshare experience but there are too many issues now for various reasons including poor management and greedy developers and of course exorbitant fees by RCI that discourage exchanging.

Never buy from a developer, buy only private sale and know what you are buying.

TUG Forums are a wealth of information.

 

[deolsunny533]

I pay my mf but have called a few resorts to ask what would happen if I didn't. None of the resorts I talked to were willing to tell me it was ok to stop paying the mf and all of them said this could go to collection. "Could" means probably, imo.

 

[LannyPC]

I pay my mf but have called a few resorts to ask what would happen if I didn't. None of the resorts I talked to were willing to tell me it was ok to stop paying the mf and all of them said this could go to collection. "Could" means probably, imo.

A lot do go to collections. How enforceable the collections are is another story. You can read on these threads first-hand experiences of owners like yourself who have stopped paying MFs. Sometimes, the results depend on where the TS located as well as if it is deeded property , Right-to-Use (RTU), or just a travel club/membership.

You said that you pay your MFs. If you are up to date on those as well as not having anything owing on the mortgage, you can try asking the resort to take your TS back or use the Bargain Deals giveaway section here on TUG.

 

[Juxtapose]

I've got a minuscule 2,200 annual points with HGV (cost $14,000ish) that has been paid off for several years now... and I just can't justify the $650ish MF on it every year - because I don't use it. I've done a lot of work trying to sell it (for under $500... no takers), and I even tried to give it away and back to Hilton... they've just ignored me on that front. I'm stopping MF payments this year and hoping they don't care enough about the $650 to waste their time on a foreclosure. Maybe it'll entice them to simply take it back for free (which I've offered to them).

I've made a note to myself to report back here in a year or two if this has any impact on my credit (score is currently 824 and I have little desire to maintain that score for the next decade... as I recently refinanced my house to under 3% and I drive old cars). I hate that this might impact current owners, but I did my best to try to part with the property through sale, gift, and eventually giving it back to HGV. I guess in this market they wouldn't be able to turn it around to someone else. But who knows...

 

[dag2]

That is great info for tuggers to know! I wonder if the defaulters had a remaining balance on their timeshare or was it just a default on the maintenance fees?

 

[Gypsy65]

Just a “ guess “
But I would think any timeshares given back in a situation like 2008 or now either with or without a loan would be less likely chased after than one during normal times as the amount given bake would just be too much work

I may be wrong but if there are a lot going back and I assume there are or will be I just don’t see them chasing every one

 

[echoloader]

what is the Law in Las Vegas if someone stop paying MF for the TS in Las Vegas.Can the put lien on your house or come after the person for not paying the MF. Also who should I contact to gine my deed back. I have TS at Grandview at Vegas in Las Vegas. Any help will be appreciated. I live in Canada. Its fully paid no mortgage.Unable to travel anymore.

 

[CalGalTraveler]

From the Sticky at the top of this forum:

Nevada – NV, defaulting TS owners have no right to non-judicial, anti-deficiency foreclosures, https://www.leg.state.nv.us/NRS/NRS-119A.html

Some Grandview units have value. What do you own? You might be able to sell or give it away in the bargain section of this forum.

 

[echoloader]

I have 2 bedroom week 38 (122000pts)and one bedroom week12. (49000pts)Fully paid. 6 extra weeks and 2 last call.

 

[Passepartout]

I have 2 bedroom week 38 (122000pts)and one bedroom week12. (49000pts)Fully paid. 6 extra weeks and 2 last call.

Those units enrolled in RCI Points have some value. They provide lots of points at a comparatively low annual MF. List them either on the TUG Marketplace or Bargain Deals. I do think however, that they need to be paid off and current (MF) in order to transfer title.