Bankruptcy Question

[muzikman429]

Hi Tugg Family!
Well, it seems I will be filing bankruptcy. Along with other debts that I have, I am currently in collections with Aspen for my 2 properties that I “own”. The Cliff and Westin. In total I owe over 8k in back MF and interests. Like all the other debt I have I definitely will not be able to recover from it anytime soon. Even if I wanted to I would not be able to I would have to pay off my collection accounts as well as maintain my current MFs for both properties. Owned them for 11yrs before the pandemic and just was not able to recover. My question for now is this. If I were to include the collection accounts on my bankruptcy what would then happen to my properties. Would I lose them entirely? If the bankruptcy is approved would I then be able to pay my current MFs plus any interest that may have accrued for 2023 and begin using my properties like nothing ever happened or would VV black list me and I would never be able to own any of their properties again? Just some random thoughts but either way I will be filing and adding the accounts but just wanted to know if any fellow Tuggers had some helpful info.
Thanks in advance!

 

[montygz]

If you default on your debt your timeshares would be foreclosed on. You would no longer own a timeshare and thus, can't use them.

As for being "blacklisted" I have no idea. If you are in such dire financial shape, I think owning a timeshare would be a low priority.

Declaring bankruptcy has its own ramifications. Before you take steps toward such a move, I suggest you reach out for some expert help.

 

[muzikman429]

If you default on your debt your timeshares would be foreclosed on. You would no longer own a timeshare and thus, can't use them.

As for being "blacklisted" I have no idea. If you are in such dire financial shape, I think owning a timeshare would be a low priority.

Declaring bankruptcy has its own ramifications. Before you take steps toward such a move, I suggest you reach out for some expert help.

Thanks Monty. Definitely appreciate your feedback

 

[alexadeparis]

Hi Tugg Family!
Well, it seems I will be filing bankruptcy. Along with other debts that I have, I am currently in collections with Aspen for my 2 properties that I “own”. The Cliff and Westin. In total I owe over 8k in back MF and interests. Like all the other debt I have I definitely will not be able to recover from it anytime soon. Even if I wanted to I would not be able to I would have to pay off my collection accounts as well as maintain my current MFs for both properties. Owned them for 11yrs before the pandemic and just was not able to recover. My question for now is this. If I were to include the collection accounts on my bankruptcy what would then happen to my properties. Would I lose them entirely? If the bankruptcy is approved would I then be able to pay my current MFs plus any interest that may have accrued for 2023 and begin using my properties like nothing ever happened or would VV black list me and I would never be able to own any of their properties again? Just some random thoughts but either way I will be filing and adding the accounts but just wanted to know if any fellow Tuggers had some helpful info.
Thanks in advance!

if you still have loans on them. eventually they will foreclose and take the properties back. If they are free and clear, they will pass through the bankruptcy. Technically, they can't collect any MF that accrued before the bankruptcy date BUT they can foreclose for the non payment of pre-petition fees. That's IF the bankruptcy trustee doesn't want to sell the properties (if they have resale value). All MF due after the bankruptcy will still accrue. Again, its likely that they will eventually foreclose but that could be years. After the bankruptcy if the trustee abandons the property, then you can ask the resort to see if they can do a deed back in lieu of foreclosure.

 

[muzikman429]

if you still have loans on them. eventually they will foreclose and take the properties back. If they are free and clear, they will pass through the bankruptcy. Technically, they can't collect any MF that accrued before the bankruptcy date BUT they can foreclose for the non payment of pre-petition fees. That's IF the bankruptcy trustee doesn't want to sell the properties (if they have resale value). All MF due after the bankruptcy will still accrue. Again, its likely that they will eventually foreclose but that could be years. After the bankruptcy if the trustee abandons the property, then you can ask the resort to see if they can do a deed back in lieu of foreclosure.

Thanks for the feedback. The good news, if I can call it that, is that both properties are free and clear. So, only the MFs will pass through the bankruptcy. Excuse me for being such a novice at the terminology and possible procedures, but I am trying to understand what could possibly happen, after the MFs pass through bankruptcy. Pre-petition fees? At a lose. You can PM me and we can talk there if you prefer. But I need to dummy dummy breakdown.
Thanks again

 

[dioxide45]

Why do you want to keep them? Bankruptcy will trash your credit anyway. Just stop paying and let them foreclose. There are better systems to buy into later. Resale of course.

 

[muzikman429]

Why do you want to keep them? Bankruptcy will trash your credit anyway. Just stop paying and let them foreclose. There are better systems to buy into later. Resale of course.

The thought of me keeping them were for the amount of points I am losing. 148k between the 2. MFs were under 1800 a year. That is the only reason.

 

[rickandcindy23]

The thought of me keeping them were for the amount of points I am losing. 148k between the 2. MFs were under 1800 a year. That is the only reason.

That's a good reason to keep the Westin. What specifically do you own at Westin? I wouldn't let that go, I would do everything I had to do to keep it. If it's Kierland, it has a high resale value.