Default procedures [HGV property]

[wesnet50]

After much deliberation, watching all the videos, I have decided to default on an HGV property on which I still owe payments. I understand the impacts of this action on my credit score and other financial implications. Right now, I have halted payments with no notification to the resort or HGV offices. My intention is ceasing all communication. Is this the appropriate path or should I inform someone?

 

[dioxide45]

There is no real need to inform anyone. It seems you have made an educated decision and understand the possible ramifications. When you start getting calls, you can send your letter asking them to not call regarding any type of collection effort. This will stop most harassment from collections. You will still get letters in the mail and they will move forward with foreclosure. They may later ask for a deed in lieu of foreclosure which you could take advantage of.

 

[Reddart]

This may be helpful: https://tugbbs.com/forums/threads/hgvcs-deed-back-process.359743/page-7#post-3092845

 

[dioxide45]

This may be helpful: https://tugbbs.com/forums/threads/hgvcs-deed-back-process.359743/page-7#post-3092845

That won't work for the OP as they still own payments. I take that to mean they still have an outstanding loan.

 

[MM9]

Depending on how much you owe, at some point, you may wish to consider filing for Bankruptcy Protection. Hilton may decide to sue you for the original amount borrowed, or may not.

 

[dioxide45]

Depending on how much you owe, at some point, you may wish to consider filing for Bankruptcy Protection. Hilton may decide to sue you for the original amount borrowed, or may not.

Bankruptcy should not be considered, or only considered as a last resort and if there are other debts holding someone back. There is nearly zero chance that a timeshare entity will go for a deficiency judgement. Also, depending on the state, a deficiency judgement may not even be possible.

 

[MM9]

Bankruptcy should not be considered, or only considered as a last resort and if there are other debts holding someone back. There is nearly zero chance that a timeshare entity will go for a deficiency judgement. Also, depending on the state, a deficiency judgement may not even be possible.

I was under the impression that Hilton sued people. If that is the case... beyond credit score damage, it does not seem that there are any consequences.

 

[Jason245]

I was under the impression that Hilton sued people. If that is the case... beyond credit score damage, it does not seem that there are any consequences.

I wouldn't assume you will not get sued. In order to foreclose they have to initiate legal proceedings (a lawsuit) against you.

Assuming you don't fight it.. they will get a summary judgement against you. And take the deed back.

At which point I think it is a question of whether or not they pursue other types of collection activities for your debt default and other non payment penalties and interest.

That being said.. if you don't have any assets then it will be hard for them to collect..


That being said everything I said and the Internet says isn't official legal advise.

I recommend connecting with an attorney if you want actual legal advise (not a timeshare exit company but a attorney probably best if one who deals with real estate and time shares).



Sent from my SM-S918U using Tapatalk

 

[alwysonvac]

That won't work for the OP as they still own payments. I take that to mean they still have an outstanding loan.

Reddart was pointing to a specific post (post #165 from TUGBrian) that shows HGV's delinquency process for handling missed loan payments.

The slide is from HGV's June 2024 investor overview presentation
https://s27.q4cdn.com/757306400/files/doc_presentations/2024/Jun/29/final-hgv-general-deck-jun24.pdf

 

[alwysonvac]

Additional threads

[ 2022 ] Timeshare Default Credit Report/Collection Tracking

Some of you know I have been tracking this. Out of four (4) more TS defaults reported on TUG Facebook, one (1) got his credit affected. I have tabbed the following stats(updated 5/2022): TS defaults w credit drops: 47 out of 107 TS defaults w collections: 12 out of 107 TS defaults w...

tugbbs.com

Links to Official State Timeshare Laws and Guides/Manuals

somehow i accidentally moved this to the bluegreen forum, ive put it back in BSR but im pretty sure it was posted in another forum instead as a sticky (perhaps newbies?) let me know so i can move it back to where it was before =)

tugbbs.com