Defaulting on the loan: Should I involve a lawyer?

[JohnLee6072]

As the title states, should I involve a lawyer?
Timeshare: Welks,
Loan Status: 31k still owed. 15k paid

Just as many say on this site: never pay upfront costs. But what if its a lawyer? The business is accredited by the BBB and they have a 100% guarantee that they will remove the timeshare AND protect my credit. Global Timeshare Attorneys. Their plan of action is to complain for me that I was overpromised (as we all are) with aggressive sales tactics (6 hours sales pitch).
It sounds too good to be true and so here I am.

Other attorney groups say at least hire them so that Welks won't take it to Civil suit and take a lein on my home. Sussman (lawyer)

I just need to get out of this. If my credit scores crashes to the 400s then thats on me. I made this financial mistake and im willing to take the credit score hit but my parents recently just put the title of our family home under my name of tax purposes and now I'm afraid Welks will try and take my home.

These attorneys only promise it won't go to a civil suit but no one can guarantee it. What's the point of paying their initial costs if it just goes into a civil suit anyways?

 

[bogey21]

As the title states, should I involve a lawyer?

It sounds too good to be true and so here I am.

You are right to be skeptical. Personally I don't think a lawyer (if that is what they really are) will do you any good...

George

 

[easyrider]

As the title states, should I involve a lawyer?
Timeshare: Welks,
Loan Status: 31k still owed. 15k paid

Just as many say on this site: never pay upfront costs. But what if its a lawyer? The business is accredited by the BBB and they have a 100% guarantee that they will remove the timeshare AND protect my credit. Global Timeshare Attorneys. Their plan of action is to complain for me that I was overpromised (as we all are) with aggressive sales tactics (6 hours sales pitch).
It sounds too good to be true and so here I am.

Other attorney groups say at least hire them so that Welks won't take it to Civil suit and take a lein on my home. Sussman (lawyer)

I just need to get out of this. If my credit scores crashes to the 400s then thats on me. I made this financial mistake and im willing to take the credit score hit but my parents recently just put the title of our family home under my name of tax purposes and now I'm afraid Welks will try and take my home.

These attorneys only promise it won't go to a civil suit but no one can guarantee it. What's the point of paying their initial costs if it just goes into a civil suit anyways?

I'm pretty sure that in California all that could happen is a foreclosure and credit hit. The lender couldn't go after you and garnish anything under most circumstances.

I wouldn't pay a company to write a letter because most of these things eventually go to foreclosure. I think there will be alot of foreclosures this year because of the impact of covid 19.

Bill

 

[elaine]

Per TUG links below, in California, TS owners get anti-deficiency judgments, even for judicial actions. The TS will go thru the same process with or without an atty. I'd spend $200 or so and consult with a TS lawyer to discuss ramifications before I hired an exit compay, etc.
https://leginfo.legislature.ca.gov/...vision=4.&title=&part=2.&chapter=2.&article=1

Links to Official State Timeshare Laws and Guides/Manuals

@TUGBrian @DeniseM @CalGalTraveler take a look. This weekend, I’m creating a spreadsheet with official links to states’ timeshare laws, as well as their statuses as to non-judicial, anti-deficiency foreclosures. In the meantime, I will just keep adding notes. * Legal Disclaimer: This list...

tugbbs.com

 

[rickandcindy23]

What is a TS lawyer, @elaine? An attorney could advise them, but the timeshare exit attorneys are out to take the timeshare and $5,000 and no guarantees. I wouldn't use this company.

 

[JohnLee6072]

Per TUG links below, in California, TS owners get anti-deficiency judgments, even for judicial actions. The TS will go thru the same process with or without an atty. I'd spend $200 or so and consult with a TS lawyer to discuss ramifications before I hired an exit compay, etc.
https://leginfo.legislature.ca.gov/...vision=4.&title=&part=2.&chapter=2.&article=1

Links to Official State Timeshare Laws and Guides/Manuals

@TUGBrian @DeniseM @CalGalTraveler take a look. This weekend, I’m creating a spreadsheet with official links to states’ timeshare laws, as well as their statuses as to non-judicial, anti-deficiency foreclosures. In the meantime, I will just keep adding notes. * Legal Disclaimer: This list...

tugbbs.com

I believe your right! but consulting a lawyer will bring piece of mind to my decision I greatly appreciate this. How does one go about finding a TS lawyer? Google just put me in touch with two groups that are making absurd the previously quoted promises.

 

[Passepartout]

@JohnLee6072, @Grammarhero,
The TUG basic feeling here is to NEVER pay an upfront fee. That would include 'attorneys'. I have linked TUGger Grammarhero, who tracks which states are more likely than others to be less likely to come after you for the deficiency (The remaining amount owed after foreclosure). Before you decide, one way or another, check what he says.

Jim

 

[JohnLee6072]

@JohnLee6072, @Grammarhero,
The TUG basic feeling here is to NEVER pay an upfront fee. That would include 'attorneys'. I have linked TUGger Grammarhero, who tracks which states are more likely than others to be less likely to come after you for the deficiency (The remaining amount owed after foreclosure). Before you decide, one way or another, check what he says.

Jim

I see his posts here often, he definitely seems like a hero to TUGS users. I've called a couple attorney groups now and they say my only fear outside of a massive credit hit is arbitration. I don't understand how arbitration could occur with anti-deficiency judgments. Thank you for the help, I understand those who use Timeshares correctly and enjoy them don't benefit from those who default. The help received here is a blessing.

 

[JohnLee6072]

What is a TS lawyer, @elaine? An attorney could advise them, but the timeshare exit attorneys are out to take the timeshare and $5,000 and no guarantees. I wouldn't use this company.

Here is their policy sent to me over email.

100% MONEY-BACK GUARANTEE POLICY [Info Withheld] offers a 100% money-back guarantee on the purchase price paid for its timeshare consulting services. If for any reason the services outlined in your timeshare consultation agreement(s) are not fully completed by [Info Withheld] within a 18 month period, [Info Withheld] will refund 100% of the the price paid for those services. [Info Withheld] feels 100% confident that it can provide you with the services necessary to assist you in achieving your desired goal. This guarantee is only available to those clients that undertake all necessary actions to assist [Info Withheld] with completing the agreed upon services including, but not limited to, providing [Info Withheld] will all requested paperwork and all correspondence received from the developer, manager, collection agency, home owners association and the like in a timely fashion. [Info Withheld] will only provide a refund to those clients that have fully paid for the services and have given [Info Withheld] the opportunity to fully perform its services for the duration of the agreed upon time period, unless a new time period is subsequently agreed to, in accordance with their agreement. In the event the agreement is terminated by the client prior to the expiration of the agreed time period, the guarantee shall become void and the client shall have no rights to any refund whatsoever. Any and all claims for refund must be made within 30 days following the expiration of the time period for the completion of services outlined in your agreement. [Info Withheld] may, in its sole and absolute discretion, void this guarantee in the event it has been misled or lied to regarding the reason(s) and necessity for its services.

After my sales experience at Welks, I do not trust anyone. BUT I put my faith in the people here .

 

[elaine]

there are a number of lawyers who advise on TS. I'd look for one versed in CA law and find out how much a consult is. Start with those who have written articles for the internet. Here's are examples--no knowledge of attys--so not an endorsement. also a good way to educate oneself about TS laws.

Fractional Ownership and Timeshare Law In California

Complete text of the law governing timeshare and fractional ownership offerings in California

andysirkin.com

California Timeshare Cancellation Laws - Seaside Consultants Group

If you are looking to cancel a timeshare, learn about the California timeshare cancellation laws. Give us a call us at (888) 636-4476 today.

www.seasideconsultants.com

 

[RX8]

Being in the exit company business is very lucrative and that attracts many new companies that want a piece of the pie. This particular company has been around only since January 2019. Don't put too much stock in the BBB rating as they are accredited (pay a fee to the BBB).

I couldn't find a legal entity by their name but I did find the fictitious name filing with Orange County. Most exit companies are not comprised of real attorneys but they may be aligned with an attorney that is likely for appearances only. Some don't even bother with that. The person behind this fictitious name is actually the attorney listed on their website. Does that mean that she has special powers to get you out of a legal contract? Of course the answer is no. Being an attorney with an exit company is also no guarantee that you won't get scammed. See the article below about a Tennessee attorney that was disbarred due to the actions of his exit company.

Davidson County lawyer disbarred from practice | News | wsmv.com

Those "guarantees" are no guarantee either. Timeshare Exit Team, who has a money back guarantee, was sued by the Washington Attorney General for fraud.

Timeshare relief company with ties to Florida accused of widespread fraud (tampabay.com)

Edited:

The attorney involved was previously sanctioned with allegations that she "participated in a fraudulent scheme to offer and sell securities in the form of promissory notes..." Full details are below.

Marilyn R. Thomassen (sec.gov)

 

[Talent312]

By TS lawyer, I think he meant a lawyer who specializes in real property law, generally,
and if you can find one, who also has experience in timeshare litigation (but that's rare).
Most state or local bar associations have a referral service for low-initial consult fees.

But in short, no lawyer is going to keep you from being foreclosed... at least not without
engaging in ethically questionable tactics of transferring title to a "Viking ship" or such...
which BTW, will not save you from being named in a foreclosure anyway.

The good news is that in non-judicial foreclosures, you're not liable for the loan balance.
Just don't fight the foreclosure, or you could be. There'll be no additional liens.
If they hound you for any $$, tell 'em to pound sand, and consult a Bankruptcy attorney.
.

 

[isisdave]

And what do you mean about >>my parents recently just put the title of our family home under my name of tax purposes <<

Did you get advice on that? It's usually a bad idea to do this, for various reasons (mostly step-up at inheritance).

 

[JohnLee6072]

By TS lawyer, I think he meant a lawyer who specializes in real property law, generally,
and if you can find one, who also has experience in timeshare litigation (but that's rare).
Most state or local bar associations have a referral service for low-initial consult fees.

But in short, no lawyer is going to keep you from being foreclosed... at least not without
engaging in ethically questionable tactics of transferring title to a "Viking ship" or such...
which BTW, will not save you from being named in a foreclosure anyway.

The good news is that in non-judicial foreclosures, you're not liable for the loan balance.
Just don't fight the foreclosure, or you could be. There'll be no additional liens.
If they hound you for any $$, tell 'em to pound sand, and consult a Bankruptcy attorney.
.

Thank you but bankruptcy would put my parents home in trouble.

 

[JohnLee6072]

there are a number of lawyers who advise on TS. I'd look for one versed in CA law and find out how much a consult is. Start with those who have written articles for the internet. Here's are examples--no knowledge of attys--so not an endorsement. also a good way to educate oneself about TS laws.

Fractional Ownership and Timeshare Law In California

Complete text of the law governing timeshare and fractional ownership offerings in California

andysirkin.com

California Timeshare Cancellation Laws - Seaside Consultants Group

If you are looking to cancel a timeshare, learn about the California timeshare cancellation laws. Give us a call us at (888) 636-4476 today.

www.seasideconsultants.com

In California, foreclosures on timeshare mortgages are can be either judicial or nonjudicial. Judicial or not, California’s stringent anti-deficiency judgement laws do apply to timeshare purchases. Since they are classed as ‘purchase-money loans’, a deficiency judgement cannot be levied against the borrower after a foreclosure
^^
Very helpful

 

[elaine]

yep, It sounds like they'll just foreclose on the property and you won't owe additional fees. But, I'd really want to consult an expert vs relying on what I read on TUG or found online (although it's likely accurate). I'd want to know what the consequences are and what to expect. You're not hiring an atty to get you out of the TS, but to give you legal advice on what occurs and how it affects you.

 

[TheTimeTraveler]

Here is their policy sent to me over email.

100% MONEY-BACK GUARANTEE POLICY [Info Withheld] offers a 100% money-back guarantee on the purchase price paid for its timeshare consulting services. If for any reason the services outlined in your timeshare consultation agreement(s) are not fully completed by [Info Withheld] within a 18 month period, [Info Withheld] will refund 100% of the the price paid for those services. [Info Withheld] feels 100% confident that it can provide you with the services necessary to assist you in achieving your desired goal. This guarantee is only available to those clients that undertake all necessary actions to assist [Info Withheld] with completing the agreed upon services including, but not limited to, providing [Info Withheld] will all requested paperwork and all correspondence received from the developer, manager, collection agency, home owners association and the like in a timely fashion. [Info Withheld] will only provide a refund to those clients that have fully paid for the services and have given [Info Withheld] the opportunity to fully perform its services for the duration of the agreed upon time period, unless a new time period is subsequently agreed to, in accordance with their agreement. In the event the agreement is terminated by the client prior to the expiration of the agreed time period, the guarantee shall become void and the client shall have no rights to any refund whatsoever. Any and all claims for refund must be made within 30 days following the expiration of the time period for the completion of services outlined in your agreement. [Info Withheld] may, in its sole and absolute discretion, void this guarantee in the event it has been misled or lied to regarding the reason(s) and necessity for its services.

After my sales experience at Welks, I do not trust anyone. BUT I put my faith in the people here .

DON'T BELIEVE everything you read.

All these exit companies "claim" to put the funds in escrow, but somehow the escrow funds disappear and are never refunded. Ever hear of anyone getting their money back? The money back guarantee is only good for those that have ethics or remain in business. Many times these "escrow" monies are used to finance someone's lavish life style or brand new luxury cars. Those caught usually end up wearing metal bracelets......

Bottom line? Find someone to sell your timeshare like you would sell your home (i.e. on commission which is paid out of the proceeds). It's likely no one will touch the transaction as it isn't worth what the balance is on your loan.

Next option? Buckle down, pay $1,000 extra per month and get that monkey off your back in 30 months....... After all, you knew what you owed when you signed on the dotted line when buying the Welk Timeshare.



.

 

[JohnLee6072]

DON'T BELIEVE everything you read.

All these exit companies "claim" to put the funds in escrow, but somehow the escrow funds disappear and are never refunded. Ever hear of anyone getting their money back? The money back guarantee is only good for those that have ethics or remain in business. Many times these "escrow" monies are used to finance someone's lavish life style or brand new luxury cars. Those caught usually end up wearing metal bracelets......

Bottom line? Find someone to sell your timeshare like you would sell your home (i.e. on commission which is paid out of the proceeds). It's likely no one will touch the transaction as it isn't worth what the balance is on your loan.

Next option? Buckle down, pay $1,000 extra per month and get that monkey off your back in 30 months....... After all, you knew what you owed when you signed on the dotted line when buying the Welk Timeshare.



.

That was the plan, until covid-19 hit and we lost out jobs.

 

[am1]

No one will buy your timeshare. A timeshare lawyer/person will just take your money. Keep paying or run the risk with a judgement against your parents house who decided to put it in your name for tax purposes. A great move until a lien is put against it.
People not paying their debts is annoying. I wish there were de tits prisons for deadbeats as I would sleep better at night. Lawyers love it the way it is as it is not cut and dry.

best of luck and do what you feel is right. Timeshare salespeople and companies are scum.

 

[LannyPC]

As the title states, should I involve a lawyer?

Just to be clear, what exactly are you hoping a lawyer will do for you? It sounds like you have a few issues you're trying to deal with.

 

[DrQ]

An attorney is not going to get you out of the contract.

If it were me, I would save my money for a pit bull debt collector defense lawyer IF they sued me. I would make it plain that there would be no default judgment and they would have to prove every point in court.

These Timeshare lawyer's probably aren't up to that task.

IF I decided to default, I would save my money for a war fund.

But that's just me.

 

[Big Matt]

Why don't you just contact the resort and tell them you are not going to keep paying and see if they will take the week back? If you really have already paid what you said you did, they may be able to let you off the hook

 

[JohnLee6072]

An attorney is not going to get you out of the contract.

If it were me, I would save my money for a pit bull debt collector defense lawyer IF they sued me. I would make it plain that there would be no default judgment and they would have to prove every point in court.

These Timeshare lawyer's probably aren't up to that task.

IF I decided to default, I would save my money for a war fund.

But that's just me.

Many of these consultant / attorney groups promise to get me out of the contract. Seaside Consultants is taking the same route of defense that Global Timeshare Attorneys are also taking. I'm not going to pay upfront.

They tell me their on my side since the sales tactics were aggressive.
1. 8 hours sales tactic (I was dead tired by the end and hungry)
2. We bought a package that was useless and did not meet the vacation requirement we asked for.
3. Never informed about the rescinding period.
4. Contract signing took 5 minutes. sales took the rest of the 8 hours.
5. Misinformed about the package we purchased. Buying Odd years meant on even years we would have drastically limited use of points.
6. Maintenance fees would be a percentage of ownership not a flat rate. (We were informed it would increase yearly)
7. BuyBack program was not explained thoroughly. (Complete payment and would need to be considered).

I signed myself into this mess, What I'm taking from this forum is to hire defense for bankruptcy and/or debt collector defense. A timeshare attorney can't help me.

 

[JohnLee6072]

Why don't you just contact the resort and tell them you are not going to keep paying and see if they will take the week back? If you really have already paid what you said you did, they may be able to let you off the hook

They said they would never do that. Something like If your looking for us to handle the loan outside of a debt collection agency, We do not do that.
The people at Welks are so sweet and welcoming. Talking to their loans department showed me their true side.

 

[am1]

Many of these consultant / attorney groups promise to get me out of the contract. Seaside Consultants is taking the same route of defense that Global Timeshare Attorneys are also taking. I'm not going to pay upfront.

They tell me their on my side since the sales tactics were aggressive.
1. 8 hours sales tactic (I was dead tired by the end and hungry)
2. We bought a package that was useless and did not meet the vacation requirement we asked for.
3. Never informed about the rescinding period.
4. Contract signing took 5 minutes. sales took the rest of the 8 hours.
5. Misinformed about the package we purchased. Buying Odd years meant on even years we would have drastically limited use of points.
6. Maintenance fees would be a percentage of ownership not a flat rate. (We were informed it would increase yearly)
7. BuyBack program was not explained thoroughly. (Complete payment and would need to be considered).

I signed myself into this mess, What I'm taking from this forum is to hire defense for bankruptcy and/or debt collector defense. A timeshare attorney can't help me.

Short of a huge class action lawsuit your points do not matter. You still signed and made payments. No upfront fee but eventually they will ask for money. They are not on your side but on the side of making money.