Dropping a Timeshare

[bartnrod]

Curious as to the business rules of just dropping a timeshare that is not paid off. We bought one in Nuevo Puerto Vallarta nearly two years ago and still owe roughly 15,000 on. I have 5 married children and 17 grandchildren and we thought it would be nice to spread a trip around now and then for them. However, with all of the murders and drug cartel unrest in that part of Mexico recently, none of our children want to go even near the place. So, I'm paying $369./mo for nothing. I have 3 other timeshares and having one available to use is not a problem. Can one just notify the company and stop paying and let them resell? I've already sunk 15,000 in it, but pouring good money after bad doesn't sound to appealing.

 

[Tia]

You could contact the company and inquire if they'll simply take it back for monies paid.

 

[dougp26364]

Typically speaking, defaulting on a timeshare loan is the same as defaulting on any other loan. It's going to be a bad debt write off on your credit report.

You can ask if the company will accept a deed back but, the problem there is that typically timeshare loans are bundled together and sold as a form of junk bond security. The developer rarely hangs onto the loan and has no incentive to take a timeshare deed back if there is a lein against it.

You could attempt to sell it but, the value if far lower than $15,000. Chances are far more likely you'll get scammed out of additional money by companies promising you the they can sell/rent your timeshare, then disappear after they've collected listing fee's from you. NEVER give a company money up front to sell/rent your timeshare no matter what they promise.

 

[78hawkints]

Our family has grown, and no longer interested in visiting Florida, where we own. The maintenance fees go up every year, and we basically pay double to vacation elsewhere, so we too would like to "get out." Any suggestions? Don't bother replying about renting to friends, trading, etc. Believe me, we've done it all after 14 years.

 

[T_R_Oglodyte]

Curious as to the business rules of just dropping a timeshare that is not paid off. We bought one in Nuevo Puerto Vallarta nearly two years ago and still owe roughly 15,000 on. I have 5 married children and 17 grandchildren and we thought it would be nice to spread a trip around now and then for them. However, with all of the murders and drug cartel unrest in that part of Mexico recently, none of our children want to go even near the place. So, I'm paying $369./mo for nothing. I have 3 other timeshares and having one available to use is not a problem. Can one just notify the company and stop paying and let them resell? I've already sunk 15,000 in it, but pouring good money after bad doesn't sound to appealing.

I recognize the concerns expressed by your family. Unfortunately they are gravely mistaken about crime in Mexico. There is very little drug cartel and violence in the Puerto/Nuevo Vallarta area - it is actually one of the safest spots in the world for US tourists to travel. The people in the area know their livelihoods depend on the tourism business, and they take great pains to keep the area safe.

FWIW - In the tourist areas Puerto Vallarta and Nuevo Vallarta there is virtually zerocrime in comparison with most areas of the US. I'm not talking about inner citiy areas; I'm talking popular tourist destinations in places like Miami, New York, New Orleans, Seattle, San Francisco, San Diego, Scottsdale, Waikiki, etc.

I travel regularly to locales up and down the west coast, as well as to Hawaii and Puerto Vallarta. Of the places I regularly visit the tourist areas in Puerto Vallarta are by far the safest.

If you want to read more about this, go to the Mexico forum and read the sticky thread at the top of the forum about safety of travel in Mexico. You might want to pay particular attention to people, like your family members, who were terribly frightened of traveling in Mexico only to find out how misplaced their fears were.

 

[DeniseM]

Our family has grown, and no longer interested in visiting Florida, where we own. The maintenance fees go up every year, and we basically pay double to vacation elsewhere, so we too would like to "get out." Any suggestions? Don't bother replying about renting to friends, trading, etc. Believe me, we've done it all after 14 years.

Please consider giving your timeshare away to a private individual who would like to own it.

Why?
-You can give it away yourself for nearly no cost.
-You can control the transfer process to make sure it is truly transferred out of your name.
-You won't have to deal with companies that may or may not be Legit.
-You can transfer it to a private individual who will be happy to have it for their own use.
-You will have the satisfaction of knowing that you ended your ownership legally and ethically.

There are two places on TUG where you can give away your TS's for free (no charge for the Ads.) There are other cheap and free sites on the internet, as well.

TUG Marketplace - the only cost is your TUG membership - $15 (List it for $1 and it will automatically go in the Bargain Basement Ads.)

Bargain Deals - Totally FREE! - just write a simple post with all the pertinent info. In your post, include the following info.:

-resort name
-unit size
-season owned
-maintenance fee
-current reservations​

To make it more attractive I would:

1) Pay 2011 maintenance fees and don't ask for reimbursement.

2) Pay for the title transfer (you can get a simple professional transfer for about $100) I've used this licensed document Prep. company and the owner is a Tugger. - Note, this is my personal recommendation, not as a representative of TUG.

3) Reserve a popular holiday week in 2011 for the new owner​

Good luck!

 

[ronparise]

Defaulting on your timeshare loan, or timeshare maintenance fees is no different than defaulting on any other loan

Your contract probably spells out what happens in case of default. There are no doubt consequences...If you are willing to live with those consequences...Then go for it...but know what they are

 

[e.bram]

Steve:
Read what the State Dept. says about travel to Mexico.

 

[loafingcactus]

Steve:
Read what the State Dept. says about travel to Mexico.

http://travel.state.gov/travel/cis_pa_tw/tw/tw_5440.html

It says that resort areas are equal to "anywhere" and specifically does not list them as the locations of concern.

 

[aliikai2]

One county in New Jersey

Had 35 murders last year, I haven't found the State total yet,
the entire country of Mexico had 135 US citizens killed in 2010 and most of them were involved in the drug trade.

You be the judge,

fwiw,

Greg

Steve:
Read what the State Dept. says about travel to Mexico.

 

[T_R_Oglodyte]

Steve:
Read what the State Dept. says about travel to Mexico.

As we've discussed before, your home state of New Jersey is vastly more violent and crime-infested than is Puerto Vallarta.

You, of course, are very well aware of that. You do enjoy being a troll, though, don't you??

[ad hominem comment deleted - SN]

 

[e.bram]

"anywhere = everywhere!

 

[dmbrand]

bartnrod,

If you don't have any concerns about credit ratings and future loans, then you could try defaulting. I know someone that did just that with a Mexico timeshare, however, this person is in bankruptcy as it is. Dropping the landline and changing cell phone numbers took care of the collection calls. Not sure if that is the avenue you want to take.

Have you entertained the idea of signing up with one of the exchange companies? Would any of the children be interested in going to Orlando, Las Vegas, Sedona, etc? You might be able to parlay this one week into two weeks if you are able to vacation during off-season times.

Trying to sell this is going to be difficult, especially with a balance owing. Renting it to someone else for the maintenance fee might be possible, but is going to take marketing on your part.

I am also part of the crowd that isn't worried about Mexico safety. I already have a week booked for February to Nuevo Vallarta, tickets purchased, and am excited to see another part of the world. Much of the hype is just that...media run amok. I'm more likely to be run down by a drunk driver on my local highway.

 

[e.bram]

Steve:
I didn't say tenants in common! I said one name or the other. ie not both. What is wrong with that advice?

 

[Patri]

Had 35 murders last year, I haven't found the State total yet,
the entire country of Mexico had 135 US citizens killed in 2010 and most of them were involved in the drug trade.

You be the judge,

fwiw,

Greg

At least compare apples to apples. How many citizens of Mexico were killed in 2010?

 

[T_R_Oglodyte]

[followup post to ad hominen comment deleted - SN]

 

[Cargojon]

At least compare apples to apples. How many citizens of Mexico were killed in 2010?

How many folks staying in the resorts/timeshares in PV were Mexican citizens?

 

[ampaholic]

Ahhh folks

We are talking about a vacation here - I doubt it would be effective to talk people into feeling safe "anywhere" that they don't.

Why would anyone want to vacation somewhere they don't feel safe?

There are thousands of destinations - some are partial to some and disfavor others - that's just the way it is.

Personally I don't like "jungle" locations - but that can be attributed to Ho Chi Minh and his pals - they sort of "spoiled" it for me.

Just Sayin ....

 

[bartnrod]

We've also noticed that 3 or 4 cruise lines now will not stop at Mazatlan because of safety concerns for their passengers. Also, Starting in November, Princess Cruises will drop Puerto Vallarta for the same security concern.

 

[Marlene]

Timeshare

What is the name of the resort and what are the maintenance fees and costs of transferring title?

 

[Rob&Carol Q]

Ahhh folks

Personally I don't like "jungle" locations - but that can be attributed to Ho Chi Minh and his pals - they sort of "spoiled" it for me.

Just Sayin ....

:rofl: :rofl: :rofl:

and my Bride wonders why I don't "DO" deserts...:hysterical: :hysterical: :hysterical:

Thanks for that!

 

[ampaholic]

:rofl: :rofl: :rofl:

and my Bride wonders why I don't "DO" deserts...:hysterical: :hysterical: :hysterical:

Thanks for that!

Your welcome and thanks for your service.

 

[napfabob]

Walking Away From Time share

As outlined by many members, there are potential credit issues with walking away from any debt.

For a young individual or young couple this may have long term consequences.

However, for individuals of experience with some form of net worth, many are beyond borrowing for anything other than luxuries.

If in fact the resort does sell these notes, the buyer wants to be paid, Defaulting "may" inspire the note owner to be willing to negotiate a settlement in your favor. You may even be able to go so far as to get a letter in writing that the defaulted debt was satisfied. You will have to ask or this in advance as part of any settlement.

If you can stand the potential hit to your credit, defaulting may be an approach to take to find out who owns the note and weather they are willing to settle for less than what you owe. Good luck

 

[MommaBear]

I am as nervous as the next person about potential for violence. We went to Cancun last year and felt so safe and had such a good time we are going back this year. The only gun I saw was at Gucci, which made my husband happy because it kept me from going in!

There are many places that I would not go to such as slums in any large city, I would not take anything of value to any beach, I do not wear or flaunt precious gems, I take state certified cabs. The place you stay in Mexico can always direct you to safe transportation.

You could always trade OUT of your timeshare. Part of the value (I know that word is very debatable in TS circles) of a TS is the ability to trade into other resorts.

 

[HildaK]

Success in getting rid of 3 weeks of timeshares

My mother in law owned 3 weeks of timeshares (Las Vegas and Mexico). She was no longer able to use them and just wanted to get rid of them. She was unable to handle the selling of her timeshares herself so my husband and I took over the process. We did not have the time or inclination to research how to sell these timeshares and decided to use the Give Back Timeshares group. We live in Canada and didn't want to get involved in any of the legalities of doing this transaction. I know that TUG always advises not to pay anything up front when selling timeshares, but we did and have now successfully gotten my mother in law out of her timeshares. It isn't cheap. We payed about $6000. In about 4 years though, she will recover this money by no longer paying maintenance fees. There are timeshare owners out there, who I'm sure are in the same boat and just want out! From our point of view, Give Back Timeshares did the job for us. My mother in law owned her timeshares outright and did not have any mortgages so I think that helped in the whole process.