Trying to help my girlfriend get out of her timeshare contract

[am1]

Everyone who buys gets taken advantage of. Unless it was documented or she disclosed she "is not of sound mind" or the salesman knew that, whatever the law is then I do not see the case. It is what it is and se signed. How many documents has she signed where she was happy to and things worked out? How was she able to sign to be married and now seperated and then divorced. People have the right to make their own decisions both good and bad.

 

[Pathways]

I'm at a loss as to how she got a loan with no verifiable income

Not really a loan when Wyndham 'sells' you a timeshare. The salesman doesn't care if you make a dime, and as long as you make payments for a while, corporate will never know what sales did.

 

[bobbyoc23]

2. I am serious about this relationship, and she is too, and I've told her that this has to be cleared up before we could move forward (not to mention she needs to get her divorce finished, and with the whole covid thing that has languished. I hadn't thought about the fact that it could impact the divorce. She won't be happy to hear that.)

It's great that you're in a serious relationship and you're willing to help her with this burden. However, I think it is unwise to provide this much financial assistance without being married. There are other ways you can help, like providing sound advice and listening to her worries, fears, etc., which it sounds like you are. I apologize if I've overstepped my bounds (this does not address the question in the initial post), but I have seen people get burned by providing financial assistance in relationships that do not materialize into something more.

Good luck to you both!

 

[presley]

3. We both live in California, as does her husband who's she's separated from. (for those of you wondering about divorce law etc.) I figured that he could be liable. California is that kind of state.

In California, no one can buy a timeshare without both spouses signing for the sale. Maybe if she bought out of state, she could have bought without spouse, but there's no way to buy a timeshare in California without the spouse signing. If he is on the timeshare, they are both responsible and both of them will get a credit ding.

I still don't understand the "friend" situation. Is the friend listed on the timeshare? Is it deeded? Who is it deeded to? Way too many people and variables in this situation. She can potentially get out of it quicker by not using an attorney and just telling Wyndham that she refuses to pay. Let the friend the spouse figure out their own exit strategies.

 

[am1]

In California, no one can buy a timeshare without both spouses signing for the sale. Maybe if she bought out of state, she could have bought without spouse, but there's no way to buy a timeshare in California without the spouse signing. If he is on the timeshare, they are both responsible and both of them will get a credit ding.

I still don't understand the "friend" situation. Is the friend listed on the timeshare? Is it deeded? Who is it deeded to? Way too many people and variables in this situation. She can potentially get out of it quicker by not using an attorney and just telling Wyndham that she refuses to pay. Let the friend the spouse figure out their own exit strategies.

Once again why try screwing over the husband who had nothing to with this and according to OP part of the cause of divorce. Divorce does not have to be a war and just looking out for yourself.

 

[RX8]

The “law firm” telling you that it will take 18 months and cost you $8000 is probably what we call a timeshare exit company. Anyone, including people just out of jail, can start a company and call themselves an exit company. This industry isn’t regulated and there are many bad stories of people paying and still owning their timeshare years later. Even the ones with good ratings aren’t immune. The Washington state Attorney General is suing one such “successful” company. There are stories of owners being foreclosed on with the exit company not refunding because they claim the owner is now free from the timeshare.

Most success stories from these exit companies are those in which the exit company just deeds back the timeshare under an open deed back program or they give the timeshare away, things an owner could do themselves and save the huge upfront fee (note the timeshare must be paid off). When it gets complicated, like with an outstanding mortgage, they sit on it forever, well past your time to dispute with your credit card.

In summary, one really never wins with an exit company. Either one will pay thousands that they could do themselves for relatively little or they pay thousands and never get out from the timeshare.

 

[bogey21]

2. Just stop making payments and let it default.

No need to procrastinate. Lawyers are not worth the money in her situation. Number 2 is the way to go...

George

 

[Grammarhero]

Thanks for all the feedback. Here's a little more info.

1. The friend feels awful, and will probably pay any legal fees, and has started making payments towards what I had her pay off already.

2. I am serious about this relationship, and she is too, and I've told her that this has to be cleared up before we could move forward (not to mention she needs to get her divorce finished, and with the whole covid thing that has languished. I hadn't thought about the fact that it could impact the divorce. She won't be happy to hear that.)

3. We both live in California, as does her husband who's she's separated from. (for those of you wondering about divorce law etc.) I figured that he could be liable. California is that kind of state.

4. It is an unusual situation, but there are some unusual circumstances here. I'm aware of what's transpired, and have spoken to all involved. Even the soon to be ex.

The law firm I found happens to be based here locally, so I could visit their office. They have asked me to do as much. They aren't big advertisers, like some of the others. They appear to be a law firm that must have dealt with several timeshare cases, and so they started a division that just deals with timeshares. Business must be good.

I personally believe that it's best if she just not make any payments and wait for it to go away. I just don't know how long that will take. She doesn't want to put her life on hold, and that's what might happen if we wait. The law firm said it could take 18 months. My guess is it will default and then any money paid to the law firm would have been wasted.

She was definitely taken advantage of. She's not naive, but in this case it all sounded so wonderful, and because of her friend, it seemed like a no lose situation. It was the perfect storm. If she had called me during the meeting, I would have told her to run for sure!

Again, thanks for all the input.

Mike

@rukiddin
Where is the TS deeded? Is it CWA or Nevada? That would tell you what legal regime in which you deal.

If you make the hard decision to default, please kindly let us know if her credit got affected. It would help tuggers in similar situations moving forward.

Out of six (6) Wyndham loan defaults reported on TUG, three (3) got reported to the credit agencies. One was told me in confidence, so I cannot post that information here. Here are the links to the other five (5) Wyndham loan defaults:

https://tugbbs.com/forums/threads/2015-about-to-start-the-foreclosure-process.231584/page-8 https://tugbbs.com/forums/threads/b...ay-late-any-advice.293818/page-2#post-2360423 https://tugbbs.com/forums/threads/rescission-not-being-honored.303588/ https://tugbbs.com/forums/threads/timeshare-default-credit-report-collection-tracking.304138/ [ 2020 ] 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. It’s a start, but I have tabbed the following stats: 1) out of 43 reported defaults, 13 got reported to the credit agencies 2) out of 26 MF defaults, 4 got... tugbbs.com

 

[Richelle]

This may be a long shot, but try calling the Wyndham Cares line to see what her options are. She needs to tell them she cannot pay and see what they say. They may put you in touch with some resellers and do a short sale type deal. It's worth a shot.

866-948-4690

 

[davidvel]

In California, no one can buy a timeshare without both spouses signing for the sale. Maybe if she bought out of state, she could have bought without spouse, but there's no way to buy a timeshare in California without the spouse signing. If he is on the timeshare, they are both responsible and both of them will get a credit ding.

I still don't understand the "friend" situation. Is the friend listed on the timeshare? Is it deeded? Who is it deeded to? Way too many people and variables in this situation. She can potentially get out of it quicker by not using an attorney and just telling Wyndham that she refuses to pay. Let the friend the spouse figure out their own exit strategies.

I've never heard of this law, do you have a citation?

 

[davidvel]

Once again why try screwing over the husband who had nothing to with this and according to OP part of the cause of divorce. Divorce does not have to be a war and just looking out for yourself.

Why do you assume the husband is getting screwed in the divorce if this debt is factored into the divorce (which under CA law it is required to be)?
How do you know husband is not including debts he incurred alone (credit cards, guns, boats, cars, motorcycle), thereby evening out the equation?

In CA, all debt and obligations incurred by either spouse (including legal liabilities) during marriage belongs to the community (ie both spouses).

Choose your partner wisely.

 

[am1]

Why do you assume the husband is getting screwed in the divorce if this debt is factored into the divorce (which under CA law it is required to be)?
How do you know husband is not including debts he incurred alone (credit cards, guns, boats, cars, motorcycle), thereby evening out the equation?

In CA, all debt and obligations incurred by either spouse (including legal liabilities) during marriage belongs to the community (ie both spouses).

Choose your partner wisely.

Wife goes off and buys a timeshare for a friend who has worse credit then her and then people suggest she divides the debt or just looks after her part in getting out of it. No one suggesting to stiff the husband knows their situation either. California may allow whatever they want but a person can go above and beyond that and do the right thing. Your last sentence is very important. Sadly do gurantees and pretty bad return policy.

 

[troy12n]

Wife goes off and buys a timeshare for a friend who has worse credit then her and then people suggest she divides the debt or just looks after her part in getting out of it. No one suggesting to stiff the husband knows their situation either. California may allow whatever they want but a person can go above and beyond that and do the right thing. Your last sentence is very important. Sadly do gurantees and pretty bad return policy.

California is a "community property" state, which means ANYTHING acquired during the marriage is property and obligations of both parties.

Also, in reading this thread it seems like the Husband wanted the TS but had worse credit than the wife (which makes nosense, considering she didnt have a job), so why shouldn't the husband be responsible for it too?

 

[Luanne]

California is a "community property" state, which means ANYTHING acquired during the marriage is property and obligations of both parties.

Also, in reading this thread it seems like the Husband wanted the TS but had worse credit than the wife (which makes nosense, considering she didnt have a job), so why shouldn't the husband be responsible for it too?

It sounded from the OP's first post that the soon to be ex-hunsband had NOTHING to do with the purchase of the timeshare, and in fact one reason for the divorce was the timeshare mess.

The OP's girlfriend financed the timeshare for a friend, whose credit was bad.

So the husband, in my opinion, is off the hook.

 

[troy12n]

It sounded from the OP's first post that the soon to be ex-hunsband had NOTHING to do with the purchase of the timeshare, and in fact one reason for the divorce was the timeshare mess.

The OP's girlfriend financed the timeshare for a friend, whose credit was bad.

So the husband, in my opinion, is off the hook.

That's not how that works... just like when the husband blows their community money on whores and cocaine or boats that wife doesn't know about...

It works both ways... them's the breaks

 

[Luanne]

That's not how that works... just like when the husband blows their community money on whores and cocaine or boats that wife doesn't know about...

It works both ways... them's the breaks

I should have added that yes, I understand CA is community property (I lived there) but in this case the soon to be ex wasn't the one who wanted it. Just pointing that out since you seemed to think it was her husband who wanted the timeshare.

 

[Eric B]

California is a "community property" state, which means ANYTHING acquired during the marriage is property and obligations of both parties.

Also, in reading this thread it seems like the Husband wanted the TS but had worse credit than the wife (which makes nosense, considering she didnt have a job), so why shouldn't the husband be responsible for it too?

I actually did practice a small amount of family law in CA long ago and would avoid making absolute statements about how things work because the devil is in the details. I don't practice there or in that area any more, and definitely don't give legal advice on marital issues on an internet site about timeshares, but general rules tend to have exceptions and potential modifications through agreements. This is definitely an area where you want to consult an expert that actually practices and is up to date on recent developments.

 

[am1]

California is a "community property" state, which means ANYTHING acquired during the marriage is property and obligations of both parties.

Also, in reading this thread it seems like the Husband wanted the TS but had worse credit than the wife (which makes nosense, considering she didnt have a job), so why shouldn't the husband be responsible for it too?

Already pointed out but your way off base on who wanted the timeshare. There is the law and then the right thing to do. Girlfriend should own her mistake.

 

[troy12n]

Girlfriend should own her mistake.

And if we are to believe what has been presented, no sane underwriter should have approved that loan... but here we are.

 

[Grammarhero]

And if we are to believe what has been presented, no sane underwriter should have approved that loan... but here we are.

Incorrect. TS salesmen approve anything. All they care about is their 6 percent commission no matter the lives destroyed.

 

[am1]

And if we are to believe what has been presented, no sane underwriter should have approved that loan... but here we are.

Why? As asked earlier was it documented or known to the sales people? What is their duty to report people who they feel are not of sound mind to decide on a purchase? Then they want to sell to anyone. Old, young, rich, poor.

 

[dgalati]

Incorrect. TS salesmen approve anything. All they care about is their 6 percent commission no matter the lives destroyed.

Bottom line its a high pressure sale financed by a credit card and the developer. Banks ussually dont loan money on property that has a value of $0. Everyone that attends a presentation is just another mark in a sales persons eyes. A poster on tug referred to these marks as chum bait.

 

[tschwa2]

One thing the OP may want to check is the loan application. How much did your girlfriend put down as her income? Is that how much she makes? If she lied about her income and signed (even at the sales mans request to put down that much) than it probably won't help unless she has proof that the salesperson told her to lie. If on the other hand she has a copy of a loan application that says her income is $0 or $10,000 per year or something like that, you ask for a copy of Wyndhams copy for the application to see if that was changed after she signed then you may have a case that Wyndham committed fraud.

 

[presley]

I've never heard of this law, do you have a citation?

No, but I purchased lots of timeshares in California. Both spouses have to purchase and that is why usually they won't allow one spouse to attend a timeshare presentation without the other. The only time I was able to buy without my husband was when I bought WorldMark from a resale broker in Washington and I think that was because I was literally buying points and no deed.

I think the OP is missing a lot of information or isn't posting the entire story. None of that matters, though, since the OP is looking for help getting out of the timeshare. The best recourse is for her to stop paying and take a credit hit. If other people are on the timeshare or on the loan, they harassment will continue until everyone agrees to default. People can fuss that it isn't fair to the husband. Well, if he's on the contract, no amount of fussing is going to change the fact that he is responsible, too.

 

[bnoble]

No, but I purchased lots of timeshares in California. Both spouses have to purchase and that is why usually they won't allow one spouse to attend a timeshare presentation without the other.

I'm not sure that's "it is not legal" so much as "resorts won't usually do it." I've always assumed resorts won't tour half of a married couple because the rescission rate is too high on those sales.