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Willing doing a deed back hurt your credit ??

decadude

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This is all hypothetical and I am just curious will doing a deedback harm your credit if

1. You owe a $0 balance
2. The timeshare company does not report anything to collections I don't see that they would since you owe a $0 balance and they are willingly accepting the deedback.

Thanks to all who reply
 

silentg

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Why should they? Especially if they charge you for the deed back?
 

tschwa2

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In the situation mentioned it should not damage your credit.
So currently DRI and Wyndham and a few other companies are offering these type of no strings attached deed back for paid in full units that are current on MF;s. They may or may not charge a fee to do so.
 

Ty1on

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This is all hypothetical and I am just curious will doing a deedback harm your credit if

1. You owe a $0 balance
2. The timeshare company does not report anything to collections I don't see that they would since you owe a $0 balance and they are willingly accepting the deedback.

Thanks to all who reply

A deed in lieu will damage your credit and may generate an income tax expense. A deed-back is not a default on moneys owed, so there is no effect on your credit.
 

decadude

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thanks

A deed in lieu will damage your credit and may generate an income tax expense. A deed-back is not a default on moneys owed, so there is no effect on your credit.

Very good thanks man this clarifies and thanks to the other responder
 

theo

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This is all hypothetical and I am just curious will doing a deedback harm your credit if

1. You owe a $0 balance
2. The timeshare company does not report anything to collections I don't see that they would since you owe a $0 balance and they are willingly accepting the deedback.

Thanks to all who reply

Obviously, a "deedback" is only possible at all if the resort is overtly willing to accept it and clearly expresses that acceptance. In other words, "deedback" can never be a one-sided or unilateral exercise without the knowledge and concurrence of the other party. That's perhaps self-evident and maybe I digress, but...

Most facilities will require your maintenance fees to be completely up to date. If they are, and the resort is willing to accept your deed in lieu of foreclosure (a.k.a. accept a "deeback"), then there is really no negative event to legitimately report to the credit agencies in the first place. Think of "deedback" as a "mutually agreed settlement" which has been reached and executed before actual foreclosure or any associated legal proceedings or credit reporting situation.
 

comicbookman

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Obviously, a "deedback" is only possible at all if the resort is overtly willing to accept it and clearly expresses that acceptance. In other words, "deedback" can never be a one-sided or unilateral exercise without the knowledge and concurrence of the other party. That's perhaps self-evident and maybe I digress, but...

Most facilities will require your maintenance fees to be completely up to date. If they are, and the resort is willing to accept your deed in lieu of foreclosure (a.k.a. accept a "deeback"), then there is really no negative event to legitimately report to the credit agencies in the first place. Think of "deedback" as a "mutually agreed settlement" which has been reached and executed before actual foreclosure or any associated legal proceedings or credit reporting situation.

a deedback and a deed in lieu of foreclosure are two completely different animals. a deedback is done when there is no debt and no, or minimal monies owed and no negative consequences. It is essentially a sale.

A deed in lieu of foreclosure acknowledges that you one party has failed to live up to their obligations and has defaulted. Any debt forgiven can be counted as income by the IRS and can be reported to the credit agencies as settle fo less than full amount. That is a negative mark.
 

csxjohn

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When Alhambra at Poinciana took my deed back it had no effect on my credit as it was not reported as it should not have been.

My cost was $250.
 

theo

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Apples and Oranges...

a deedback and a deed in lieu of foreclosure are two completely different animals. a deedback is done when there is no debt and no, or minimal monies owed and no negative consequences. It is essentially a sale.

A deed in lieu of foreclosure acknowledges that you one party has failed to live up to their obligations and has defaulted. Any debt forgiven can be counted as income by the IRS and can be reported to the credit agencies as settle fo less than full amount. That is a negative mark.

Parsing and semantics, I respectfully submit, in regard to the specific situation clearly posed by the OP, in which there is reportedly no debt to "forgive" or to be regarded or reported in any way relating to the IRS --- but you are otherwise correct in making the "deed in lieu of" distinction for very different and unrelated circumstances.
For an entirely different and unrelated situation, other than the one clearly described by the OP and actually under discussion here, you make a valid point.
 
Last edited:

comicbookman

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Parsing and semantics, I respectfully submit, in regard to the specific situation clearly posed by the OP, in which there is reportedly no debt to "forgive" or to be regarded or reported in any way relating to the IRS --- but you are otherwise correct in making the "deed in lieu of" distinction for very different and unrelated circumstances.
For an entirely different and unrelated situation, other than the one clearly described by the OP and actually under discussion here, you make a valid point.

respectfully, deed in lieu of, assumes foreclosure is a valid option for the developer, even if there is no debt other than upcoming MF. If the dev reports delinquencies to the credit agencies, then they are likely to report a deed in lieu of as well, and it would be classified as a default (even though it was "settled") That would negatively impact your credit. In the OP's case, a deedback would be invisible.
 

JudyS

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a deedback and a deed in lieu of foreclosure are two completely different animals. a deedback is done when there is no debt and no, or minimal monies owed and no negative consequences. It is essentially a sale.

A deed in lieu of foreclosure acknowledges that you one party has failed to live up to their obligations and has defaulted. Any debt forgiven can be counted as income by the IRS and can be reported to the credit agencies as settle fo less than full amount. That is a negative mark.

respectfully, deed in lieu of, assumes foreclosure is a valid option for the developer, even if there is no debt other than upcoming MF. If the dev reports delinquencies to the credit agencies, then they are likely to report a deed in lieu of as well, and it would be classified as a default (even though it was "settled") That would negatively impact your credit. In the OP's case, a deedback would be invisible.

I agree with Comicbookman. A "deedback" that is offered by a resort to all of its owners should have no impact on one's credit. A "deed in lieu of foreclosure" is something completely different and can have a huge impact on one's credit rating (although not as bad as an actual foreclosure would be.)
 

Pat H

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After Wyndham took over Fairfield, the m/f's skyrocketed. They also took away the internal trading option. I could no longer afford the m/f's so I stopped paying. I offered to sign it over to Wyndham and they said no. Instead they paid a lawyer to foreclose. No effect whatsoever on my credit.
 

Ty1on

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After Wyndham took over Fairfield, the m/f's skyrocketed. They also took away the internal trading option. I could no longer afford the m/f's so I stopped paying. I offered to sign it over to Wyndham and they said no. Instead they paid a lawyer to foreclose. No effect whatsoever on my credit.

It should be noted by anyone reading this that this is your experience, and another person should not expect the same experience. Wyndham and other companies can and will report foreclosures to the credit agencies, even if it is only for back MF. Some are fortunate that their credit reporting fell through the crack.
 

Ottomatic

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In the situation mentioned it should not damage your credit.
So currently DRI and Wyndham and a few other companies are offering these type of no strings attached deed back for paid in full units that are current on MF;s. They may or may not charge a fee to do so.
Hi - I'm a noob here. We own a DRI timeshare and would like to unload it. Great week in Williamsburg, VA, but we have never used it (it was a "gift"). It is fully paid, so no balance owed other than recurring maint fees. Do you know how I would go about taking advantage of a deed-back with DRI?

Thanks for your help!
 

csxjohn

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Hi - I'm a noob here. We own a DRI timeshare and would like to unload it. Great week in Williamsburg, VA, but we have never used it (it was a "gift"). It is fully paid, so no balance owed other than recurring maint fees. Do you know how I would go about taking advantage of a deed-back with DRI?

Thanks for your help!

Here's a thread on the subject.

http://tugbbs.com/forums/showthread.php?t=224859
 
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