I’m Michael Santos with Timeshare Compliance. The team of specialists that work in our office field calls from people who feel as though they were misrepresented when they purchased the timeshare. They sometimes ask questions about what would happen if they simply quit paying for the timeshare.
That’s a great question. Unfortunately, our specialists need to deliver news that many of our customers don’t want to hear.
People who simply quit paying on their timeshare contracts can face a multitude of long-lasting problems. Let’s start with foreclosure. The developer would likely show a judge that the owner signed many contractual pages that defined terms of the sale. Each one of those contractual pages might show the buyer’s signature or initials, suggesting that the buyer knew what he was buying.
Without proper representation, the timeshare owner would find a judge that ruled on behalf of the developer. Then the developer would likely receive a judgment against the owner. The judgment might allow the developer to garnish wages. The “former” owner would then likely struggle with credit problems that remained on the credit history for years, making life more complicated.
In addition to the foreclosure, the judgment, the garnishment of bank accounts or wages, and the derogatory mark on the credit report, the former timeshare owner could face problems with municipalities. Those municipalities may attack the former timeshare owner for back taxes that could be due on the deeded timeshare.
By choosing to stop payment on a timeshare contract, the timeshare owner might open a parade of horrible events, as articulated above.
The better approach would be to inquire about possibilities for cancelling the timeshare contract. It won’t be easy to persuade billion-dollar timeshare developers to cancel timeshare contracts, yet if there were misrepresentations, cancellation could be an option. If you would like a free consultation to determine whether our team can be of assistance, please call Timeshare Compliance at 1-800-705-6856.