How to Forfeit an Unwanted Timeshare in Pandemic Without Losing Money?
A lot of people have become the victim of impulsive purchases and now they are timeshare owners. Understandably, these people were lured to buy off properties with extra benefits, a small fee, and a bunch of promotional giveaways. Offers like ‘you will be the proud owner of a luxury villa in 36 weeks’ and such does seem catchy, but they are not good for your overall finances.
There are hundreds of people who have been stuck in their homes while keeping on hold their travel plans. These people have already paid for their accommodation in foreign countries and are bound by the timeshare contracts, but they don’t know what to do.
Why Do People Consider Forfeiting Timeshare?
Due to the global Covid-19 pandemic, many people have lost their jobs and are having a bad time managing their finances. The unemployment rate has increased to 13% and with the second wave of coronavirus; people are looking for ways on how to cancel Bluegreen timeshare or get rid of a Marriott Vacation Club contract in a pandemic without losing money. The installments are piling up and there is no earning, so people want to know their options.
Here, we have a few pointers to steer you in the right direction.
Can you Forfeit Your Timeshare?
The fact is you can’t forfeit a timeshare just because you don’t have the money.
The timeshare purchases usually come with a contract to pay maintenance fees as long as you own the thing. And if you don’t pay off your maintenance fees or miss your loan payment, the timeshare company is going to report you and this action will cost you your credit score. If you don’t have the money to pay off the timeshare mortgage, you should ask the developer for help in the ideal situation, but people just stop paying off the mortgage and this makes their credit score low.
How Developers Can Help People with Timeshare Mortgage?
When you reach out to the developers for help, they can offer different types of relief that include temporary loan deferrals. Some of them are based on medical emergencies or unemployment. But this is for some time only until people are back on their feet.
People have always been looking for a way out from the timeshare contract that binds them because most of them regret their decision of impulsive buying. So, it is a normal reaction of many people.
What are the Ways to Forfeit Your Timeshare Mortgage Payments?
There are generally three ways to forfeit your timeshare under normal circumstances and these are as follows:
Sell it to another person or give it back: It is a simple solution to so many problems that if you are tired up of making payments, you should sell it to someone else.
It may recover some of your losses and in the long run, it is the best strategy. Some websites can connect you with timeshare developers. They have expertise in selling timeshares to people.
You can enlist yourself on the website and eventually you will be able to sell the timeshare. Selling a timeshare could cost you a lot of money as well. This happens because usually, companies sell a timeshare at high prices but the payments you make are tied up in their clause and won’t be ever returned to you.
And while you are selling your timeshare out of your misery, the market isn’t going to empathize with you. In the end, you will be paid way less than you expected. Sometimes, the condition is so bad that you are in between whether to sell it or keep it. But it is up to you to make the right decision in a tough situation.
Try asking for help from exit companies: As mentioned above, the right way to get out of a tough situation is to ask for help from timeshare exit companies. You can get in touch with these companies and ask for exit options. They will give you some options and you will have to choose the appropriate one for yourself. If you choose the exit option, this might cost you some money after all. There have been a few scenarios where the developers have let people off the hook for a price, but it is better than nothing.
Hire an attorney if you want a legal way out: Sometimes you’re outside the rescission period and you need the help of an attorney to smooth things over on your side. Usually, when you made an impulsive purchase there is a cooling-off period.
This allows you to cancel the purchase without any penalty. Under this clause, you have a legal cause of action against your developer. But you need to hire an attorney and legally do this.
Hiring an attorney can get you to the closure of what you are doing and how much you can expect from the developers. If you’re within the rescission period, you probably won’t need a lawyer but if there is an overlap of some kind, hire an attorney. It is a good idea to consider your move if the timeshare firm is going to fight against it.
These options are great exit strategies, but they are supposed to work under normal scenarios. Things might look different during the pandemic and some people might want to take advantage of you, so it is better to have the opinions of some other people who have been in similar situations.
Even if you are hiring an attorney, make sure to check out if they have your best interest in their heart. People might be trying to scam you by offering false offers. Additionally, make sure to know the state relief notifications during this pandemic, there might be something that can give you relief in uncertain times.
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