Timeshares Can Hurt Your Credit

Timeshares were once an appealing asset for a lot of individuals, but timeshares have now become a financial burden. As yearly maintenance fees have increased every year, timeshares are turning into a nightmare for many owners. During the purchase of your timeshare, your personal information was used to secure a loan under your name. You are solely responsible for making those payments unless you sell or cancel your timeshare contract. If you fail to make your payments, the timeshare developer can report you to the credit reporting agency with derogatory marks to your credit. Timeshares are similar to real estate when it comes to liability, and they are worthless in this current market. If you are sold a timeshare based on the misconception that you own real estate, we suggest you initiate a Live Chat with our team to know your legal right to exit the contract.

​“A timeshare foreclosure will not ruin your credit score forever, but it could have a significant impact on your ability to obtain another mortgage for up to seven years. You might also face future loan denials or high-interest rates if you apply for other forms of credit, like a car loan or a credit card. Lenders don’t like to give loans to people who haven’t paid off their debts in the past. Consequently, a timeshare foreclosure might result in a higher rate of interest than the prevailing market rates or could result in you being denied credit in some circumstances. In some cases, if your credit is bad enough, a credit card company might cut your credit line or close your existing account”. Read the full article on timeshare foreclosure.