Published on September 11th, 2023
Owning a timeshare comes with a lot of perks. You get use of vacation homes across the country and sometimes, the world. You can even skip long lines by staying in luxurious condominiums instead of cheap motels during your travels.
But as these perks have grown more enticing to consumers, the timeshare industry has become increasingly predatory.
While some are happy customers, millions are trapped in unwanted timeshare contracts, most of which they can’t afford to get out of.
If you’re one of the unlucky ones, learn how to get rid of timeshare without ruining credit here. Read on.
Hire A Timeshare Exit Company
Hiring a Timeshare Exit Company is the best way to get rid of a timeshare without ruining your credit.
These companies can help you navigate the process and make sure that you retain the best possible outcome for your specific situation.
They are knowledgeable about the laws, regulations, and rights that you have as a consumer.
They can contact your timeshare company on your behalf and begin the process for your timeshare cancellation. They also handle any additional issues that may arise.
They have a network of attorneys that can handle any litigation that may be needed to dissolve your timeshare.
They are dedicated to helping people free themselves from the burden of timeshare obligations. This is while preserving their credit rating.
Try And Rent Out Your Timeshare
Renting out your timeshare as a vacation rental can help get rid of it without ruining your credit.
If you are committed to getting rid of it, find rental sites like VRBO, Flipkey, or HomeAway. Which has a large rental base to better market your timeshare.
Listing your timeshare on a rental site should be free and, depending on the timeshare.
It should also include amenities to attract vacationers like fully-furnished properties, pools, and beachfront settings.
Identify any fees associated with renting out your timeshare, such as management fees or cleaning fees.
Contact the provider about ways to reduce these fees and make sure that you can legally rent out the timeshare.
Research the local laws or code of regulations to make sure that you are legally allowed to rent out the timeshare.
Once you’ve figured out the legal aspects and have established fees associated with renting the timeshare, list it on multiple websites.
Then start advertising your timeshare to potential renters. This in return can help you get out of timeshare.
Put Your Timeshare On A Resale Market
Putting your timeshare on a resale market is the most popular way to get out of your timeshare without ruining your credit.
The process may vary depending on the type of timeshare and the company that provides it but the general idea is the same. Start by researching to determine the fair market value of the timeshare.
Have all associated documentation ready with a description of the property such as the size, features, and amenities.
Needed documentation should include a copy of the purchase agreement and deed.
Once you have determined the value, list the timeshare for sale on popular online marketplaces for timeshare sales such as RedWeek, TimesharesByOwner, or eBay.
Listing your timeshare with a licensed real estate agent may also be an option. Promote your listing through social media and other outlets and consider offering incentives to buyers.
You may be able to find a buyer within a couple of months and keep your credit intact.
Gift The Timeshare To A Family Member Or Friend
Giving a family member or friend is a great way to default on timeshare.
The key to successful gifting is letting the other party know what they are getting into.
Make sure to provide them with all the necessary paperwork regarding your timeshare agreement, including all fees, costs, and potential liabilities.
Be sure to discuss and document the agreement and what the responsibilities are of the new owner.
You also need to carefully review and, if possible, transfer all service contracts. These include such as air conditioning or tile replacement, associated with the timeshare.
Explaining to the new owner allows them to understand all of the details of the agreement before they accept.
Making sure to document all of the details and have the new owner sign the agreement is important.
This is to ensure it is a legally binding agreement and ensure they fully understand timeshare laws and what they are taking on.
Sell It Back To The Timeshare Developer
If you are looking to get rid of a timeshare without ruining your credit, you may consider selling it back to the timeshare developer.
Before initiating this process, you will need to contact the timeshare developer with whom you have a contract.
You then inquire about their procedures for buying back the timeshare.
Before selling, ensure that you are aware of all costs associated with the transfer such as transfer fees, closing costs, and any other fees. Next, you will want to provide the timeshare developer with all relevant documents.
These are such as the purchase agreement and proof that the unit is paid in full. You may then work with the timeshare developer to arrange a saleback transaction at market value.
Cancel The Timeshare Membership
Canceling a timeshare membership can be a difficult process. Every timeshare company is different, so it’s important to understand the process to avoid potential harm to one’s credit.
Consumers should contact the timeshare company to find out their procedure for canceling the timeshare.
Some companies will require a valid reason for termination, while others may not. If the company requires proof, be sure to provide it promptly.
Gather all documentation surrounding the timeshare agreement, including the original contract and any subsequent modifications.
If payments are due, be sure to pay them in full if possible. If not, contact the company about working out a payment arrangement. Lastly, the consumer should inform all the necessary credit bureaus about the cancellation.
Knowing How To Get Rid Of Timeshare Without Ruining Credit
Knowing how to get rid of timeshare without ruining credit takes time and careful consideration.
There are several options for accomplishing this, such as dismissal in bankruptcy, rescission, the timeshare market, and legal assistance. But be sure when considering any option you fully probe all potential outcomes.
Make sure to contact a professional to avoid any costly damages such as in a timeshare foreclosure. Don’t wait and act now to get rid of your timeshare without ruining your credit.
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Feature Image Source: stevepb