We’ve previously discussed the ins and outs of timeshare cancellation pre and post rescission period. As timeshares can carry a steep price point, you may well be concerned with closing your timeshare experience in good credit standing. In particular, you may be wondering how to get out of a timeshare without ruining your credit. Read more for insights on completing the exit process with financial peace of mind.
The Key to Getting out of a Timeshare without Ruining Your Credit
The key to upholding your credit score during your timeshare exit is to keep up with your annual maintenance fees and any mortgage payments. This advice applies no matter what stage of the exit journey you’re on. Have you just listed your unit on the resale market? Keep up with your payments. Renting or gifting your timeshare this year? Keep up with your payments.
Not only does keeping up to date with your payments ensure your credit score stays intact, it sets you up for success as you move on from your timeshare ownership. For a prospective buyer, a unit on the resale market with this year’s fees already covered is far more attractive than one with an immediate maintenance bill due. And if you have an opportunity to sell your unit back to your resort, your resort will want to see that all your payments are up-to-date and in order.
Work with a Pro
As you move out of vacation ownership, linking up with an industry expert will save you a lot of headaches, and help you keep your score intact. First, check in with your resort, because in some cases you may be able to sell your unit back to them. ARDA provides a list of resort brands that have rolled out buyback programs for owners.
The key to upholding your credit score during your timeshare exit is to keep up with your annual maintenance fees and any mortgage payments
You can also work with a verified resale marketplace. When it comes to exiting a timeshare, many owners find it challenging to sort through all the fine print. Timeshare exit professionals can help you stay informed and organized throughout the process – just make sure to engage a trustworthy company with a record of results.
Be Aware of Fraud
While trying to sell your timeshare, the last thing you want is to find yourself out an extra couple thousand dollars – money that could be put towards covering this year’s maintenance bill. As you begin the sales process, don’t be surprised when your phone starts ringing.
The FTC lists imposter scams as one of the most prevalent frauds of 2019. And whether an individual is claiming to be a timeshare exit company, an interested buyer, or even a company you know and love, be wary.
Beware of companies that ask for an upfront fee or encourage you to stop paying your annual maintenance. Sadly, these scams have left timeshare owners with lost income, a unit that still hasn’t been sold, and a negative toll on their credit score.
Support During Your Sales Process
The duration of your timeshare sale can vary, based on your unit type, location, or selling price. During this time, there are ways to mitigate your maintenance payments, as opposed to simply letting them fall by the wayside.
To help alleviate financial concerns, Timeshares Only provides their To Go program for owners in the midst of their sales cycle. The TSO To Go program allows owners to convert their vacation ownership into TG credits, which can then be exchanged for cash or other vacation opportunities.
Another option for covering annual fees, especially if you aren’t sure you officially want to sell just yet, is renting out your unit with KOALA. KOALA gives you the ability to set the price of your listing. We then connect your listing with savvy travelers ready to enjoy the prime benefits of a timeshare, while you gain the relief of knowing your fees are covered.