Timeshare Financial Group - Accounting Budget

Can timeshare ruin your credit?

Can timeshare ruin your credit?

Yes, just like how you might finance any other sort of major purchases, a timeshare could negatively affect your credit should you miss payments. A lot of timeshare owners seem to think that once they’ve paid off their timeshare mortgage loan they’re home free. While that is a great thing to have out of the way, your annual maintenance fees are just as important and failure to pay these additional charges on time could also hurt your credit score. 

In some extreme cases where owners have missed recurring payments – either intentionally or not – foreclosure can occur. According to a report by nolo.com, when this happens, timeshare owners, credit scores have been known to drop at least 100 points. This could look different depending on your situation – when you made your last payment, how far you are until your account is back to current, etc. 

The Stages Of Halting Payments On Your Timeshare

To further examine the process that leads to foreclosure and a negatively impacted credit score, let’s look at the stages in which it takes to get to this action. 

The Initial Collection Effort

Customers miss payments all the time, it happens. Sometimes in life things are put out of our control. This is why if you miss your first payment, a collection effort might be made by the timeshare management company. If they fail to reach you or you continue to miss payments, then your debt may be outsourced to a third party collection agency. By now – assuming your timeshare resort company reports to a credit bureau – your credit report has already been impacted negatively.

The Final Collection Effort 

If the timeshare management team continues to find that you are unable to be reached they will usually make one final effort to see if they can get any sort of financial payment plan setup with you. By this stage your timeshare mortgage loan’s interest rate (if applicable) has skyrocketed, throwing you into even more debt. If you continue to avoid the collection efforts, the next step for them could be taking you to court. 

Legal Action & Foreclosure

In this final stage, the timeshare resort developer might take legal action and file a foreclosure lawsuit against you. The reason most timeshare owners don’t think this is a possibility is because they don’t view timeshare the same as real estate, when in fact this is how they’re treated from a legal standpoint depending on the laws in your area. Depending on the state in which you hold a timeshare, a foreclosure could take about one year. At the end you’ll be left without a timeshare and a very negative financial future.

Can timeshare ruin your credit?

How do I get rid of my timeshare without hurting my credit?

Some might say one option for you is to sell your timeshare. While this would help your effort to stop paying on your timeshare, it is a hard task to accomplish. A lot of owners tend to put their timeshares up for sale, but very few people seek out timeshares on the resale market. Therefore, your best bet is to find a recognized timeshare cancellation company. With a lot of scam companies out there, be sure to find a cancellation company that offers a 100% money-back guarantee, an experienced staff ready to help, and has positive customer feedback. One company that meets all of these needs is Wesley Financial Group, LLC. Founded by a pioneer of the timeshare cancellation industry, Wesley Financial Group, LLC has been helping people cancel their timeshares for over 10 years. Their staff is ready to help and see if you qualify for their timeshare termination services

Another benefit to working with a timeshare exit company like Wesley Financial Group, LLC is the credit repair option they offer after you’re out of your timeshare. In this process, they’ll assign you a credit repair specialist who will assist you by going through your credit report and attempt to get any negative impacts from the timeshare cancellation removed.

How long will it take to cancel my timeshare?

This is the question that every customer wants to know when signing up for a service. The answer? It depends on your timeshare and the situation you’re in. For example, a timeshare owner whose unit is paid off is going to have a different time table than an owner who still has a timeshare mortgage loan payment every month. Other factors that come into play when it comes to how long it takes to cancel a timeshare, include, but are not limited to: 

  • How long has it been since you signed your timeshare agreement?
  • What timeshare resort company is your agreement with?
  • What state is your timeshare located in?

This is why it’s so important to work with a cancellation company that offers a 100% money-back guarantee. When you agree to that money-back guarantee, the case specialist will give you a period of time in which they expect to terminate your timeshare agreement. If that does not take place within the allotted time, you will receive a full refund if the company has a money-back guarantee.


Timeshares can be a tricky financial problem for a lot of families. Missed payments and foreclosures can greatly affect your credit score, which will eventually lead to the inability for you to make major purchases in the future. Be sure to plan ahead and do your research. Your best option for getting out of this financial bind is finding a credible timeshare cancellation company to help terminate your timeshare. 

When looking for a timeshare exit company be sure to find one that has an established reputation with a staff that is knowledgeable and passionate about helping their clients. Another major key factor you should consider is a company that offers a 100% money back guarantee. This not only ensures you will get your money back if things fall through, but it also helps you paint a timeline in your head for when your timeshare will be terminated. To learn more about legitimate timeshare cancellation companies like Wesley Financial Group, LLC be sure to visit their website

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