Foreclosure or Court? Default on Timeshare.

[octavia]

Hi everyone!

A friend of mine has a timeshare in Orlando.  She can't afford to keep it.  She's 4 mos. behind on monthly payments and taxes & maintenance fees are now due.  (Total due now approx. $1,700.00)

If she doesn't pay (default), will this result in foreclosure or will they file court proceedings to try to collect money?

How will this show on her credit report? Will it show as forclosure?

Thanks.

Octavia.

[octavia]

Bump.

[techgirl]

Tell her to look at her contract. Is she RCI or II? I remember talking to an RCI representative and the payments she is making is tax deductible and they treat it like a mortgage. However, they said if you don't refinance with someone and keep it with them, if you default, they get the property back and it never shows up on your credit - but the interest is usually high - but since it is tax decutible and doesn't show up on my credit report, most people leave the financing with the RCI company. Now, if she refinanced with another party - then it will show up on the credit report and depending on how she refinanced it....

Hope this helps.

[Anonymous]

It goes on your credit for the late payments and for the foreclosure.  Good luck talking to the reps ~ they each tell a different story and its not their problem.  One told me I had to be late on everything I have before they would give me a deferral.....that sounded rather detrimental to me.

So far its only showing up on one of my mine (Eq) but one is too many.

Good luck.