Posted on: 08th Apr, 2010 04:13 pm
If i got a timeshare and now can not afford to keep making the payments and decided to stop completly, will it affect my credit if it is currently not reporting on my credit. I check my credit report and it doesnt show the timeshare on it. So if it goes in to forclosure will it really hurt me?
Hi Brittney,
I am not sure why the timeshare company is not reporting the delinquency to the credit bureaus. But just because they are not reporting your actions to the bureaus and the delinquency is not showing on your credit report, it does not necessarily mean that the foreclosure will not be reported.
Once you let the timeshare be foreclosed or go for a deed in lieu (DIL) of foreclosure, the timeshare company can report it to the credit agencies. As a result your credit scores will take a hit. The foreclosure or the DIL will drop your credit scores by almost 230-280 points and the negative item will remain on your credit for about 7 years.
I am not sure why the timeshare company is not reporting the delinquency to the credit bureaus. But just because they are not reporting your actions to the bureaus and the delinquency is not showing on your credit report, it does not necessarily mean that the foreclosure will not be reported.
Once you let the timeshare be foreclosed or go for a deed in lieu (DIL) of foreclosure, the timeshare company can report it to the credit agencies. As a result your credit scores will take a hit. The foreclosure or the DIL will drop your credit scores by almost 230-280 points and the negative item will remain on your credit for about 7 years.