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> Fortunately even timeshare owners get to die, but the company isn’t done with you yet. The perpetuity clause in most of these contracts means that the timesha

> Fortunately even timeshare owners get to die, but the company isn’t done with you yet. The perpetuity clause in most of these contracts means that the timeshare will become part of your estate—one of your beneficiaries is going to get stuck with those fees for the rest of her life, if she doesn’t file a so-called disclaimer of interest by her state’s deadline. Wow! I had no idea you could sign a contract that obligates your benificiaries after your death.

ano-ther 3y ago
Debt is sometimes inherited, particularly on home equity. https://www.experian.com/blogs/ask-experian/can-you-inherit-debt/ https://www.experian.com/blogs/ask-experian/can-you-inherit-...
- ceejayoz 3y ago
  Only if you wanna keep the house it’s attached to. If it’s underwater and there’s not much else to the estate, you can reject the house and it’s debt. They can only collect the difference from the estate’s assets. (Never co-sign for someone!)
  - trogdor 3y ago
    >Never co-sign for someone! Unless you’re prepared to write off the entire amount as a gift. (Though in that case, it’s probably better to just give them the money. After all, there’s a reason their signature is insufficient on its own.)
dragonwriter 3y ago
> I had no idea you could sign a contract that obligates your benificiaries after your death. You do any time you buy property subject to an HOA with fees (which is, in fact, how lots of timeshares are structured.)
gitfan86 3y ago
Anyone can make a claim against an estate. But there is a deadline usually 6 months to a year after the death where the estate can be closed. Even when someone makes a claim the executor of the will can tell a judge that they don't think the claim is valid. So it comes down to the timeshare company needing to know about the death and filing a claim quickly enough and a judge accepting the claim as valid.
- dragonwriter 3y ago
  Its not an existing debt. its a periodic obligation which creates a new debt on a reoccurring schedule tied to heritable real property, similar to (and often literally) an HOA fee, so to avoid it you have to actively stop the property from being inherited the way it usually would be, the timeshare conpany doesn't need to make a claim against the estate.
  - mindslight 3y ago
    If the property gets inherited, then wouldn't any obligation for maintenance payments exist purely as an encumbrance on the property? Like if the claim to the property is transferred via operation of law or even deed of executor, the recipient hasn't entered into any contract to make ongoing payments. Meaning if they don't pay, the worst that can happen is the property gets foreclosed upon? Or is there some other legal aspect I'm missing?
    - toast0 3y ago
      Depends on state law, they may be able to get a judgement against you for costs incurred above the foreclosure value, and it may depend on the type of foreclosure procedure if judicial and non-judicial are available; similar to how in some states a mortgage lender can get a judgement for the load balance and costs above the foreclosure auction value. I'm guessing a timeshare foreclosure shows up on credit reports, and in the period between when they figure out you're not likely to pay and when they file for foreclosure, that you're past due on those payments will likely also show up, and I'm sure they'll try to convince you to pay.
klyrs 3y ago
I know exactly the cousin to foist this on... should I be such a fool in the first place.
- flir 3y ago
  New timeshare business model there. Find people with six months to live who really hate their cousin.
ceejayoz 3y ago
It’s just another bit of the scam. You aren’t under any obligation to accept a bequest of this nature. https://www.nerdwallet.com/article/finance/inheriting-timeshares https://www.nerdwallet.com/article/finance/inheriting-timesh...

ano-ther 3y ago

Debt is sometimes inherited, particularly on home equity. https://www.experian.com/blogs/ask-experian/can-you-inherit-debt/ https://www.experian.com/blogs/ask-experian/can-you-inherit-...

ceejayoz 3y ago
Only if you wanna keep the house it’s attached to. If it’s underwater and there’s not much else to the estate, you can reject the house and it’s debt. They can only collect the difference from the estate’s assets. (Never co-sign for someone!)
- trogdor 3y ago
  >Never co-sign for someone! Unless you’re prepared to write off the entire amount as a gift. (Though in that case, it’s probably better to just give them the money. After all, there’s a reason their signature is insufficient on its own.)

dragonwriter 3y ago

> I had no idea you could sign a contract that obligates your benificiaries after your death. You do any time you buy property subject to an HOA with fees (which is, in fact, how lots of timeshares are structured.)

gitfan86 3y ago

Anyone can make a claim against an estate. But there is a deadline usually 6 months to a year after the death where the estate can be closed. Even when someone makes a claim the executor of the will can tell a judge that they don't think the claim is valid. So it comes down to the timeshare company needing to know about the death and filing a claim quickly enough and a judge accepting the claim as valid.

dragonwriter 3y ago
Its not an existing debt. its a periodic obligation which creates a new debt on a reoccurring schedule tied to heritable real property, similar to (and often literally) an HOA fee, so to avoid it you have to actively stop the property from being inherited the way it usually would be, the timeshare conpany doesn't need to make a claim against the estate.
- mindslight 3y ago
  If the property gets inherited, then wouldn't any obligation for maintenance payments exist purely as an encumbrance on the property? Like if the claim to the property is transferred via operation of law or even deed of executor, the recipient hasn't entered into any contract to make ongoing payments. Meaning if they don't pay, the worst that can happen is the property gets foreclosed upon? Or is there some other legal aspect I'm missing?
  - toast0 3y ago
    Depends on state law, they may be able to get a judgement against you for costs incurred above the foreclosure value, and it may depend on the type of foreclosure procedure if judicial and non-judicial are available; similar to how in some states a mortgage lender can get a judgement for the load balance and costs above the foreclosure auction value. I'm guessing a timeshare foreclosure shows up on credit reports, and in the period between when they figure out you're not likely to pay and when they file for foreclosure, that you're past due on those payments will likely also show up, and I'm sure they'll try to convince you to pay.

klyrs 3y ago

I know exactly the cousin to foist this on... should I be such a fool in the first place.

flir 3y ago
New timeshare business model there. Find people with six months to live who really hate their cousin.

ceejayoz 3y ago

It’s just another bit of the scam. You aren’t under any obligation to accept a bequest of this nature. https://www.nerdwallet.com/article/finance/inheriting-timeshares https://www.nerdwallet.com/article/finance/inheriting-timesh...