Do Timeshare Contracts End When You End?
Many timeshare contracts are written over a very long term period. Although European timeshare law prohibits contracts with terms of over 50 years, this still means that many of these contracts will outlive their owners!
For millennia the search for eternal life has been a human quest but thus far it has never been achieved…or has it? Well the answer is “sort of”. In the USA the perpetual contract is alive and well and also it has eternal life because it simply goes on forever. So not only will it out live you but also your children and their children’s children! Vampires have eternal life but with a well-placed stake or crucifix you can get rid of them, sadly not so with the perpetual contract.
Some Quick Facts
- According to research the median age of new timeshare purchasers is 45. Add 50 years and the contract termination age would be 95!
- The current average yearly maintenance fee is £800 per week owned. RCI annual fee £79. Push forward 20 years, with an annual increase of 5% and the two yearly fees combined equates to £2,332, with the total spend over the 20 years being £30,518.
- Do my heirs have to inherit? – Well as an owned asset (sic) it forms part of the estate, so the answer is yes.
- Is there an easy way out? – In most cases no.
- Can’t I just hand it back or simply stop paying the maintenance. Sadly life is not so simple and by refusing to pay your fees, you will only create much bigger problems.
Where There’s a Will There’s a Way
Well actually there isn’t. A timeshare is part of an overall estate so someone has to have it; the trouble is that no one in their right mind wants it! …So why not…
- Leave it to a charity – sorry they won’t accept it, it’s not an asset it’s a liability.
- Will it back to the resort – Are you kidding, they can’t sell what they have let alone take on more!
- Put it on eBay for £1, that might work after a few hundred listings but you may need to barter as it’s a bit overpriced.
So prior to, or after death unless the timeshare can be liquidated and cash is in the estate to distribute, it has to go somewhere. The corollary of this is that unless an owner can be found the estate cannot be fully wound up and future liabilities may lie with the executors.
What’s the Solution?
None of us would deliberately leave a messy state of affairs after our demise, so tackling the problem now would appear to be a good idea. In all but a few cases it can be quite complex to rid yourself of your timeshare but it is not impossible. There are a number of highly reputable companies who offer a service specifically to get rid of unwanted timeshare. It should be remembered that their services will bring a cost that is normally payable at the beginning of the process, that aside, what will you achieve?
- A legal confirmed exit.
- Removal of all future liabilities.
- Removal of potential future problems and expense.
- Complete peace of mind.
A responsible exit company will offer the silver bullet that can kill a long term or perpetual contract once and for all.
Please feel free to contact us should you like to discuss this matter further. We would be delighted to hear from you and will be happy to point you in the right direction should you wish to release yourselves from the grip of your timeshare noose.
For more information regarding this article or assistance in any other timeshare related issues please contact the TCA on 01908 881058 or email: info@TimeshareConsumerAssociation.org.uk