Most timeshare owners got into vacation ownership by being lured into a timeshare presentation, enduring a high-pressure sales pitch, and buying an overpriced product that they couldn’t get rid of. As bad as that situation is, at least those owners made the choice to get a timeshare. But what if your loved one leaves you a timeshare in their will or in a trust. Can you refuse to inherit a timeshare after the owner’s death?
The answer is yes and no. You can refuse to inherit anything that you are left in a will when a loved one dies, but not in the case of a trust. As always though, there are rules that you have to follow. Failure to reject a gift (also called renouncing or disclaiming an inheritance) can mean you’re stuck with it. And in the case of an unwanted timeshare contract, that can be a gift that keeps giving in the form of annual maintenance fees, assessments, and other costs.
This article will take a look at this method of timeshare transfer and how to avoid it. And, if you find yourself stuck with your loved one’s or parents’ timeshare that you never wanted in the first place, you can talk to Centerstone Group about the best strategies to get out of that timeshare for good.
Inheritance is a unique way of getting property in that it only happens when somebody passes away. Exactly how that property gets to you depends on a few factors, and those factors in turn influence what you need to do in order to make a disclaimer or renunciation of a timeshare that you stand to inherit.
The first thing you should do upon learning that you may inherit a timeshare is figure out what the law says. (You may want to talk to an attorney for legal advice, as the law can sometimes be tricky.) State law determines:
State law can make a huge difference in how an inheritance works. Let’s take a look at how this with some examples:
If you don’t know the laws, you can’t figure out what to do next. If the deceased person lived in California, for example, you need to take a look at the Probate Code. If they lived in Nevada, you would need to look at Title 12 of the Nevada Revised Statutes. Every state’s laws are different, so be careful!
Generally, most states will allow you to disclaim an inheritance if you do so in writing and make it irrevocable (meaning that you can’t take it back). That means you will likely need a typed and signed document. Getting a notary wouldn’t hurt either, in case someone tries to challenge your disclaimer later.
Once you have written a disclaimer, you will need to get a copy of it to the executor of the estate of your loved one or family member. Depending on the state, you may also need to file the disclaimer with a probate court.
Court filings are not cheap and, depending on the total value of the deceased person’s’s estate, may cost between $100 and $500. (For example, see the filing fee schedule for the Eighth Judicial District Court in Las Vegas.) Depending on the requirements of your state, you might want to consider getting an attorney (with an hourly fee of $150 or more) to help.
Once you have refused the timeshare, you don’t get to say what happens to it. You can’t decide to give it to someone else or try to donate it to charity (though that would likely be a bad idea anyway).
Once you have disclaimed your interest, it goes to the next person in line, though the process can vary from state to state. In some states, that might mean the next person in the will. To illustrate, let’s go back to our example above:
Therefore, once again, state law will determine what happens once you refuse to inherit the timeshare.
Yes, most states will have a law that prescribes a certain time to disclaim your inheritance. Generally speaking, you can expect to have nine months to disclaim the inheritance with a written refusal. But state laws differ, particularly where the person who stands to inherit is a child. In some states, the time to disclaim doesn’t start running until you are 18 years old. In others, it might not start running until you are 21.
If you miss the deadline to refuse to inherit a timeshare, you will unfortunately be stuck with that timeshare. The title will pass to you as though you were the person who originally signed the contract, and the timeshare company can start looking to you for payment. If you don’t pay, then all options are on the table, including foreclosure, which could hurt your credit score.
Note, however, that this scenario is not a common one. In the event that you find yourself in this situation, it is important that you find an expert to help you negotiate with the timeshare company. Timeshare companies are known for underhanded tactics, and it is not unusual for them to try and bully people who stand to inherit timeshares, falsely telling them that they must take responsibility for the timeshare contract.
It is possible in these cases to get the developer to take the timeshare back or otherwise transfer the timeshare to someone else. That process, however, will require knowhow and experience — both of which you can find with Centerstone Group.
As the premier timeshare exit company, Centerstone Group has experienced virtually every kind of bad timeshare situation. We can help you out whether the question is, “Can you refuse to inherit a timeshare?” or “Can you get rid of a timeshare you’ve already inherited?” The solutions in each case are different and situations change quickly, so it helps having an expert to manage the process for you.
If you find yourself with an inherited timeshare, we invite you to look at our services. We’re an accredited company with the Better Business Bureau (BBB), where we have an A+ grade and a customer rating of 4.79-out-of-5 stars. We can look at your case and decide whether you need transfer services, our proprietary pressure campaign against your timeshare company, or a lawyer’s help.
Whatever the case, contact us today for a free consultation. Let us see how we can help you and make your financial life easier.
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