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Can a timeshare charge-off be disputed if contract is canceled


Question: We bought a timeshare in 2016 under great pressure. We were unaware and missed the five day rescind period. We wrote to the company and told them how we thought the sales practices were unfair, and we could not pay this mortgage. We received phone calls but after 6 months the mortgage was removed from two of our credit reports. I just recently found out that I had a charge off on the Experian report. How is it that only one out of three credit reporting agencies have this information, and what can be done. We have not had any contact from the timeshare company.

During your negotiations to get out of the timeshare contract, did the company send you some type of confirmation they would release you from the contract? Or, did you get in writing that any notations of the timeshare would be removed from your credit reports? If so, submit that confirmation/agreement to Experian requesting they delete the charge-off notation.

On the other hand, if the timeshare was foreclosed, it can show up on your report regardless of an agreement to remove. Foreclosures are part of the public record, and the credit bureaus search public records for information such as foreclosures on a continuous basis. If the bureaus learn about a timeshare foreclosure, the foreclosure ends up on your credit reports.

Unfortunately, if there was no agreement in writing, then you can only dispute the charge-off or contact the company to request a goodwill deletion of the charge-off due to the pressure tactics.

Keep in mind, the removal from other credit reports could have been a mistake and contacting the company could wake a sleeping giant. You have to weigh the pros and cons of contacting a creditor about inconsistent reporting to the credit bureaus. They may not know the timeshare charge-off is not currently reporting to Equifax and Transunion.