Credit Blocking Does Not Cancel Your Timeshare Contract

There is a popular misconception going around these days.

A lot of people are saying that if a timeshare owner purchases a product called “credit block”, or something similar, then all of their timeshare related woes are cured.

So-called “credit blocking” does ABSOLUTELY NOTHING to cancel your timeshare contract.

While it can certainly be helpful to your credit score to contact the major credit reporting agencies and dispute inaccurate or false information or hire a timeshare attorney to do this for you, contacting the credit reporting agencies does not cancel your obligation to make the payments that you owe under your timeshare agreement.

Even if you have “credit block,” the resort can send you to collections and harass you with communications, foreclose upon you, sue you in court, issue a 1099 tax form to you which can cause you pay significant additional taxes, and even open an estate for you if you die and file a claim against your estate, or pursue payment from your heirs who inherit the timeshare.

Credit blocking is not a cure-all to your timeshare problems.

There are only two ways to cancel your timeshare contract:

  1. Negotiate a settlement agreement with the consent of the resort, or
  2. Go to court or arbitration and have the judge or arbitrator rescind or cancel your timeshare contract if you win.

Credit blocking does not cancel your timeshare contract