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[Q=ashleyg147] Question regarding the foreclosure option of stopping payments, I have been told that this won't affect your credit. How can that be true? Don't timeshare companies, specifically Palm Beach Resorts, report to the credit agencies?[/Q] Contrary to an incorrect statement made above a few posts above in this thread, foreclosure can (and frequently does) occur for deeded timeshare ownerships (i.e., not club memberships or pure points contracts). Deeded week timeshares are indeed literally a form of real estate, even though each individual owns only a small fraction of the whole. Nonetheless, it's still real estate ownership. You pay property taxes on the ownership and you can most certainly be foreclosed upon (for non-payment of maintenance fees). Defaulting on [b]any[/b] loan is a distinctly separate and entirely different matter. Defaulting on a loan will virtually [b]always[/b] result in negative credit reporting (in addition to foreclosure). However, if a timeshare is fully paid off (i.e., there is [b]NO[/b] unpaid loan balance outstanding) and the owner has historically kept current on maintenance fees, only [b]very[/b] rarely will there be any negative credit report consequences after foreclosure for later non-payment of maintenance fees. [b]Can[/b] they initiate negative credit report just for foreclosure, even if there is no default on a loan? Yes, absolutely. [b]Do[/b] they actually bother to do so? No, as a general rule they do not, with only very few exceptions. It's only the defaulting on a loan that basically guarantees negative credit reporting.