Timeshare contracts are legally binding in Mexico. When people are signing the timeshare contract, they think that because the contracts are legally bound only in Mexico, they won’t have to face any repercussions if they stopped paying their timeshare.

Because of this, the client does not go through the contract thoroughly. The truth is that the consequences of not paying for your timeshare in Mexico could be dire. The consequences of not paying your timeshare in Mexico are as follows.

Things that happen of you don’t pay for your timeshare?

Below is the list of things that will happen if you are finding it hard to pay for timeshare in Mexico.

Reminders are sent:

Once you stop paying your timeshare, the first step that the company takes is to send you numerous reminders related to your dues. They will use any method possible, including.

  • Calls
  • Emails
  • Text messages

It could go for months. After a certain timeframe, if they still haven’t received their fair share, things could go two ways.


Foreclosure is a process in which the resort takes back the timeshare and pays for all the paperwork. Sometimes after the foreclosure process, the resort can get a judgment for your possession, or they could serve notice to seize money from the defender legally. However, there are low chances of that happening because this is a very long and time-consuming procedure.

Contact Collection Agencies

The collection agency is a company that the creditor’s contact to recover funds that are due. After multiple failed attempts by the resorts to get their timeshare fee, they move to the next step to contact the Collection Agency. Collection Agency would

Either go through the credit report. If everything as the resort says, they will sue you.

Or they would contact the International Revenue Service with the related matter. International Revenue Services depending on the situation, could make the future financial investment very difficult for you.

Losing your credit score

Several Mexican timeshare companies have their offices in the US and Canada that help collect the loans internationally. Other companies sell their debts to collection agencies in the US and Canada who take responsibility for collecting all the full loans. As the collection agencies are located in the US and Canada, they can affect the client’s credit scores. It can cause difficulties for the clients to make any purchases or make future investments even in their home country.

Final Thoughts

The resorts will never let you know that they have sold their debts to a collection agency. It might not be true. If your credit score is affected, it means your debts were sold out. So before making any kind of decision related to timeshare, keep in mind the repercussions.

The only and the most appropriate method to get out of it safely is to cancel the contract. Once the contract has been canceled, you will have no further strings attached with the timeshare company. It is the only way you can protect your credit score.