How does bankrupTcy affect timeshare ownership?

Answer 1

The timeshare is like any other asset.

If the timeshare developer is filing for a bankruptcy, the result is their services and amenities would tend to lower. There is also a possiblity that the establishment would eventually stop its operation.

If a company is on a state of bankruptcy, that means it has lesser resources to spend on its services. The same case in timeshare companies. They would have fewer financial resources to be spent on maintaining their timeshare resorts.

It's very simple, the services and the quality of a certain timeshare start to diminish up to the point of closing the resort.

In some cases, timeshare companies filing for bankruptcy would tend to increase their charges to its customers until they eventually stop their operations. This is also a way of coping up with their profits.