Working with DFC in Donating Our TS

[laf Junior Member Find all posts View Profile Close laf]

I currently have started the process of donating / transferring our TS through Donate for a Cause (DFC). This is my first experience in doing this. To help others who are looking for a way to rid themselves of their TS or want to know more about DFC, I will provide some information regarding my experiences with DFC as I progress through this process. First I would like to state my one fixed week TS is located at Orange Lake Country Club Villas in Kissimmee, FL. (south of Orlando). After some serious reservation in entering the market of trying to rid ourselves of our TS, due to MANY rip offs out there, I stumbled over DFC while listening to Dave Ramsey and Clark Howard, which they both recommended DFC. I conducted some research on the Internet with BBB, State Government advocacy agencies, Timeshare Forums, TUG etc., before I decided to work with DFC. I will point out I received great advice from this forum and consider it a great asset in the TS world.

I contacted DFC via their web site and they were quick to respond to my inquiry of wanting to donate our TS. Our dialog continued via emails and the DFC specialist was very considerate of my concerns and forthcoming in answering my questions / concerns and providing information regarding the donation process, to include the total cost to us with breakdown. After many email exchanges, I purposely delayed in committing ourselves to allow me to do some needed research. After a couple of months or so, I reconnected via email with DFC with intensions of making a commitment with them. This time I had a different DFC specialist, which I quickly learned she was reserved in providing me information, she wasn't as sensitive to my concerns, as responsive to my concerns / questions / wishes as the previous specialist. I attribute this difference as to be two different individuals because the information provided me were the same. However, the first specialist was more forthcoming and helpful. After I re-initiated contact via email with DFC, I received a prompt response and I requested to conduct our business via email as much as possible due to my very crazy schedule (NOT normal). The DFC specialist (2nd) was not sensitive to my request and basically would not answer my questions via email but would tell me to call her. After a few emails and no headway being made this way, I was able to call this DFC specialist. Initially she was very reserved, cold, short in statement, insensitive almost to the point as if she didn't care and it seemed like she couldn't provide complete answers to my questions due to the lack of knowledge. After a couple of phone conversations with her, she started to seem more like the first DFC specialist (almost). She was able to explain the process with me, provide the total cost to us, approx. $2,600 plus & next year’s maintenance fees, payment options such as $1,000 down & balance due by closing (she indicated they would be flexible according to what was best for us and DFC); we shall see. She was quick to send us all the paperwork via email for us to review and complete. We completed the paperwork and sent it back to her via email the following week. Now everything is being done through email for the most part (???). Initially she must have had a bad few days. Approx. a few days after she acknowledged she received our completed paperwork, she calls me and I provided her our $1,000 down payment as I requested to do this via phone. DFC provides paperwork to make your payment (s) that you send back to them. I didn't feel comfortable with that process so I requested to do it over the phone. I expressed to her that I would like to make several payments on the balance due as we go through the process and that it could be a little while before we could pay off the balance due. She indicated that would be ok but also stated the balance due would be due at closing which should be sometime in December 2011. The day after I made our initial payment, according to my DFC specialist, Resort Closing Inc. (company that conducts closings of TS donations to DFC), had sent me a welcome letter via email. I indicated I had never received it. I very well could have, it could have been in my "junk mail" and was deleted. However, after a couple of email exchanges with my DFC specialist, I finally received an email the following week (2 days ago) from Resort Closing Inc. with my welcome letter. The welcome letter included a "Deed of Gift" for us to complete, notarize and return back to Resort Closing Inc. Along with the welcome letter we received information for us to go on Resort Closing web site to allow us to follow the whole process; allowing us to know where we are at in this process. They also provided us the balance due. What I am about to say next I found interesting. It also stated if the balance due is not paid in 30 days; the account will be turned over to collections. WOW!!! The DFC specialist told me basically we could pay what we could and the amount remaining would have to be paid by closing. From what I was told, we should close sometime in December 2011. Now Resort Closing Inc. is basically stating something different!! Like I have stated we just received this information a couple days ago, which I have some questions I intend to ask. This is where we are at in the process. Please feel free to ask questions and/or provide feedback. I will continue to update this post as we progress through this process.

[dumby2001 Member Find all posts View Profile Close dumby2001]

Interesting. But why did you choose this route instead of just paying closing and transfer fees and giving it to someone on here or TUG?

Just curious....why go this route?

I am glad you are posting your story. I have bought two of my Timeshares from DFC and it is interesting to find out how they come about having them.

[tonyg Goomba & Super Moderator Find all posts View Profile Close tonyg]

$ 2,600 to get rid of a timeshare seems to be rather high. Someone here could have done it for less and you might have even been able to give it away here with no fees. You never stated what week it was, so it is hard to tell how difficult the give-away process would have been. Resort Closing, Inc. seems to ring a bell as being one of the escrow/closing outfits used exclusively by the resellers on Ebay who may get weeks to dump from PCCs as well. Wouldn't it be annoying if they sold your week on Ebay for a few hundred $.

[catwgirl Contributor - Bronze Find all posts View Profile Close catwgirl]

How is this not a scam like all the others?

Paying to donate?? I don't think so!

[rikkis_playpen Diamond Club Contributor Find all posts View Profile Close rikkis_playpen]

I've spoken with the OP, and based on discussions I do believe that he fully researched his options and tried other methods before deciding to proceed with the donation. He just emailed me a few questions about a "deed of gift" format- so I wanted to share those in this thread since this may be a great tool to learn about this particular organization. First a few thoughts on this particular situation.

Orange Lake weeks have little to no value in this market. Over the past few years, values have deteriorated and currently there are many weeks being offered for free. I've liquidated several weeks through my brokerage, but unfortunately it is getting much harder to even give them away and I've had several of the smaller villas that didn't sell for even $1. A real shame because it is a wonderful resort- but I think the extreme sales pressure they have been exerting on current owners to push the Holiday Inn points conversion has really frustrated a large number of owners. Combine that with the economy, and you get a market flooded with Orange Lake weeks.

I'm not a big fan of these liquidation models, but I do understand that at times they are necessary. The only one I have ever recommend personally in the past year is Donate for a Cause (although last year I remember sending a few to a charity that JLB had promoted in the past). Consumers should understand that if they choose this "pay them to take your timeshare" model, it is likely to cost approximately $3,000. They want to choose an organization that has been in operation for at least several years (under the same name!) and one that has not been reported as failing to transfer the ownerships from the original owners name.

The charity will likely send you a conveyance document in the form of a "Deed of Gift". A deed of gift is simply a legal conveyance that indicates there is no tangible compensation being received by the seller in the transaction. In many cases, the deed will use terms such as "love and affection". Other than that, the document will normally simply show the parties involved, provide a legal description of the property, and convey the ownership with pretty standard legal language. You will also get a form to submit to the IRS. I've always believed that the one constant amount that a donor can confidently claim is the fee paid to the charity, not necessarily the "value" of the donation itself- but consumers should always consult the advice of their own CPA or tax preparer to ensure they understand how the donation process is viewed by the IRS.

The most important thing to remember before buying, selling, or donating a timeshare is to take your time and do your research before making any decision. I'm very hopeful this thread will become a valuable tool for that purpose.

[laf Junior Member Find all posts View Profile Close laf]

dumby & tonyg: I have been searching the web in an effort to find a credible source to sell / give away our TS (Orange Lake & Country Club Resorts, south of Orlando, week: 37 fixed) for quite some time; mainly to research the industry, to educate and to see what my options are. I have found numerous sources out there but the legitimacy of most of those sources was questionable at best. Some can be quite convincing I must say. Early on in this process, I even paid a company $699, GLOBAL RESORT MANAGEMENT, to list our TS which I quickly requested a refund after I began to feel un-easy and they promptly refunded me our money with no questions asked. The reason I felt un-easy with them is because they were promising us they would sell our TS for $26,000, and I was starting, at that time, to educate myself and learned this was wishful thinking and it would go nowhere. I would just lose $699 for nothing. There are numerous sites like this one out there. False hopes...rip offs. We have listed our TS with Craig’s list, here in this forum, and others. We have had numerous reviews of our listings but no inquiries or takers. I am a big Clark Howard and Dave Ramsey fan, and while I was listening to one of their shows, I learned their thoughts of the TS industry and heard of the organization called Donate for a Cause (DFC). Neither Clark nor Dave, especially Dave, likes TS unless you use it all the time. Both Dave and Clark recommend DFC mainly because they have found it to be credible, the charitable donation and the tax benefit you receive from your donation. Hence, my inquiry of DFC started and now after some lengthy research into DFC I feel confident I have found a source to allow us to get from under our TS for EVER! I understand there are people out there like me who are frustrated with their TS because of the ever rising annual maintenance fees, assessments, and the fact it is very difficult to get away from them to almost impossible. And, when you die it automatically goes to your heirs and they are stuck with the TS for life basically. I don’t want this for my kids. Also, personally, I truly believe with the current economic situation our country is in, I believe the window of opportunity for someone to get rid of their TS is shrinking fast. Yes, $2,600 plus is allot of money to get from under our TS. However, in our current situation I am willing to pay to get from underneath it. It will save us thousands of dollars in the long run not to mention I don’t believe we will be able to get rid of our TS if we wait too much longer and our children won’t have to worry about it either, which is the most important part. I will post updates to my thread as we progress through donating our TS with DFC. Currently, I am waiting for a return call from our rep from Resort Closings Inc., regarding the “Deed of Gift” they sent us to sign and notarize. After this post, I will post an exact copy of this “Deed of Gift”, minus identifiers, so people can see what I am talking about. I want to provide as much information as I can in this forum with hopes to educate others. Again, please feel free to ask any questions you may have. Wishing you well.

[laf Junior Member Find all posts View Profile Close laf]

Below is an exact copy of the "Deed of Gift" we were sent from Resort Closings Inc., to sign, notarize and return abck to Resort Closings Inc.


Prepared By and Return To:
Resort Closings, Inc.
(Without Title Examination)
James P. Tarpey, Esq.
3701 Trakker Trail Suite 2J
Bozeman, MT 59718
Escrow #XXXXX
PIN:


DEED OF GIFT

PURSUANT TO FAC §12B-4.014 2(b) THIS DEED IS SUBJECT TO THE MINIMUM TAX ONLY

THIS DEED shall operate to perform the transfer of title from XXXXXX and XXXXX,
his wife, whose address is XXXXXXXXXXXXXXX ("Grantor(s)") to PROJECT
PHILANTHROPY, INC., a nonprofit corporation duly organized and existing under and by virtue of the laws of the District of Columbia, whose address is 3701 Trakker Trail, Suite 2J, Bozeman, MT 59718. ("Grantee(s)"):

WITNESS, that the Grantor(s), for and in consideration of the love and concern which the undersigned bears unto humanity does hereby gift unto the Grantee(s), its successors and assigns forever, all the real property, together with improvements, if any, situate, lying, and being in the COUNTY OF ORANGE and the
STATE OF FLORIDA, described as follows:

"SEE ATTACHED EXHIBIT A"

TOGETHER, with all the singular, the hereditaments and appurtenances thereunto belong, or in anywise appertaining, the reversion or reversions, remainder or remainders, rents, issues, and profits thereof, and all the estate, right, title interest, claim, and demand whatsoever of the Grantor(s), either in laws or equity
of, in and to the above bargained premises, with the hereditaments and appurtenances; and

SUBJECT TO taxes and special assessments for the current year and subsequent years and easements, covenants, conditions, and restrictions of record;

TO HAVE AND TO HOLD the same in fee simple forever.


IN WITNESS WHEREOF, the Grantor(s) have/has caused this deed to be executed on:
DATE:
GRANTOR(S):
XXXXXXXX OUR SIGNATURE XXXXXXXXX XXXXXXXXXXXX
WITNESSES:
Grantor(s) signature is attested by these witnesses who are NOT the Grantor(s). The Notary may also sign as ONE witness.
WITNESS 1: WITNESS 2:
Sign above Sign above
Print Name: Print Name:
Address: Address:
Signed, Sealed and Delivered in the Presence Of:
STATE OF:
COUNTY OF:
THE DAY OF , 20 , XXXXXXXXXXXXXXXXXXX, personally appeared before me and acknowledged the foregoing instrument to be his/her/their voluntary act and deed.
WITNESS my hand and official seal:
Signature:
Printed Name:
A Notary Public in and for said State
My Commission Expires:
Press Notarial Seal/Stamp Here


EXHIBIT "A"

From 12:00 noon of the first day until 12:00 noon on the last day assigned to said grantee during the below described unit week number as said unit week is numbered and defined in the Declaration of Condominium recorded in the Public Records of Orange County, Florida, in the book and at the page number hereinafter described below which estate is to be succeeded forthwith by a succession of other estates in consecutive and chronological order, revolving among the other unit weeks described in the aforesaid Declaration of Condominium, in order annually, it being the intent of this instrument that each unit week shall be considered a separate estate held separately and independently by the respective owners thereof for and during the period of time assigned to each in said Declaration of Condominium, each said estate being succeeded by the next in unending succession governed by said Declaration of Condominium until 12:00 noon on the first Saturday in 2061 on which date said estate shall terminate;

TOGETHER with a remainder over in fee simple absolute, as tenant in common with the other owners of all the unit weeks in the hereafter described condominium parcel in that percentage interest determined and established by exhibit number "D" to the aforesaid Declaration of Condominium for the following described real estate located in the County of Orange and State of Florida as follows:

WEEK/UNIT XX / XXXX

Of ORANGE LAKE COUNTRY CLUB VILLAS, a condominium according to the Declaration of Condominium thereof recorded in Official Records Book 3300 at page 2702 the plat of which is recorded in Condominium Book 7, Page 59, and all amendments thereto, to have and to hold the same in fee simple absolute.

Said property is not the homestead of the Grantor(s) under the laws and constitution of the State of Florida in that neither Grantor(s) nor any members of the household of Grantor(s) reside thereon.

[laf Junior Member Find all posts View Profile Close laf]

Below is the instructions that came along with the "Deed of Gift" from our Resort Closings, Inc. specialist.

October 2011


XXXXXXXXXXXXXXXXXXXXXXXX
XXXXXXXXXXXXXXXXXXX
XXXXXXXXXXXXXXXXXXXXXXX

Re: Deed Preparation File #XXXXX; Access Pin # XXXXX; Transfer of Orange Lake Country Club

Dear XXXXXXXXX and XXXXXXXXXXX:

Attached is the deed to convey ownership at the property you are transferring out of your name. Please follow the deed processing instructions below.

1. Print the attached/enclosed documents on standard weight, white, 81/2” x 11 paper. Do NOT print double sided documents or on scratch paper.

2. Print two signature pages (this is necessary in the event the County rejects an unclear Notary seal on one page, so that we may submit the other) and sign exactly as your name appears on the document or it will be rejected. Do not sign in the margin area. Date the document where required before a Notary Public. Please inform them that their seal must be pressed clearly and firmly in the designated area on the signature page.

3. If your deed has witnesses section, the State your timeshare is located in requires witnesses, your Notary may sign as one witness and have another individual sign as a witness. Witnesses are required if you see a section on the signature page that has two blank spots for witnesses to sign. If those blank sections for witnesses are not there, your deed does not require witnesses other than a notary.

4. Mail the original completed deed to the address listed below

Resort Closings, Inc.
Attn: XXXXXXXXXXXXXXXXXXXXXXXX File #XXXXXXXXXX
3701 Trakker Trail, Suite 2J
Bozeman, MT 59718

Please note, the original complete deed is NOT the deed you received from the resort when you originally purchased the property. The original completed deed refers to the deed attached to this email that you will sign. When you sign it, it becomes an original.


Thanks and have a great day!

XXXXXXXXXXXXXXXXXXXXXXXXXX
Escrow Agent
Resort Closings, Inc.
Phone: 1-877-748-7488 Ext. XXXXXXXXXXXXXXX
Fax: 866-467-XXXX
3701 Trakker Trail, Suite 2J
Bozeman, MT 59718


Get instant closing status by visiting our website at:
Resort Closings, Inc. - Complete Timeshare Closing Services
1. Click on Closing Status
2. Enter your file or escrow number
3. Enter your access pin
4. Read notes for account information

[dumby2001 Member Find all posts View Profile Close dumby2001]

Thanks for the update. This is really interesting.

[tonyg Goomba & Super Moderator Find all posts View Profile Close tonyg]

Week 37 would be a tough give-away.

[JLB Please excuse me, I'm a Dick. Not a moron just a Dick Find all posts View Profile Close JLB]

How much are your annual fees now?

[laf Junior Member Find all posts View Profile Close laf]

How much are your annual fees now?

Approx. $760 for 2011 year.

[JLB Please excuse me, I'm a Dick. Not a moron just a Dick Find all posts View Profile Close JLB]

Approx. $760 for 2011 year.

Thanks . . . similar to my own situation.

Can you not get something in rental if you put them on cl? At the very least, I get $300 to $500 for our unwanted, un-needed, unused weeks. So, we net out $200-$400, m/l, annual expense. Sometimes we get an entire annual fee paid by renting.

If the public rents directly from our resorts' rental program, it is $1000-$1200, so ours at the annual fee is a deal.

I am also contemplating organizing with other, similar owners at the same resort(s), so we can upgrade to better vacation rental sites.

The way my Mom taught me math, I can go several years of holding/renting before I am out $2600. That may buy time to find new owners.

Here's OLCC on cl:

http://orlando.craigslist.org/search...Ask=&bedrooms=

[laf Junior Member Find all posts View Profile Close laf]

JLB: I understand what you are saying. I will admit I haven't worked the rental of our TS since we have been owners. I have looked into it but for whatever reason we have not worked that avenue. I would say it was un-wise of us not to. However, according to the way you explained your thinking of renting out your TS (s), from my perspective, unless you have endless amounts of income and time, you would be just "kicking the can" down the road with such a huge overhead of TS weeks that you are ultimately responsible for (“Until Death Do You Part”), and you will have to deal with them when the time comes for you to try and unload your weeks. Yes, the renting of your properties, "hopefully", would be paying your yearly maintenance fees and I'm sure not all of your TS weeks would rent. I have seen unlimited amounts of TS weeks for rent and for sale. Those lists will continue to grow and eventually you won’t be able to rent or sell which is already happening but will become worse. So, not renting all of your TS weeks would leave you with some yearly maintenance fees where you would have to pay. If this hasn't happened yet, I'm sure it will. I strongly believe the TS industry has been and is on a down-ward spiral based on what I have been able to learn thus far. It isn't a pretty picture and the future doesn’t look good. Ultimately, there will not be a market for rental, buyers, “donations” etc., due to the economy. What will you do then?? I hope I am wrong here for more reasons other than the subject of our discussion, but I am being realistic based on current events and historical facts. I personally see the “window of opportunity” rapidly closing in this industry for owners to rid themselves of their TS. The TS industry is like a “black whole”…

Update: The V.P. of Sales and Marketing for Resort Closings, Inc., returned my call yesterday afternoon. The V.P. answered my questions regarding the “Deed of Gift” and the process of how the closing of my TS goes. First I will say the V.P. was very receptive to my questions and concerns, appeared to be knowledgeable and answered my questions to my satisfaction. Once the “Deed of Gift” is signed, dated and notarized, it becomes the Original Deed. However, for purposes of closing, the actual closing date is the date when the completed “Deed of Gift” is “mailed” and at this time we would have completed the transfer of ownership to DFC. Resort Closings Inc. would electronically file the “Deed of Gift” in Orange County, FL. the same day they receive it. They then would send a copy to our resort. Theoretically, this process can be completed by end of next week to where we are no longer owners and 100% free and clear of all obligations for life! Will keep you posted.

[bjones9942 Senior Member Find all posts View Profile Close bjones9942]

I'll be surprised if you actually transfer ownership to DFC. Their business model is to sell timeshares via eBay auctions. I believe your transfer will occur when they have a buyer, and after you have paid all fees.

I'm watching this thread from the edge of my seat. Having been on the 'other' side of a DFC transaction I'm very interested to see where this goes!