Cancelled Gym Membership and Direct Debit still being taken

WooWoo310

I put my gym membership on hold for 4 months in September last year and paid £25 for doing so. I had one month left on it and was advised when it re-started in January, if I wished to cancel the membership I should send a letter giving 30 days notice of termination.

I completed this at the beginning of January and sent the letter to the gym. Admittedly I haven't been checking my bank statements but today I have noticed that the gym has continued to take the monthly direct debit from my bank account. I have contacted the gym and they have no record of receiving my letter of termination. I have not used the gym since last September and have a copy of the termination letter I sent. Where do I stand with being able to claim under the direct debit guarantee scheme pr do the gym have every right to still be taking my money as they claim I did not send the letter?

KeithP

Firstly, cancel the Direct Debit with your bank.

olly300

It's both a common tactic for companies to claim they haven't received letters you sent to them, and a common tactic for them also not to terminate direct debits when contracts end.

In future send all letters like this by recorded delivery and keep the slip until you are sure the situation is resolved. If you do this and threaten to take them to court if they claim they haven't received anything, they will reimburse the money as they know no judge will believe that they lost such a letter. (I have personal experience of this.)

Also you should stop your DD yourself when your contracts end.

To sort the problem write to your bank (use recorded delivery or if you have online banking send a message) and clearly state that the gym have been taken money out which you have not authorised. List the dates and the amounts this money was taken, and state you want to be reimbursed under the DD guarantee scheme.

The reason to do it in writing rather over the phone or in person is lots of banks will try and fob you off about chasing the company for the money as they return the money to you first before they go after the company for the money. This means the bank may never get the money owed to them.

Then keep an eye on your balance for a year. I've had companies where I have cancelled the direct debit and got money reimbursed under the DD guarantee scheme, take the same amount of money out of my account a few months later. If they do contact your bank again and tell them to reimburse you.

If the company then sends you debt collection letters or letters threatening court action, send them a "Letter before Action" by recorded delivery concisely telling them you don't owe them money and due to their breach of contract you will start legal action in 30 days against them if they insist on harassing you for an amount you don't owe, and you will now report them to trading standards.

Then report them to their local trading standards by putting the postcode of their head office in. http://www.tradingstandards.gov.uk/

pinkshoes

Do exactly as olly300 says!

ALL gyms will "lose" every single letter than is not sent recorded delivery. It wouldn't surprise me if they make a large chunk of their profit from this tactic; it means they get people paying for gym membership without even using it!