Gym Membership Scam

chuckley

really bamber?? OP has a membership to the gym that pays for fresh air when itgoes bust?? and for how long??

sorry im not buyin it. so if its a 3rd party as u say.. OP's technically not paying gym membership?!

Bamber19

chuckley wrote: »

really bamber?? OP has a membership to the gym that pays for fresh air when itgoes bust??

That would appear to be what the OP has said and considering the way gyms operate doesn't sound very unlikely.

chuckley wrote: »

and for how long??

For the duration of the contract or for the duration of any cancellation period (Commonly 6 months on a 1 year membership)

chuckley wrote: »

sorry im not buyin it. so if its a 3rd party as u say.. OP's technically not paying gym membership?!

I overstepped the mark by saying it IS a third party, some gyms have their own consumer credit licence but often it will be a third party credit company who pay the gym and that you owe the money to.

I see where you're coming from earlier though, when you look at the bigger picture you are left asking "What's the problem, you want a service and you're going to get it for the price you agreed" if you remove this potentially unfair contract term that results in you still paying should the gym go bust then regardless of how you are paying then if you enter a contract for 12,18, 24 months you are bound by the terms and would be in breach of contract if you stopped paying.

Idiophreak

I can kinda see both points of view.

On the one hand, I've hardly ever seen a gym that doesn't expect some kind of commitment, so being "tied in" for a year isn't an issue, really.

But effectively being made to "borrow" money just to pay by DD I think is a little bit...wrong.

If you're going to do that, you might as well pay upfront on a credit card - you'll probably save a little (upfront normally works out cheaper than DD) and you'll have the protection of the card people should the gym go under etc.

gibby

Hi
to clear it up Im annoyed that I was told I was signning a DD but also annoyed that I didnt check it there & them too

I get home & when I check it its not a DD but a credit agreement

in the small print it says its a credit agreement with a lender
leisure finance plc, PO box 32 Luton, LU4 8YP
(on doing a quick check online I find others who also feel ripped off with dodgy practice)

but the gym is Life & Soul Fitness Club - www.lifeandsoulfitness.com
Northumberland NE23 8AD

it states that the purpose of the "loan" is to pay the borrowers memberhsip to life & soul
it also states - if the contract is not fulfilled, perhaps the supplier has gone out of business, you may still be able to sue the business

The problem is that the business, which is of course a Ltd one, will no longer exist if gone out of business, but the finance company will still expect its money month after month.

Ive since found out that this type of contract has been complained about for quite some time as if signed on the premises the customer has no cooling off period.
Its been featured on Watchdog a few times last year basically outlining that the customer has no legal rights but its a great money making tool for the finance company

as examples, if someone dies, is injured, moves or unhappy with the service at the gym, the gym is sold or goes out of business the monthly payments are still due.
there are also hefty charges ranging from £5 to £75 for missed payments, letters etc

Ive been on to Trading Standards about this & they admit these contracts are often used by gyms to lock customers in for 12 months and that they get alot of complaints about them.
The contracts themselves are not illegal but if they are not explained correctly to customers then the law is being broken.

As a business owner myself I find it difficult to imagine a business staying in business when using such unethical methods on customers.
If they provide a decent service & the customers are happy then the business will do well

The credit card idea is an excellent one as it does give you protection and a cheaper price, but less money for the gym

One thing I have learnt on MSE from Martin is to avoid longterm contracts, as better deals do keep appearing

G

kennyboy66_2

chuckley wrote: »

no gibby ,the problem is u and ur lack of knowledge to gym membership and how it works. they always carry a min membership of at least 12 months.. unless other duration specified, just like internet packages, e.t.c

if u wanted to pay as u go, then why were u sitting there telling them u wanted to pay by D/D?? filling out a d/d form means u WANT to pay them at their said duration and amount.

after 12 months then u can roll onto a month by month basis, unless otherwise stated. if u found others that dont follow that practice (highly unlikely) then why didnt u go with them?!

If you fail to see that this is sharp practice then perhaps you are a dounle glazing salesman