Gym credit agreement....or not????

dmackay41

I have a question. Basically, I terminated my gym membership, but incurred a final months payment for not advising them in writing. Anyway, I will be paying the £52, but received a warning letter from them today advising that failing to pay would affect my credit rating.
Would I be correct in saying that since the membership contract does not constitute a credit agreement (there is no reference to these words anywhere on the contract and T&Cs), that failing to pay would not result in a default, and therefore adverse credit notification, and that any recovery of monies would be purely a Civil law matter here in Scotland.

Can anyone advise?

PS I will pay the debt, but wil also complain about there scare tactics to Trading Standards.

Blacksheep1979

A mobile phone contract isn't a credit agreement but it can damage your credit record by not paying it proptly - and more to the point if you fail to pay any debt and get taken to the small claims court it can affect your credit rating.

It's not illegal what they are doing so I would save your time and effort and not go monaing to anyone, all it's going to do is waste someones time and get you all worked up.

Sooler

May be the new Consumer protection act which is now in force may apply ...


New rules for consumer protection
http://news.bbc.co.uk/1/hi/business/7416809.stm



The Consumer Protection from Unfair Trading Regulations 2008
http://www.opsi.gov.uk/si/si2008/draft/ukdsi_9780110811574_en_2#pt2-l1g5

Aggressive commercial practices

7.
(d) any onerous or disproportionate non-contractual barrier imposed by the trader where a consumer wishes to exercise rights under the contract, including rights to terminate a contract or to switch to another product or another trader; and
(e) any threat to take any action which cannot legally be taken.

Rex_Mundi

Sooler wrote: »

Aggressive commercial practices

7.
(d) any onerous or disproportionate non-contractual barrier imposed by the trader where a consumer wishes to exercise rights under the contract, including rights to terminate a contract or to switch to another product or another trader; and
(e) any threat to take any action which cannot legally be taken.

This can't apply here.

The contract states that a months notice is needed to cancel. The letter sent by the gym is absolutely true if they needed to take action to recover the money (quote...........'but received a warning letter from them today advising that failing to pay would affect my credit rating').

As per the contract, the OP owes £52 (one months subscription). If the OP did not (or refused to) pay this, the company would be well within their rights to take the OP to court (small claims) to recover this money. It's in the contract and the OP has been notified of the outstanding balance by the gym. They would easily win this in court. This would affect the OPs credit rating if it went this far.