Gym contract: live and learn

[Paul F.]

Dennis S wrote:
Play hardball with them. Tell them you'll drag them all over the internet and if they say they'll sue for libel, say bring it on. Tell them you'll go to the 7 On Your Side TV consumer shows. Tell them you'll complain to Clark Howard. Tell them you'll complain to Consumer Reports. You'll tell everything you told them to the president of their company. Say you'll advertise for people to sue them in small claims court. Tell them if they hurt your credit, you'll sue them. Go berserk in their office, just sort of getting the cops called. Put up posters all over town warning people to beware. They've been pulling this crap for probably over 30 years. It's war with these bastards.

And the dismembered pigs head dovetails beautifully with this...

I'm just sayin'......

[Speedy]

I will have him follow the terms to end the contract (once I get a copy.)

Good suggestion on the counseling center but I suspect it would not be sufficient.

I never saw the contract so I don't know its term.

They do not have his social security number.

Good to know that this will not effect his credit rating.

As far as hardball, people have already done it with some success through the courts. And there is plenty of badmouthing.

I've told my son it was a cheap lesson: read everything before you sign and don't sign it unless you understand your obligations.

Thanks to all!

[Dennis S]

Tell him to talk to a lawyer and offer him some money for 15 or 30 minutes time. I've done this and it usually works. Some lawyers will do what they can to help a kid out. I bet the lawyer might have some strategies. Or, if it's bad news, the kid will know the score and since a lawyer told him, not waste more time and energy fretting about and deal with it the best way he can.

[Speedy]

We have a family lawyer but I will wait to see what is in the contract.

[the_poochies]

Email the good folks at The Consumerist. They love stories like these.

[smacks]

Gym membership debt absolutely can be published to your credit report. Where did you hear that the credit bureaus will discard it?

http://moneyning.com/credit/could-your-g...ur-credit/

[testcase]

Have your family lawyer send a letter of cancellation and request for a copy of the contract. Most people won't work through an attorney so, the gym should be less likely to fight you over the cancellation.

[lazydays]

I used to work at a collection agency in IT. It was my job to generate the report of accounts to report to the credit bureau and to review what kind of accounts were rejected from the credit bureau. Strangely they won't tell you outright and you have to learn as you go. If the name of the business contains the word "gym" or "fitness" I can say it will most likely be rejected. Here is a short blurb that may back up what I'm saying.

http://wiki.answers.com/Q/Can_a_Gym_memb...dit_report

Also, all the blustering in the world will not stop a collection agency. You really only have a few options. 1) Tell them to stop contacting you and they legally must until they have the information to garnish you. This is probably the most effective way to proceed. 2) If the contract is valid offer a settlement amount. The collection agency knows they can't collect from a college student so this will be very attractive to them. I think it's also a legitimate way for you to settle the debt and feel good about your actions.

Threatening legal action is stupid. Collection agencies often make their single obligatory phone call and then immediately move to lawsuits as they make way more money charging "legal fees" than they do off the original collection amount.

[Speedy]

lazydays, thanks! We are letting it play out for now because he is too busy and too faraway to deal with it. I doubt if anything will happen in a month or two because there isn't enough to sue over yet.

[AlicedOrio]

Gym membership debt cannot be reported to a credit bureau. Well it can be reported but the credit bureau will discard the information. So no risk there but if the collection agency finds any kind of savings/checking account they will garnish it.