Debt recovery - Problem

Guy

Guy

Guy

Associate
Joined
5 Mar 2007
Posts
751
Location
Rochdale
Hi guys, I have just received a letter from a Debt recovery agency advising me that they have been appointed to recover outstanding membership fees from a certain big gym I joined.

What is annoying about this is, I have never received a peep out of them after I sent them my cancellation letter, after which cancelled my DD. Surley before going to DR, they need to contact me chasing me up for outstanding funds? I mean I'm not pychic and was advised to cancel my DD by them.

Anyone got any advice for me?
 
No expert, but in my limited experience, usually just work out what you can afford to pay them and tell them that's what you will pay them. If they try and play hardball just stick to your guns. Refuse to give them any information for anyone living with you as they might expect you to pay more.
 
As far as car parking invoices go then if it hasn't gone to court then there is no obligation to pay. I suspect it is the same for this.

Further, if you are in dispute (as in actively disputing it with the gym) about the charges then debt recovery firms are legally harassing you if they do not desist after you tell them that this "debt" is in dispute.

You then need to take it up with the gym. I don't know what the best way for that is. You should probably contact the Citizens Advice Bureau or a similar agency for some advice.

Of course this advice is from a layman who only knows the law from a car charges perspective.
 
this happens a lot with gyms i think. what paperwork have you got? at the end of the day the gym can just turn round and say that they never received your paperwork and you cancelled your dd so it is your fault and must pay - especially as you never heard from them and didn't contact them to check.

what was the contract terms from the gym? 12 months or something? you'll need to check the T&C's from them as far as cancellation arrangements go. how much are they after you for?

and don't call me shirley
 
It may have been a mistake on your part.

You need to give the gym 30 days notice of cancellation. That 30 day's notice does not begin until the end of the month in which the letter was delivered... so if you hand them the letter on the 1st of June, your membership wont be cancelled until the beginning of August. It's written in the T+C's.

Check the date of your letter to the date that you were last debited by the gym.
 
Well the the DR has ackknowledged my cancellation letter, so it appears that they are aware of this. The contract was for 12 months, but they did not furfill their promised (there was an agreement with my company and the gym [came in and did a talk and stuff like that]). I think i'll just go in and discuss this with them and explain what events have taken place.

The main reason I posted was due to the lack of communication about the outstanding balance and the 3 days given to me by the DR to pay the debt (which I thought was ridiculous). it's not a large amount just the first time this has happend to me.
 
Guy said:
Well the the DR has ackknowledged my cancellation letter, so it appears that they are aware of this. The contract was for 12 months, but they did not furfill their promised (there was an agreement with my company and the gym [came in and did a talk and stuff like that]). I think i'll just go in and discuss this with them and explain what events have taken place.

The main reason I posted was due to the lack of communication about the outstanding balance and the 3 days given to me by the DR to pay the debt (which I thought was ridiculous). it's not a large amount just the first time this has happend to me.
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Such a short amount of time would indicate to me that they are pulling a fast one. I.E they are the same people who run the gym. Who is the debt recovery firm? Does it have the relevant company number etc on the paperwork they sent you?
 
I thought the same thing, a lot of companies seem to do this it seems.

The DR is CARS - Creditlink Account Recovery Solutuions Limitied
Company number: 04296927

Matches companies house.
 
BS tbh, I'd stick to my guns. You cancelled, and even were polite enough to inform them of your cancellation. Tell them to go stick it.
 
Guy said:
Hi guys, I have just received a letter from a Debt recovery agency advising me that they have been appointed to recover outstanding membership fees from a certain big gym I joined.

What is annoying about this is, I have never received a peep out of them after I sent them my cancellation letter, after which cancelled my DD. Surley before going to DR, they need to contact me chasing me up for outstanding funds? I mean I'm not pychic and was advised to cancel my DD by them.

Anyone got any advice for me?
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Debt recovery =/= bailiffs and as such they can only threaten you until you pay voluntarily. To make you to pay they have to take you to court first, which I doubt they will unless they have enough evidence you did something wrong. So, don't be in any hurry to resolve it.
 
AcidHell2 said:
Phone them up tell them what has happened and they will pass it back to the gym.

Had similar with British gas.
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Yeah did phone them to that effect, asked when the next action would be take, he said tomorrow. I was a bit shocked as they only sent the letter on the 8th :confused:. But they have given me a week, will go and have a convo with the manager at the gym.
 
Guy said:
Yeah did phone them to that effect, asked when the next action would be take, he said tomorrow. I was a bit shocked as they only sent the letter on the 8th :confused:. But they have given me a week, will go and have a convo with the manager at the gym.
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If you have explained to them, they should pass the debt back to the gym.

also phone the gym up.
 
Fitness First by any chance? They are absolute ***** for this.

I wouldn't waste your time visiting the manager as you will be told something along the lines of "tough, you signed the agreement"

Write a letter to the debt recovery agent saying 1. The debt is in dispute and 2. ask to see a copy of the original signed contract stating that you had to pay severance charges. You need to submit a formal request for a copy of any documentation. These are a request for a true copy of an executed credit agreement under the Consumer Credit Act 1974 (CCA), and a Subject Access Request under the Data Protection Act 1998 (SAR). If they can't provide this then they are stuffed.

If the alleged debt to whomever relates to a credit ageement (e.g. premium payments by instalments), then a CCA will suffice. The maximum statutory fee is £1. The creditor and/or DCA has 12 days to supply a true copy; after a further 30 days, if they have not supplied it, they have committed a summary criminal offence. If a creditor can't supply the agreement, it can't be enforced in court. I'd have disputed the debt and sent a CCA at the earliest opportunity.

The debt recovery agent cannot visit you without permission first. You can also remove right of implied access with a quick phonecall. If they turn up, they are committing trespass. You don't have to answer the door or talk to the agent in any case.

I would say that the chance of them proceeding with enforcement action for such a small sum is very slim, the costs implication of issuing a Claim form via the county court in realistic terms is not worth it.
 
Which gym is it ? I know esporta is 3 months notice to cancel although you can give this at month 9 if you want to leave after your 12 months are up.
 
AcidHell2 said:
If you have explained to them, they should pass the debt back to the gym.

also phone the gym up.
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This, sent the debt agency a recorded letter stating that the debt is under dispute, and refer them back to thier client (the gym).

The gym will then need to enter into communication with you.
Making the above statment makes it unlawfull for them to persue the matter, and if they continue, it becomes harrasment, as they have no legal grounding to persue a disputed sum of money.
 
I used to work for a debt collector. My advice:

Ignore it. Ignore everything they send you. Don't phone them. Don't answer the phone if they call you (difficult, I know). Don't agree to anything at all, don't give them any contact details. If you are going to call them, make sure you don't use a friend's phone, because as soon as they get that number they will HOUND your friend.
Good luck.
 
I can't believe that the advice given by somebody who woked for a debt collection agency is "Ignore them".
You should never totally ignore people threatning you with collection of monies owed.
Sure, if the debt is in dispute then dispute it.
Write the correct letters and get the right people involved.

Just sitting back and doing nothing gets your case to court quicker and once they have ruled it all becomes a lot more difficult.
 
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