CRS - Debt collector for Goldys Gym membership

[gurisingh]

Hello Everybody,

 

I hope you can help me here. I've been a member of Goldys Gym from April 2007 until february 2008. I've canceled my Gym membership with the reception lady and canceled my direct debit afterwards, just to make sure, although I still had to pay for the next month as it was 1 month notice. Anyway, I haven't used the GYM afterwards and I didn't receive any notification from Goldys Gym to pay the outstanding debt. So I had no clue.

 

Well, now I have received a letter from CRS telling me that they are collecting the debts £69 Gym membership + £115 fees for CRS.

 

I can't seem to find my contract at the moment and I am not even sure if they can contact me eventhrough Goldys Gym hasn't contacted me regarding this matter earlier as I would have paid this if I would knew. But I am not gonna pay the £115 extra just for wrinting a letter for me.

[spamheed]

Unless the fees are stipulated in the agreement that you signed, no fees may be applied to the account by either the original creditor, or any subsequent debt collector.

 

I would be tempted to contact the gym and see if there is actually any amount outstanding, if there is and you agree to the amount then pay it, get written confirmation that there is no outstanding amount on the account. Then tell the DCA to go forth, either way you should not bear any liability for the charges of some company that you have not engaged the services of.

[gurisingh]

What if I can't find the agreement anymore ?

 

 

The DCA threatened me to apply further charges if I don't pay until the 4th December. What if they increase the charges ?

 

I have contacted the GYM and they told me that I have an outstanding balance of 69 Pounds, but the manager wasn't there so I could not really negotiate.

[Pinky69]

Then contact them again when the manager is there. No DCA has any right to charge fees unless it is stipulated in the original agreement. If you cannot find the original agreement then ask for a copy under the Consumer Credit Act 1974 - you will get a template letter for this in the CAG library - letter N.

If you cannot find it let us know and we will post it up for you.

[mr.ton]

Tell the DCA that should you want to pay them anything - that any repayments will be made on your terms & not their's.

Tell the fools that they can add on whatever charges they want, it just means it will take longer to repay at the minimum legal rate of £1 per month once its gone to a county court & all your essential outgoings have been taken into account

[gurisingh]

I've found the letter, thanks.

 

I will go there tomorrow and ask the manager about the contract and payment. Let's see how things go.

[gurisingh]

They called me back today and the manager told me that they can't provide me another copy(Other then the first copy), because the yellow paper I signed back then can not be copied, as the quality would be extremely bad and not readable.

 

I told her that I will need a copy as I am gonna go legally against CRS and she then said that she can't guarantee anything, but she will check with the general manager.

 

Any suggestions how I could obtain a copy ?

 

The Deadthline for the payment is set to 4th December. They said that they gonna increase the amount afterwards. Would it be really wise to wait or should I let them know I am looking into it or something similar ?

[KER]

Please tell me you meant GOLD's Gym, and someone hasn't made up an offshoot of it to sound like Gold's!!!!!

 

(bit like McDowells and McDonalds in the film "Coming to America" )

[mr.ton]

Do not pay anything by the 4th of December & inform them that you are not giving them any authority for payments to be increased.

[gurisingh]

@KER

Sorry, yes I meant Gold's Gym. I was to angry to think correctly when I've received the letter after 8 Month.

 

Is there any template for telling them not to increase the amount ? I am still waiting for a call from the manager.

[spamheed]

I would wait to see what they come back to you with, they cannot simply unilaterally apply charges to an account, any judge would kick it into touch without a thought

[gurisingh]

Basically there is the Gym, which will just provide me with the contracts if possible and there is CRS which had set the deadline. I've just spoken to the GYM, but not CRS. Therefore I wanted to let CRS now before the 4th.

 

Would that be right, if yes any templates would be appreciated.

[spamheed]

Debt Collection Agencies love to set deadlines, "if you do not respond within x number of days we will do something nasty to you" this is an attempt to make you panic and hopefully pay them something.

 

If you are in sincere dialogue with the gym to attempt to find a resolution, the the DCA has no right whatsoever to insist on anything.

 

It may be that through this dialogue you reach a compromise on what is owed so that both parties are content and agreement is made, if this becomes the case, complately ignore the DCA and deal directly with the GYM, after all, you never entered into an agreement with the DCA in the first place

[gurisingh]

I got a copy of a contract(Not exactly the one I've signed, as this needs to be faxed over from headquarters and takes time, but the text on this contract is the same.)

 

Here is the cancellation part:

 

If you fail to pay any amount due under this agreement,

for a period of more than thirty days, we reserve the right to pass the debt to a third party company for collection. The costs incurred in employing the third party company will be borne by you including costs in tracing you should you have changed your address without informing us.

 

She also mentioned that normally people in arrears are get sent two letters informing them. She confirmed after checking her system that I wasn't sent any arrears letter, but couldn't give me a reason for this.

 

She also declined my payment of 69Pounds.

She said that I have to deal with CRS to settle the payments.

 

Any ideas what I can do now ?

[hillards]

She confirmed after checking her system that I wasn't sent any arrears letter, but couldn't give me a reason for this.

She also declined my payment of 69Pounds.

She said that I have to deal with CRS to settle the payments.

I hope you got that in writing?

If they failed to send out TWO letters and declined to accept payment then you need proof, if this does go further.

If not then it's a missed opportunity and I doubt you would be able to prove she said anything at a later date.

The golden rule of CAG is 'everything in writing'. Talking to people, in person or by phone, leaves no record of the conversation.

[gurisingh]

Hello,

 

Yeah, I asked her to give me that in writing and she said that she needs to confirm this with managment first. I'll collect this with th original contract within the next few days.

 

I am still not sure what I should write to CRS. Any help, ideas ?

I need to send the letter out today at lunch time.

[Pinky69]

If you feel you must write to CRS - and they will try to add charges whether you write or not - a short note to say you are in direct contact with gym and will not be having any further contact with them will do.

[gurisingh]

Would it be wiser to send them this letter at the bottom, mentioning that I am in direct contact with the gym and waiting for some information from the manager. Also tell them that I have contacted my local trading standards(As I did that, but haven't received any letter from them yet.). And also offer them to repay the outstanding payment of 69Pounds.

 

Is that a good move?

 

Dear Sir/Madam

Re: CRS Ref No: XXXXXX / Golds Gym Ref No: XXXX

 

 

With reference to the above account, I request that you send me a true copy of this credit agreement, relating to your last letter dated 22nd January 2007, signed by Rob Knight and entitled “IMPORTANT: PLEASE READ CAREFULLY”.

 

 

I understand that this is my right under the legislation contained within section 77 (1) and section 78 (1) of the Consumer Credit Act 1974, and am entitled to receive a copy of my credit agreement on request.

 

 

Your obligation also extends to providing me with a statement of account. I enclose a £1 postal order which represents payment of the statutory fee payable under the Consumer Credit Act. I understand that a copy of my credit agreement should be supplied within 12 working days from the date of this letter.

 

 

I understand that under the Consumer Credit Act, creditors are unable to enforce an agreement if they fail to comply with a request for a copy of the agreement under these sections of the Act.

 

 

Also, since you are a Debt Collection Agency, I would also ask that you supply a signed true copy of the executed deed of assignment for the above referenced agreement. This is an obligation, whether you are the original creditor or not, under section 189 of the Consumer Credit Act 1974.

 

 

In summary, I DO NOT ACKNOWLEDGE THIS DEBT AND THEREFORE REQUIRE YOU TO SUBSTANTIATE THIS BY PROVIDING THE FOLLOWING DOCUMENTATION BEFORE I CORRESPOND FURTHER :

 

 

1. True copy of original credit agreement

2. Statement of account

3. Copy of the executed deed of assignment from Golds Gym to Credit Resolution Services

 

 

As you are aware, a credit agreement that is not properly documented and signed by the customer is totally unenforceable under the CCA and therefore is a complete defence to any court claim that is issued.

 

 

Take note at this stage, that any legal action you may contemplate will be both vigorously defended and contested and consider this matter to be “in dispute”.

 

 

Thanks in advance and I hope to hear from you within the statutory time limit.

 

 

I look forward to hearing from you.

 

Yours faithfully,

Netyard

[hillards]

I wouldn't change the wording of any template letter, and there are lots of copies of the standard CCA request letter in current threads. There's a suitable one from ODC here - http://www.consumeractiongroup.co.uk/forum/debt-collection-industry/171366-lowell-settlement-offer.html

 

Why tell the DCA your life story? Your version of this letter goes well beyond what is required and to say you're only asking for your documentation because you know they cannot enforce a debt without is telling them they can cobble something together to fob you off.

 

When you're dealing with these people apply the KISS rule - Keep It Simple, Stupid - don't give them anything they can use against you.

Edited December 3, 2008 by hillards
quoted text removed

[gurisingh]

I've sent them the letter yesterday. Now let's see what their response is.

[Greendeco]

Stick with it, I had similar problems I sent them a letter and they backed off. Also get trading standards involved, I did this and they were brilliant.

For a copy of my letter check out my thread

[gurisingh]

Hi Guys,

 

It's been 1 Month now and CRS still hasn't got back to me. Should I write them another letter or just wait further?

[hillards]

Hi Guys,

 

It's been 1 Month now and CRS still hasn't got back to me. Should I write them another letter or just wait further?

 

Just point out what losers they are courtesy of the letter IdaInFide created at http://www.consumeractiongroup.co.uk/forum/debt-collection-industry/172071-letter-co-solicitors.html#post1856406

 

That should shut them up totally now. :grin:

[gurisingh]

Thanks hilliards.

 

I will send them the letter from IdaInFife tomorrow.

[gurisingh]

Hello People,

 

Unfortunately I received a response from them today, after 1 Month. You will find their letter below.

 

Just to clarify Gold's gym confirmed that they forgot to send me any notification about the outstanding payment. So this statement is not really true.

 

Anyways, any ideas what I could do next ?

 

    Your contract with Gold’s Gym is NOT a Credit Agreement and therefore, 
your references to the Consumer Credit Act 1974 are wrong in this case. 
We have requested a copy of your contract from Gold’s and will forward 
this to you as soon as received.

 We must also advise that your debt has not been assigned to us, 
we simply act as Gold’s agent in collecting this debt. Therefore, 
it is not a requirement to have a deed of assignment at this stage.

 Gold’s Gym received notice to cancel from you, but you failed to pay 
the final month and did not respons to their correspondence, thus you
are also liable for your fees, as per terms of your contract.
Your settlement of 69 Pounds is therefore not acceptable.

 We trust this clarifies the matter and will supply your contract 
as soon as possible