Whether you thought you cancelled your gym membership or assumed the contract ended, the last thing you may expect is to be contacted by a debt collection agency on behalf of the establishment. If this occurs, it’s important to understand your legal options. The following blog explores what you should know about these matters, including the importance of working with a San Diego County debt collection harassment lawyer to help you explore your rights and assist you during these difficult times.
Will a Gym Send Debts to Collections?
First and foremost, it’s imperative to understand that gyms, like any other business, can and will send outstanding debts to collections to recover the funds they are owed.
Unfortunately, it’s critical to understand that even if you cancel your membership, the gym may not apply this cancellation. As such, you may fall into debt for months of unpaid dues, which can have a significant impact on your credit and, in some instances, warrant a lawsuit against you. If you plan on canceling your membership, you should always request some form of proof of cancellation before leaving the premises. This can help in the event of unwarranted collection efforts.
What Should I Do if Contacted By a Collection Agency?
If you are contacted by a debt collection agency regarding overdue gym membership dues, it’s important to understand your rights. Generally, the first step is to request a debt validation notice if one has not already been provided. This requires the collection agency to inform you of the original creditor and the outstanding amount. Once you have received this notice, you should review your credit report to confirm the debt.
Next, you should contact an experienced debt collection defense attorney, as they can help you through the next steps. If the debt is accurate, your attorney can assist you in negotiating a settlement amount with the debt collection agency. Having an attorney for this process is critical, as they can ensure the terms of the agreement are fair and legally binding before you sign any documents. If the debt is not valid, meaning you are not liable for it, your lawyer can help you dispute it. Generally, this is done by sending a letter with proof that the debt is not valid, such as proof of cancellation.
Should the debt collection agency continue to contact you after receiving proof that the debt is not valid, your attorney can assist you in sending a cease and desist letter to the agency. If the harassment continues, a lawyer can help you explore your legal options under the Fair Debt Collections Practices Act (FDCPA).
As you can see, a gym sending debt to collections is not something that should be taken lightly. If this represents your circumstances, it’s in your best interest to connect with the team at Barthel Legal. We understand how overwhelming this can be, which is why we are committed to helping you through this process. Contact us today to learn how we can assist you.
