Fitness Club: Broken Contract, Account in Collections
Date: Tue, 09/18/2007 - 13:46
I have a question. I signed a contract with a local fitness club last year. It was for a 3 year commitment. I was paying on it fine, but my account was closed about 6 months into it (due to attempted identity fraud).
To make a long story short, it has been in collections for over 90 days. I received a call from their "legal department", telling me that I had to pay by this Friday (9/21) or else they would be taking legal action.
I was told that I would be charged with "financial fraud" since my bank account was now closed. And once I went to court, I would have to pay triple the amount of the contract agreement.
Keep in mind, the man who contacted me before this one(same agency) was very rude and made many threats. Each time I would try to discuss any form of payment, he demanded my credit card information or hung up.
I called several times asking to speak to someone else, because he was very belligerent. Each time, I was transferred back to him and got nowhere.
So I have filed a complaint with the Attorney General's office here in Florida. However, I do want to get this resolved. I just can't do any huge lump sum.
My question is, should I send the partial payment to the original company I had the contract with? The collection agency employee wants $1085 by Friday, or $762 by then, with an additional $762 before the end of the month (says paying in two would include interest and late fees).
I know he is trying to meet his quota, but that payment amount can't happen. I know they don't HAVE to accept partial payment. But who should I attempt to send it to? I plan on having it paid off before the end of the year.
Even if they do take me to court, the judge would see I have been sending payments, whether they were accepted or returned.
The main thing that I wondered about, was the statement he made about them putting FINANCIAL FRAUD on my already jacked-up credit history. Any thoughts?
They can't do anything regarding fraud. You did the right thing
They can't do anything regarding fraud. You did the right thing filing a complaint with the Florida AG. Write a letter to the fitness company and explain to the what your intentions are. Send it by certified mail.
I worked at a collection agency and it was terrible. I want you
I worked at a collection agency and it was terrible. I want you to know that they will do anything and everything to scare and harass you into paying the bill. In all honesty, it isn't such a simple thing for a collection agency to take someone to court over an unpaid bill. It is a very difficult process and usually they are just making threats. The collection agency may tell you that you cannot send the payments to the original company but you can. Good Luck!
I worked at a collection agency and it was terrible. I want you
I worked at a collection agency and it was terrible. I want you to know that they will do anything and everything to scare and harass you into paying the bill. In all honesty, it isn't such a simple thing for a collection agency to take someone to court over an unpaid bill. It is a very difficult process and usually they are just making threats. The collection agency may tell you that you cannot send the payments to the original company but you can. Good Luck!