Joining a health club or gym can be an expensive proposition and in these recessionary times, most of us want to pay the lowest monthly bill possible for our workout. But a recent report by consumer reporter John Matarese shows us why you may want to steer clear of some discount gym contracts, so you don’t waste your money.
More and more people are prepaying when joining a gym or health club. Why? Because the price is so much lower if you pay for 6 months or a year in advance. At least that’s what Mary Ann Laue and Gail Farwick thought. They paid hundreds of dollars to join a fitness club only to arrive one day and find the place locked tight!
"I have at least six months of training I have prepaid for...and I will be out that money" says Laue.
According to the parent company, the franchise owner couldn't make his location work. But then came the worst news: the $3600 the women had prepaid for a year of sessions was no good at the company's other locations.
"Our money was received by the franchise owner, who has filed for bankruptcy. So our funds are not available to the other locations," says Farwick.
But hold on! We found their contract was with the parent company, not the local franchise! So I called the corporate office, explained the contract, and they agreed to honor the women’s’ remaining sessions.
Mary Ann and Gail thanked me for helping, but also said they learned a lesson.
"To pay that money up front, have it in their hands and not in our own, I feel it was a bad decision."
My advice:
Think long and hard before prepaying for a year at a gym. Ask what happens if you lose interest, sprain an ankle, lose your job or the club shuts down. It may be a case of don’t waste your money.
