Ernie Clark. Hilperton Division, Wiltshire Council.

Beware before your respond to gym offer ...

Wiltshire Council’s trading standards department is urging people to be wary of receiving a mailshot from a survey company as it could lead to a binding credit agreement.

Hundreds of homes across Wiltshire have received a mail shot from a survey company informing them they have won a gift, and to telephone for details.

Trading standards have received a surge of complaints and enquiries from consumers who have accepted the ‘gift’ which is membership of a local health club, for the cost of an administration fee.

The problem is that consumers have to pay an administration fee for a minimum period which can be up to three years.This detail is contained within the small print, which many people don't read but when the credit agreement is signed the membership can not be cancelled.

Sue Wilkin, Wiltshire Council’s trading standards team leader, warns: “If you are keen to start exercising and know you will use a gym in the long term then this offer may suit you, however some people may not keep up their exercise regime and will be unable to cancel their agreement. Of course you are not forced to attend the gym, but you will have to continue paying the credit agreement, otherwise your credit rating will be affected. Think carefully about this offer, and don’t commit until you are sure it is what you want long term. There are rules about how you should be introduced to the credit agreement, and you should be given certain pre-contract information before signing.”

The Office of Fair Trading is investigating this matter as they are concerned at the number of people who appear to be unaware that they are entering into a credit agreement which is binding.

For advice call Consumer Direct on 08454 040506.