At LCollect we believe that knowledge is power. Every month our debt collection blog gives you practical tips, stories and news from around Australia and the world.
A Perth resident, Michael Reed, received received a letter of demand from a debt collection agency for a gym membership from his local Anytime Fitness.
While this isn't entirely unusual with the make-up of these Agreements when memberships are cancelled, Mr Reed was demanded to pay $10,296,696.40. This is the equivalent to a membership of at least 20,000 years. In a statement to the media Mr Reed said, "I had a heart attack when I opened it. The guys at work thought it was great. They suggested I set up a GoFundMe page. I guess I know the price for perfect abs is out of my reach now."
Once the issue was identified Mr Reed said that Anytime Fitness were very helpful and the collection agency confirmed that there was an administrative error, apologised and paid his gym membership for a year as compensation.
Source: Perth Now - March 2018