Well let me start this column with my main argument. Back in early 200 I noticed on one of my credit reports reporting two items of bad credit stating that I owe Perimeter Credit a combined $2154.96. This came as a total shock because I had never heard of Perimeter before and there was little information about the debt.Later on I had discovered that Perimeter was a collection agency acting on the behalf of Bally Total Fitness. I never used the service, and was led to believe when I originally canceled the service that it would be no problem. I am fighting them to get both of these credit marks off my report. Further relief would be nice, like closing down their facilities because of the tactics that they use to lure people into signing into their “membership” (which is actually a loan, but they love to leave that part out).

The Dispute

A friend and I joined the Rockville MD branch of Bally Total Fitness (BTF) in March or so of 1999 in Rockville MD. Within a month, and never once using the facilities, we both decided to cancel the service because we were moving to Upstate NY and the nearest Bally was well over 100 miles away. So I contacted BTF stating what was going on and they said just write a letter that you are moving to that area, including the new addresses and that’s it. I though this was acceptable and never thought about it again.

It’s really a loan

One thing that needs to be made perfectly clear about Bally Total Fitness is not only are you signing a contract to use their facilities, but you are literally signing documents that are in essence a credit application for a loan, a loan in the case where you are committing to a number of years for their services in exchange for guaranteeing them payments.

Be aware I was never informed that the document I signed was a credit application for a loan. The salesperson stated it was an application for membership, that is it.

The Surprise

Fast forward to June 2000. I order all 3 of my credit reports just to keep track of my credit history, and I see 2 items for “Perimeter”. I never even heard of Perimeter until I did research and found out they were Bally credit collectors. About a day or two after I get my credit reports, I get 2 statements from Perimeter saying I owed them $1077.48 x 2. Apparently the credit report order triggered their response. They included my friend’s account on my credit because I paid the initiation fee! Mind you I never signed any document on my friends application.

So I call Perimeter and get the run around. Then I call BTF and finally get a hold of someone who says to dig up 1999 info about my relocation. They state that I need a utility bill, a bank statement or a rent agreement for proof.

Problem 1: When I moved I moved to my family’s house, I never received a utility bill and did not have to pay rent. Oh yeah, I didn’t open up a new bank account in the area because I was planning to leave soon.

Problem 2: It was 7/2000, and I have virtually no info from 1999 in my records.

So I dig through all my records and can’t find much at all. But one thing I notice, PERIMETER SENT ME THE BILL TO MY NY ADDRESS. It must be proof! I also found an old student loan bill and my federal tax forms with my old NY address, and the original letter in 1999 I sent to BTF explaining my relocation, and mail it out in early November.

The Run-A-Round

Got a letter from Bally on 11/29/2000 stating the information I sent was not proof enough of my relocation. They reiterated that the only acceptable items are a Utility Bill or a Bank Statement. Who in the hell makes these rules??? I sent the 2 federal documents, my 1999 1040 tax form and my federal student loan. And what about the Perimeter Credit bill? They concluded that “that is what they are there for, to hunt you down to pay a debt”. So I responded “so if they found me there, then I must have lived there”. Again they stated their only acceptable proof is the Utility Bill and a Bank Statement.

They were so rude to me on the phone that I must have yelled at least twice. The “manager” that I was speaking to (Miss Smith) would not budge on the proofs of id. She simply stated it was no longer in her hands and that I must seek relief with Perimeter Credit. When I told her that Perimeter would not budge until BTF would give the go ahead to take it off my report, she said “oh well, looks like you are going to have to pay them.

Maryland Attorney General Intervention

I have decided to stop fooling around and become sick over this dispute. I contacted the Maryland AG’s office on 12/1/2000 to state my case and send them all the information I have on the matter. Since I opened the “account” in MD, and their East Coast HQ is in Baltimore, they saw no problem trying to seek relief.

Resolution! (update 12/20/2000).

Thanks to a posting I did to “The Complaint Station”, I received a e-mail from a Jerry Hoff in the California office. I told him the whole situation and he agreed that they and Perimeter should no longer be pursing the claim. They, effective immediately, canceled the accounts and are in the process of contacting Perimeter Credit to remove this claim off my credit report. I also received a fax about a hour after talking to Jerry showing that the accounts have finally been canceled. Woo Hoo! Thank you Jerry Hoff!

Useful Links and Contact Info

Scores of people are having the same difficulties with BTF and Perimeter. It’s gotten bad enough that there a couple of good websites with information and complaints about BTF and Perimeter:

Bally’s address for the Baltimore HQ:

Bally’s Total Fitness
PO Box 42013
Baltimore MD 21284

Bally’s “manager” Miss Smith’s phone number:
800.303.9487 x.4326

The Maryland Attorney General’s address:
The Office of the Attorney General
200 St. Paul Place
Baltimore MD 21202
(410) 576-6300 / (888) 743-0023 / TDD: (410) 576-6372
E-mail: OAG@oag.state
website: http://www.oag.state.md.us/