How a Member's Status Changes with Payment Declines

Understanding the different account statuses in Gym Insight and how they change can be confusing. In this article, we will explain how and when a gym member's status changes.

Typical decline pattern:

• First decline: GREEN → YELLOW
• Second decline: YELLOW
• Third decline: YELLOW → RED
• Seventh decline: RED → COLLECTIONS
• 180 days after YELLOW (this can be changed under settings): COLLECTIONS → CANCELLED

Here's a breakdown of how and when a gym member's status changes in Gym Insight:

First decline: GREEN → YELLOW  

When a payment first declines, the  account status will be updated from GREEN to YELLOW. The charge will be set to be retried in 5 days. If the first declined fee amount has been set by the gym, that fee amount and description will be added to the account.

Second decline: YELLOW 

I f the payment declines again while the account is in the YELLOW status, the charge will be set to be retried in 5 days. If the second decline fee amount has been set by the gym, that fee amount and description will be added to the account.

Third decline: YELLOW → RED 

If the account has been in the YELLOW status for at least 9 days and the payment declines again, the account will transition from YELLOW to RED. The charge will be set to be retried in 5 days. If the third decline fee amount has been set by the gym, that fee amount and description will be added to the account.

Seventh decline: RED → COLLECTIONS 

If the payment continues to decline while your account is in the RED status for at least 29 days, the account will transition from RED to COLLECTIONS. The charge will be set to be retried in 5 days. If the percentage of collections from location settings has been set by the gym, a fee in the amount of the percentage of the past-due amount will be added to the account.

180 days after YELLOW (this can be changed under settings): COLLECTIONS → CANCELLED 

When an account is in the COLLECTIONS status, our system will stop attempting to charge the account. At this point, it is assumed that the account requires manual intervention in order to recover into good standing. After 180 days from the time the account first transitioned to the YELLOW status, the account will be cancelled. If the days until the write-off period has been set to a low amount, the account may be transitioned directly from RED to CANCELLED if it exceeds the number of days specified.

It's important to note that once an account has been sent to a third-party agency for collections, the balance on that account can no longer be increased. This is a matter of law that may vary by municipality, so we recommend consulting an attorney before finalizing your specific collections strategy.

We hope this article helps you understand how and when an account's status may change in our system. If you have any questions or concerns, please don't hesitate to reach out to our customer support team for assistance.