BIT 302 Chapter 9: Message 2

Credit Refusal: Crunch Gym

As manager of Crunch Gym, you must refuse the application of Hunter Goettle for an Extended Membership. This is strictly a business decision. You liked Hunter very much when he applied, and he seemed genuinely interested in fitness and a healthy lifestyle. However, your Extended Membership plan qualifies the member for all your testing, exercise, recreation, yoga, and aerobics programs. This multiservice program is expensive for the club to maintain because of the large staff required. Applicants must have a solid credit rating to join. To your disappointment, you learned that Hunters credit rating is decidedly negative. His credit report indicates that he is delinquent in payments to four businesses, including Total Body Fitness Center, your main competitor.

You do have other programs, including your Drop in and Work Out plan, which offers the use of available facilities on a cash basis. This plan enables a member to reserve space on the racquetball and handball courts. The member can also sign up for many other fitness and exercise classes, space permitting. Since Hunter is far in debt, you would feel guilty allowing him to plunge in to any more debt.

YOUR TASK

As manager, you must refuse Hunters credit application, but encourage his cash business. Suggest that he make an inquiry to the credit-reporting company Experian to learn about his credit report. He is eligible to receive a free credit report if he mentions this application. Write a business letter to Hunter Goettle, 4389 Main Avenue, Apt. 10, Billings, MT 59101.

Use 9 2 Letterhead for this business letter as found in the Learning Modules in Blackboard.

Again, the plan shows that the bad news comes only after a buffer and explanation paragraphs. Remember our discussions about saying what we can do, rather than going into detail about what we cannot do.

Utilize the section in the textbook for additional tips.

_____/15 Credit Refusal Letter

Keyed on given letterhead

Writing Plan Para 1: Buffer

Para 2: Explanation

Para 3: Bad News

Para 4: Cordial Closing