Xplor shares advice on helping gym members avoid dishonour fees

May 7, 2025

Aware of the inconvenience of dishonour fees for both gym owners and members alike, fitness platform Xplor has shared ways that managers and operators can look to reduce the financial burden of failed payments.

Acknowledging the reason failed payments happen such as unexpected costs, expired cards or a missed updates on payment details, Xplor advise “while these things can be out of your control, providing your members with the tools and support to keep their accounts up to date is crucial in reducing payment issues.

“It’s about finding a way to help your members stay on track, all while ensuring you maintain a steady cash flow.”

Xplor suggest the following tips to help members avoid dishonour fees.

1. Know Your Member Demographics
Understanding your members and their payment habits is key. By recognising patterns and offering tailored solutions, you can help your members avoid payment issues before they arise. Here is what our data is telling us:

• Bank vs. Credit Card: Payments from credit cards are 2.5 times more likely to fail than payments from bank accounts. Encouraging members to use bank accounts for recurring payments can reduce the chances of payment failures, ultimately saving them from dishonour fees.

• Age: Younger members (18-24) are more likely to experience payment failures compared to older members. This could be due to financial instability or simply forgetting to update payment details. Offering younger members clear reminders and support can make a big difference.

• Payment Frequency: Monthly payments are 60% more likely to fail than weekly payments. By offering weekly or fortnightly payment options, you can help members spread out their payments, making them more manageable and less likely to fail.

• Payment Size: Smaller instalments are up to 7 times more successful than larger amounts. Encouraging members to select smaller, more frequent payments can ease their financial load and reduce the likelihood of missed payments.

• Alignment to Payday: Aligning payment dates with members’ paydays can make it easier for them to pay on time. Consider offering this flexibility to help ensure payments go through smoothly, avoiding any surprises.

2. Offer Flexible Payment Options
The more flexible you can be, the easier it will be for your members to manage their payments without falling behind. Offering multiple options can help prevent payment failures and the dishonour fees that come with them.

• Weekly or Fortnightly Payments: Weekly or fortnightly payments mean smaller amounts that are often easier to manage. Research shows that these smaller, more frequent payments are less likely to fail, reducing the risk of dishonour fees for your members.

• Pay-As-You-Go: For members who are unsure about committing long-term, offering a pay-as-you-go option can give them more flexibility. This gives them the ability to pay for what they use and also reduces the financial burden of upfront payments.

• Payment Alignments: Allowing members to align their payments with their payday can help them avoid missing payments due to insufficient funds. Offering this option increases the likelihood of payment success and helps your members stay on track.

3. Educate Your Members
The key to reducing failed payments is education. Helping your members understand the importance of keeping their payment details up to date and the consequences of failed payments can go a long way in preventing dishonour fees.

• Regularly Update Payment Details: Encourage members to regularly check and update their payment methods. Expired cards or incorrect account details are common reasons for failed payments, and simple reminders can help them avoid these issues.

• Explain the Consequences: Take the time to explain how missed payments and dishonour fees can affect their membership and the gym’s operations. The more they understand, the more likely they are to stay on top of their payments.

• Send Reminders: A gentle reminder before payment is due can help members keep track of their obligations. By sending a quick note a few days before, you’ll give them the chance to check their accounts and ensure there’s enough balance to cover the payment.

4. Leverage Technology
Technology can ease the administrative burden of tracking payments and reduce the likelihood of failed payments for your members. By using automated tools, you can ensure a smoother payment process without additional strain on your team.

• Automated Payment Retry: If a payment fails, automated retry systems can automatically attempt to process the payment again, giving your members another chance to pay without needing to manually follow up. This can improve the success rate of payments and reduce dishonour fees.

• Mobile-Friendly Payments: Many members manage their finances on their phones. Offering mobile payment options can make it easier for them to stay on top of payments and update their details quickly, ensuring they don't miss a payment.

5. Review Your Payment Policies
Having clear, transparent policies in place will help your members understand what’s expected of them and what they need to do to avoid dishonour fees. A well-structured policy benefits both your gym and your members.

• Transparent Fee Structure: Be clear with your members about any fees associated with failed payments. When they know the costs upfront, they’ll be more motivated to avoid those fees.

• Be Consistent: Apply your payment policies consistently. This ensures that all members know the rules and helps maintain trust across your community.

Conclusion
Xplor wrap up by stating “helping your members avoid dishonour fees is all about providing the right tools and support. By offering flexible payment options, educating your members, and staying proactive, you can keep the payment process seamless and stress-free for everyone.

“At the end of the day, happy, well-informed members are more likely to stay on track with their payments and that benefits your business too.”

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