Credit risk in making advanced payments

Many customers paid a few thousand dollars on spa packages and lose the money when the spas closed  down. If you have to pay in advance to enjoy a discount, do not pay for more than three months of services. Do not take the risk of paying for one or two years.

I do not know if the spa closed down due to bad business, or they were set up to deceive the customers. I hope that the authority will investigate if the owners had intended to collect deposits and run away with the money. If money is taken out by the directors for unauthorised purposes, it would amount to cheating. We should not allow this type of cheating to go unchecked.

Tan Kin Lian