They forgot to charge my card for 3 months. Can they now?

December 20, 2007 2:38 PM

If a company had a "clerical error" and forgot to charge my credit card for 3 months, do they have right to charge it now?

I took a class back in early October, which I thought that I had paid for in September. However, I received an email from the administrator that stated that due to an administrative error, they had forgot to process credit card payments, and were going to do it now. This was a "courtesy" notice.

I'm OK with paying it, but it got me wondering if they actually had the legal right to do it.

Hive mind, what say you?

posted by wflanagan to Work & Money (11 answers total)

You received a service from them, no? Why wouldn't they have the right to charge you?

I could see there being some limitation of a year or something.. but three months?
posted by dirtynumbangelboy at 2:43 PM on December 20, 2007

Yes.
posted by EatTheWeek at 2:51 PM on December 20, 2007

Yes of course, you received the service.
posted by stormygrey at 2:52 PM on December 20, 2007

Almost certainly. Check your agreement, however, there is an almost infinitesimal possibility that your contract with the issuing bank/company does not include a clause that reserves them the right to correct errors in their favor no matter how much time has passed.
posted by crush-onastick at 2:58 PM on December 20, 2007

If they waited an unreasonable amount of time (1 year+), you might have an argument in court. But I doubt 90 days would even be considered even remotely unreasonable.
posted by blue_beetle at 3:01 PM on December 20, 2007

I'm pretty sure if they can document that you got the goods and/or services, they can bill you whenever they want to. After seven years, you can ignore it and it can't go on your credit reports -- though they can still try to collect. Other than that, I know of no limits unless they are specifically in a contract you make with whoever you're paying; though it sounds like a university and they probably wouldn't put anything like that in any agreement.
posted by jeffamaphone at 3:03 PM on December 20, 2007

yes
posted by pompomtom at 3:35 PM on December 20, 2007

Legal procedure is in line with morality/common-sense, in that you should pay for what you get. Eg, you can't generally get out of paying for your electricity one quarter just because the bill went astray. Most countries have time limitations on when money debts can be enforced through the courts (normally 7 years in the US, 6 years in the UK), but even beyond the limitation you may still always be liable to "self help" recovery. Eg you give them credit (X years down the line) and they take it all and offset against the previous debt.

Your local laws may, and your contract with this supplier, may render all the advice in this thread moot of course.
posted by wilko at 4:10 PM on December 20, 2007

I had a tobacco store in Arlington charge my debit card about a year and a half after several purchases I made with them; I tried to contest it with my bank, and they essentially said there was no time limit on it. Your mileage will almost certainly vary, however, based on your bank and whether there are any consumer protection laws in your state limiting the length of time a merchant can wait before submitting the charge.
posted by Doofus Magoo at 4:26 PM on December 20, 2007

I read many stories of people being charged a lump sum for electric or water service that had been miscalculated over time, and legally they have to pay it. So yah, I would assume you have to pay in this case.
posted by Sufi at 5:07 PM on December 20, 2007

I've read*
posted by Sufi at 5:07 PM on December 20, 2007