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    Unfair recurring billing practices - What are my rights?

    Jurisdiction / State: Colorado

    Can a business demand payment for a past due amount even though they haven't sent an invoice stating that the account was past due for four months? The charges were for a gym membership that is usually billed every month automatically, however the credit card on file expired, allowing money to compound for four months before I was made aware of the problem. It looks like the Fair Credit Billing Act would cover this type of problem, however I was unsure if a monthly recurring gym membership would be considered "open end credit." FCBA states that businesses that offer "open end" credit must provide a statement for each billing period in which you owe (or they owe you) more than one dollar. I am located in Westminster, CO. Thanks


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    If you didn't cancel the gym membership the yes, they certainly can bill you and will be successful in obtaining a judgment if it goes that far. If you used the gym at all during this time then they will have an even stronger case, but eve if you did not use the gym it was your responsibility to cancel the membership.

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