If I am a psychotherapist and charge a fee for missed sessions or sessions cancelled without 24 hours notice, is it legal for me to keep a credit card on file?

Can Ikeep a credit card on file to charge these fees? I would have them sign a document at intake giving me permission and giving the credit card number to charge.

Asked on September 10, 2012 under Business Law, Tennessee


FreeAdvice Contributing Attorney / FreeAdvice Contributing Attorney

Answered 8 years ago | Contributor

If your patients have signed a written authorization that you are entitled to charge them for a missed session or cancellation within 24 hours and that their credit card can be unilaterally charged for such fees by you at a stated rate, then you can do so. Make sure that there is a document signed by your patients in your file to this effect.

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