According to this authorization method, the merchant will freeze some funds before the cardholder makes consumption. Only after the cardholder completes the consumption and signs for confirmation can the merchant formally deduct this part of the funds. It should be emphasized that the frozen funds are only temporarily frozen, not actually deducted.
If the consumer fails to complete the pre-authorization confirmation in time, the merchant can apply to the credit card issuer to complete the pre-authorization. Only after the approval of the bank will the funds be transferred to the merchant's account.
This authorization method can provide convenience for consumers and reduce potential risks. Especially for users who rely on credit cards, this authorization method can help when they encounter the dilemma of insufficient credit limit.
What is credit card marketing authorization?
Credit card marketing authorization refers to the cardholder's authorization to credit card issuers or their partners to carry out marketing activities. When users apply for credit cards or conduct related business transactions, credit card issuers usually provide users with marketing authorization agreements or options, requiring users to explicitly agree or choose whether to accept certain marketing information sent to users.