: Pre-authorization completion means that the deduction has been completed. In general, pre-authorization refers to credit card pre-authorization. Refers to the cardholder's confirmation of the allowed frozen amount before the deduction of the special merchant's consumption, and the credit card's frozen amount will be deducted after the cardholder completes the consumption. General credit card pre-authorization will occupy the credit line of credit card.
Pre-authorization of credit card refers to the transaction in which the card issuer or its agent confirms that the license is frozen before the special merchant deducts money. The customer service staff of China UnionPay said that the completed pre-authorization transaction can be revoked in two ways: one is that the cardholder swipes the card and operates online; If you can't provide the card, you can apply to the acquiring bank and complete it through bank reconciliation. However, the pre-authorization is still there when the cancellation is completed by online credit card swiping, and offline transactions can also be conducted (without credit card swiping). However, if the cancellation is completed by other means, the pre-authorization should be gone, and credit card swiping is required for the second transaction.
the merchant freezes a part of the funds before the cardholder consumes, and the merchant can formally deduct this part of the funds after the cardholder signs it. The frozen funds are not directly deducted from the account, nor come up to the merchant account, but are temporarily frozen. This is quite familiar to friends who often stay in hotels. At present, credit card pre-authorization is widely used in hotel industry and car rental industry.
the risk degree of pre-authorization transaction is the same as that of ordinary credit card consumption. It should be noted that the cardholder may be required to make a credit card guarantee at the hotel or air ticket agency because of the shortage of rooms or air tickets. If the customer needs to cancel the order, but fails to handle it before the time specified by the merchant, the merchant will deduct the one-day room fee or air ticket fee as agreed, and in this case, it cannot refuse to pay. Merchants can usually use manual card pressing or POS on-line processing for pre-authorization, and the specific process is consistent with traditional consumption. Only in the final settlement, pre-authorization is needed to complete the transaction and complete the formal transaction settlement.
Generally, the pre-authorization limit does not exceed the upper limit of the available limit of the card. As the pre-authorization only occupies the limit, the merchant cannot ask the bank for money when the transaction is confirmed without pre-authorization, so there will be no handling fee and interest. Within 3 days after the pre-authorization, if the customer fails to settle the account, the pre-authorization will be cancelled.