In this article, we will explain what an "auth hold" is and how it may affect your experience when using our services.
An "auth hold" (short for "authorization hold") is a common practice used by merchants to ensure that a customer has enough funds to cover a transaction. When you make a purchase, the merchant sends a request to your bank or credit card company to verify that your account has sufficient funds or credit available to cover the purchase amount. If your bank approves the transaction, they may place a temporary hold on those funds, which is called an "auth hold."
The purpose of an auth hold is to ensure that the merchant gets paid for the transaction and to prevent customers from exceeding their available credit limit or overdrawing their accounts. The hold is usually released within a few days (up to several business days), depending on your bank's policies.
While an auth hold is in place, the funds that are being held may not be available for other purchases or withdrawals. This can cause confusion and frustration for customers who are not aware of the hold, especially if they try to make another purchase or withdraw cash and are declined due to insufficient funds.
If you are experiencing an issue with an auth hold, there are a few things you can do:
Check your account balance: If you are unsure whether an auth hold is affecting your account, check your balance online or through your bank's mobile app.
Contact your bank or credit card company: If you believe that an auth hold is preventing you from accessing your funds, contact your bank or credit card company's customer service department to ask about the hold and when it will be released.
Some helpful information about the Auth Hold on your Credit Card:
- A charge typically finalizes or settles upon shipping, which may cause a delay in the process of charges to your bank account.
- It is important to note that auth holds can be referred to as "pending transactions," which can sometimes cause confusion for customers who assume that they are a finalized or settled charge. When the final charge or settled charge appears, customers may mistake it for a duplicate transaction. However, it is essential to clarify that the final charge or settled charge is not a duplicate charge, but simply the auth hold clearing.
- In case your order is canceled, it is important to note that it may take up to 7 business days for the auth hold to clear or reverse.