How to open pre-authorization for credit cards

How to complete the pre-authorization of bank cards?

Pre-authorization of bank card means that when the cardholder spends money in a merchant, the cashier of the merchant applies for authorization from the card issuer according to the cardholder's demand and estimated consumption amount, and the card issuer gives a reply according to the customer's account. For the approved application, the credit limit (credit card) or deposit amount (debit card) in the cardholder's bank card will be temporarily frozen as a deposit. After the cardholder's consumption is officially completed, the merchant requests the card issuer to make formal liquidation according to the actual consumption amount. Generally speaking, the frozen amount cannot exceed 1 15% of the pre-authorized transaction amount.

Pre-authorization business refers to the business that a special merchant obtains a payment commitment that does not exceed a certain proportion of the pre-authorization amount from the card issuer within 30 days, and accepts it from the card issuer after the cardholder obtains the goods or accepts the service.

How to pre-authorize bank cards

At present, pre-authorization business is widely used in hotel reservation and car rental. Whether it is a credit card or a debit card, pre-authorization business can be carried out. However, credit cards need to have sufficient overdraft limit and debit cards need to have sufficient account balance.

Experts say that pre-authorization only takes up places. If the transaction is confirmed without "pre-authorization", the merchant cannot ask the bank to pay, so there will be no handling fee and interest. When the consumer makes a formal settlement of the "pre-authorization", the "pre-authorization" will be cancelled, and the funds frozen by the "pre-authorization" will automatically enter the cardholder's account and will generally be returned to the account within 24 hours. Consumers can directly ask the merchants to cancel the "pre-authorization" when checking out, and the credit line can generally be restored immediately. If the "pre-authorization" is not cancelled in time, the bank will automatically cancel the frozen quota after 30 to 45 days. However, the part of the "pre-authorized" funds frozen during this period cannot be used.

Experts remind that the "pre-authorization" transaction is consistent with the consumption risk of ordinary credit cards. In order to avoid losses, if the customer wants to cancel the reservation, he must go through the cancellation procedures at the hotel or agency before the specified time, and ask for the cancellation number as the cancellation certificate. Otherwise, the merchant will deduct the corresponding room rate according to the agreement, and in this case, it cannot refuse to pay.

Credit card telephone pre-authorization service. How to deal with it?

Hello, if the credit card of China Merchants Bank is pre-authorized, it is 1. When staying in a hotel or renting a car, the merchant can deduct a certain amount as a deposit by swiping the card, and then swipe the card for actual settlement after the consumption is completed. This kind of transaction is generally called pre-authorization transaction. 2. There will be no handling fee for canceling the pre-authorization at present. 3. Pre-authorization has SMS notification, and pre-authorization is completed without SMS notification. 4. Pre-authorization before formal settlement does not require repayment. Actually, please refer to the merchant settlement and the final bill amount.

What is credit card pre-authorization?

The so-called pre-authorization refers to the transaction in which the card issuer or its agent confirms the permitted frozen amount before the cardholder pays. In other words, pre-authorization refers to the transaction that the card issuing department needs to make a future payment commitment to the merchant when the customer consumes, because the consumption amount is uncertain. The pre-authorized transaction amount will be frozen, and it is not allowed to participate in other transactions before the pre-authorized settlement of the corresponding transaction takes place. Credit card pre-authorization is a transaction in which the card issuer or its agent confirms that the amount is allowed to be frozen before the deduction of the special merchant. Pre-authorization will occupy the credit limit of the card. When the customer settles the pre-authorization, the pre-authorization will be cancelled. \ Within 30 days after pre-authorization, if the customer fails to settle accounts, the pre-authorization will also be cancelled. In general, pre-authorization can only be done by credit card, but some banks, such as China Merchants Bank, can also use debit cards for pre-authorization. For example, hotels and restaurants often require a certain amount of cash as collateral for consumption and accommodation. If pre-authorized, after the cardholder swipes the card at the front desk to confirm the signature, part of the funds in the card will be frozen, which is about 1 15% of the estimated consumption. When the cardholder leaves, if the credit card is used to settle the consumption with the merchant, the merchant will cancel the pre-authorization and unfreeze it. If the cardholder finally settles in cash, then remember to ask the merchant to cancel the pre-authorization on the POS terminal. If it is not cancelled, this part of the freeze will be automatically lifted after 30 days. In addition to booking hotels, bank card pre-authorization can also be used to book air tickets online at present. In fact, pre-authorization is to freeze part of the funds, which is equivalent to paying part of the deposit. According to the staff of the bank, because it is mainly used for deposit consumption, the pre-authorization business is mainly concentrated in hotel and air ticket booking. \ Need to remind cardholders that when pre-authorizing credit card swiping, they should carefully check the receipt printed by POS machine. If pre-authorization is applied, it will be clearly marked in the column of transaction type, and then signed after confirmation. Common sense of using credit card \ A credit card is not only a card, but actually a carrier of early consumption, which allows cardholders to spend without cash, and also has many functions such as instant cash withdrawal and online payment. In order to promote credit cards, major banks are now free of annual fees in the first year, giving gifts for consumption and giving gifts for points, ranging from key chains to computer TVs. But when the bank gives you a gift, it usually stipulates the time limit for using the card. About application: It is relatively simple to apply for a credit card now, just provide your address, work certificate and a copy of your ID card, and the credit card is becoming more and more perfect and attractive from business function to design, so many friends open their wallets and use it. You can spend it with a card when you use it. When you return it, you find you don't know which card to return. As a result, you owe money and add unnecessary burden. Maybe many friends are worried. About annual fee: Free annual fee in the first year does not mean free annual fee. Once the credit card is activated, even if it has never been used, an annual fee will be charged if it exceeds the free life. If the cardholder fails to pay the annual fee on time, the bank will automatically deduct it from the cardholder's credit card associated account. If the balance of the associated account is insufficient to pay the arrears, it is regarded as overdraft consumption. After the expiration of the interest-free period, overdraft interest and late fees will be charged according to regulations. At present, all banks have introduced the discount of unlimited credit card spending for 6 times, which can avoid the annual fee of the year. Most importantly, you can use this time to choose a credit card that suits you and meet your needs. About use: usually one or three credit cards can meet your needs. For those who already have multiple credit cards, choose one to three cards with convenient repayment, good service quality and comprehensive functions. For friends who often go out to work, you can apply for a credit card for hotel discounts and air mileage points and a credit card for discounted goods consumption. Fashion friends can choose cards that compare trends and personalities. In short, when applying for and using credit cards, please choose the one that suits you and your own needs, and do what you can according to your own economic situation to avoid unnecessary troubles. \ About repayment: Under normal circumstances, you can make repayment at the branch counter of the bank. If you are busy with work and don't have time to go to the bank for repayment, you can choose additional functions of the credit card (such as automatic repayment function of the associated card, telephone and online bank repayment, etc.). ) for repayment transactions. If the repayment is not made on time, the bank will charge interest and late fees according to the regulations. If the long-term arrears are not repaid and the dunning is invalid, the bank will input personal information into the national personal credit information system, which will have an impact on your future personal loans and application for other credit cards. About security: the security of credit card consumption has not attracted many people's attention, but credit card fraud incidents have occurred from time to time. At present, many banks have introduced several consumption modes: signature mode, or password plus signature payment mode. In this case, the cardholder's funds are guaranteed. However, in the daily consumption process, it is very important for the group to protect the security of your password and card. After the consumption is completed, pay attention to check your consumption list in time. When you enter the password > 1 times, please check the transaction list the next day to prevent repeated transactions.

What is the pre-authorization of China Bank Credit Card?

The pre-authorization of China Bank's credit card means that before you spend, the merchant stops paying part of the funds on your credit card, and after you spend, you need to sign it before the merchant can formally deduct this part of the funds. When staying in a hotel or renting a car, you don't need to pay a lot of cash as a deposit to the hotel or leasing company, just use the Bank of China credit card for pre-authorization through the hotel or leasing company.

The above contents are for your reference. Please refer to the actual business regulations.

What you must know about "credit card pre-authorization"

Many people may not know that credit cards have "pre-authorization" function. Pre-authorization can be understood as "deposit". Literally, it is prepaid and pre-authorized. This kind of pre-authorization not only brings convenience to credit card holders, but also has potential small risks. Of course, as long as you pay a little attention, here's what you need to know about "credit card pre-authorization".

I. Revocation and unfreezing of Pre-authorization

If you intend to cancel the reservation, please ask the hotel or agency to go through the pre-authorization cancellation procedures within the specified time limit and ask for the cancellation number as the cancellation certificate. Because after using pre-authorization, if it is not cancelled in time, merchants can directly draw the money away, and banks generally will not refuse to pay. After the check-out and rent withdrawal procedures are completed, the cardholder should also consciously ask or confirm the relevant merchants to immediately revoke the pre-authorization, restore the quota, and eliminate possible risks and losses.

Pre-authorization can also be unfrozen in advance. According to the staff of CCB, in the pre-authorization transaction of CCB's credit card, due to the freezing of this part of the amount, the credit limit of the cardholder will be reduced by one figure accordingly. If the merchant fails to pre-authorize the transaction within 30 days, the amount will be automatically unfrozen after 30 days, and the cardholder's credit limit will be restored. If the cardholder is anxious to restore the quota within 30 days, generally speaking, the hotel can pre-authorize and cancel the transaction, and the quota will be restored immediately after the transaction is completed.

Please come in for details of pre-authorization cancellation and unfreezing.

2. Pre-authorization to freeze credit line

"Whether it is pre-authorization on the network or pre-authorization at the front desk of the hotel, no matter how much pre-authorization, it is actually on the cardholder's card before the consumption is completed, but it is temporarily frozen." Although pre-authorization is not equal to actual payment, it still occupies the credit limit of credit card as actual consumption. In other words, after being "frozen", your fund arrangement may need to be fine-tuned.

However, sometimes the credit limit frozen by pre-authorization is not equal to the amount displayed when actually swiping the card, and some banks will freeze the overdraft limit of 15% on the basis of actual pre-authorization. Therefore, for cardholders who rely on credit card consumption, special attention should be paid to the corresponding fund arrangement and preparation after pre-authorization, so as to avoid the dilemma of insufficient credit line when making other consumption.

The staff of CITIC Bank also said that it is necessary to carefully check the receipt printed by the POS machine when pre-authorizing credit card swiping. If pre-authorization is applied, it will be clearly marked in the column of transaction type, and signed after confirmation. In addition, the cardholder must open the credit card SMS notification function, so that you can know your consumption at any time. In the process of use, if there is any problem, contact the issuing bank in time.

The credit card pre-authorization is frozen and the right to use it for 30 days is lost.

3. Recessive functions such as hotel accommodation pre-authorized by credit card.

Guests who have not made any pre-authorization online or booked hotels in advance by other means are sometimes required to pay a certain amount of cash or credit card "pre-authorization" as a deposit when they check in. If credit card pre-authorization is selected, some funds in the card will be frozen after the cardholder swipes the card at the front desk and signs it. When the cardholder leaves, if there is no property loss or other disputes, the merchant will take the initiative to use the POS machine to pre-authorize and cancel the transaction for the customer after the settlement is completed.

4. Pre-authorization affects your credit limit.

Although pre-authorization is not equal to actual payment, pre-authorization still occupies the credit limit of credit card just like actual consumption. Generally speaking, the pre-authorization amount cannot exceed the upper limit of the available amount of the card. Once the pre-authorization is confirmed, the corresponding funds in the card will be frozen and the credit line will be reduced accordingly. This amount will be "frozen" in a short time before the actual consumption amount is deducted at the checkout or the merchant cancels the pre-sale right. When the customer settles the pre-authorization, the pre-authorization will be cancelled.

What does credit card pre-authorization mean?

Many people are using credit cards, but they don't know much about some functions of credit cards. When a friend stayed in a hotel and spent money with a credit card, he found that his credit card was stolen at night, and a series of credit card pre-authorization practices appeared. What does it mean to pre-authorize by credit card? How long is the pre-authorization period? How should pre-authorization be used reasonably?

What does credit card pre-authorization mean?

Credit card pre-authorization refers to the transaction in which the card issuer or its agent confirms the permitted frozen amount before the deduction of the special merchant. 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 online; If the card cannot be provided, you can apply to the acquiring bank and complete it through bank reconciliation. However, the pre-authorization is still there when the online credit card is cancelled, and offline transactions can also be carried out (without credit card). However, if the cancellation is completed by other means, the pre-authorization should be gone, and the second transaction needs to be swiped.

The merchant freezes a part of the funds before the cardholder's consumption, and after the cardholder signs, the merchant can formally deduct this part of the funds. The frozen funds are not directly deducted from the account, nor are they transferred to the merchant account, but are temporarily frozen. This is quite familiar to friends who often stay in hotels. Generally speaking, credit card pre-authorization is widely used in hotel industry and car rental industry.

How to avoid the risks arising from pre-authorization?

The risk degree of pre-authorization transaction is the same as that of ordinary credit card consumption. It should be noted that cardholders may be required to make credit card guarantees at hotels or ticket agencies because of the shortage of rooms or air tickets. If the customer needs to cancel the order, but fails to do so within the time specified by the merchant, the merchant will deduct the room fee or air ticket fee of 1 day as agreed, in which 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.

Maximum credit card pre-authorization limit

Generally, the pre-authorization amount does not exceed the upper limit of the available amount of the card. Because the pre-authorization only occupies the quota, and the transaction is confirmed without pre-authorization, the merchant can't ask the bank for money, so there will be no handling fee and interest. Within 30 days after the pre-authorization, if the customer fails to settle the account, the pre-authorization will be cancelled.

So much for the introduction of how to open pre-authorization for credit cards.