What is a Pre-Authorization Charge?

Useful Tips for Using Your Gift Card at Establishments with Pre-Authorization Charges

When using your gift card at certain establishments, a pre-authorization charge may be added to your bill. This typically occurs at:

• Restaurants
• Gas Stations
• Hotels
• Hair Salons
• Food Delivery Services

Key Points to Remember:

• Pre-Authorization Charges:
  • Why It Happens: These charges are automatically added to ensure there are sufficient funds on your card to cover the final bill, including any potential tips or additional fees.
  • Temporary Hold: The additional charge is usually returned to your card's balance within 7 to 10 business days if the purchase is successful.
  • Insufficient Funds: If the merchant requests authorization for an amount greater than your card's balance, the purchase will be declined.
• Restaurants, Salons, and Delivery Services:
  • Additional Percentage: When using your card at these establishments, an additional 20% may be added to your bill to cover potential tips.
  • Returning Funds: If no tip is added, the additional 20% will return to your card's balance within a few days.
• Hotels and Car Rentals:
  • Authorization Charges: An additional charge may be added to your bill.
  • Transaction Decline: If there are insufficient funds on your card to cover this charge, the transaction will be declined.
  • Returning Funds: The additional charge will return to your card within 30 business days if the transaction is successful.
• Gas Stations:
  • At the Pump: Do not swipe your card at the pump as a pre-authorization charge of $75 to $200 may be applied.
  • Pay Inside: Instead, pay at the cashier and request a specific amount to be charged to your card.